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And I Fired Five Years Early ...
Old 07-12-2021, 08:26 AM   #1
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And I Fired Five Years Early ...

A refresher. I joined a few months ago with the intention of retiring in 5 years at 55.

Situation was lots of assets: $2M in After Tax Accounts, $2M in Before-Task Accounts, $1M+ in primary and rental properties all paid off. But current pension was $24K per year and if I waited 5 years it would jump to $60K per year and my medical coverage would be 100% not 70%.

But low and behold, got called in on Friday and told they are offering early retirement incentives. Retire now and I get five years service credit hence get the $60K a year pension. A quick back of the envelope shows I lose out on $300K x 5 = $1.5M salary but get $300K in pension so net loss is $1200K but I already have enough saved up. But I didn't have extra time and now I do!

Thanks to all and I'm out of here!
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Old 07-12-2021, 08:54 AM   #2
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Old 07-12-2021, 08:56 AM   #3
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Originally Posted by KingOfTheCheapos View Post
A refresher. I joined a few months ago with the intention of retiring in 5 years at 55.

Situation was lots of assets: $2M in After Tax Accounts, $2M in Before-Task Accounts, $1M+ in primary and rental properties all paid off. But current pension was $24K per year and if I waited 5 years it would jump to $60K per year and my medical coverage would be 100% not 70%.

But low and behold, got called in on Friday and told they are offering early retirement incentives. Retire now and I get five years service credit hence get the $60K a year pension. A quick back of the envelope shows I lose out on $300K x 5 = $1.5M salary but get $300K in pension so net loss is $1200K but I already have enough saved up. But I didn't have extra time and now I do!

Thanks to all and I'm out of here!
Congratulations! Nice surprise! Don't worry about the loss of earned income since you have a plush nest egg, time>>money
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Old 07-12-2021, 08:58 AM   #4
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When the universe says jump, it's time to jump.

Enjoy.
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Old 07-12-2021, 09:04 AM   #5
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Old 07-12-2021, 09:06 AM   #6
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Old 07-12-2021, 09:17 AM   #7
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Originally Posted by KingOfTheCheapos View Post
A refresher. I joined a few months ago with the intention of retiring in 5 years at 55.



Situation was lots of assets: $2M in After Tax Accounts, $2M in Before-Task Accounts, $1M+ in primary and rental properties all paid off. But current pension was $24K per year and if I waited 5 years it would jump to $60K per year and my medical coverage would be 100% not 70%.



But low and behold, got called in on Friday and told they are offering early retirement incentives. Retire now and I get five years service credit hence get the $60K a year pension. A quick back of the envelope shows I lose out on $300K x 5 = $1.5M salary but get $300K in pension so net loss is $1200K but I already have enough saved up. But I didn't have extra time and now I do!



Thanks to all and I'm out of here!


Good call. The “lost” income is irrelevant if you look at it from a quality of life perspective. Unless you drop dead on the job, you will always leave money on the table. I retired at 50 and I live the most amazing and happy life and doing a lot of the things I’ve also wanted to do but didn’t have time. You will love retirement.
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Old 07-12-2021, 09:26 AM   #8
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Originally Posted by KingOfTheCheapos View Post
A refresher. I joined a few months ago with the intention of retiring in 5 years at 55.

Situation was lots of assets: $2M in After Tax Accounts, $2M in Before-Task Accounts, $1M+ in primary and rental properties all paid off. But current pension was $24K per year and if I waited 5 years it would jump to $60K per year and my medical coverage would be 100% not 70%.

But low and behold, got called in on Friday and told they are offering early retirement incentives. Retire now and I get five years service credit hence get the $60K a year pension. A quick back of the envelope shows I lose out on $300K x 5 = $1.5M salary but get $300K in pension so net loss is $1200K but I already have enough saved up. But I didn't have extra time and now I do!

Thanks to all and I'm out of here!
I would walk out the door with the 60k pension even if I had nothing else.
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Old 07-12-2021, 09:28 AM   #9
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Congratulations.
Enjoy retirement!
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Old 07-12-2021, 09:35 AM   #10
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Old 07-12-2021, 09:38 AM   #11
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Great news! Congrats.
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Old 07-12-2021, 09:38 AM   #12
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50-55 is worth more than 1.2M unless you love your work and it doesn't cause any damages to your health.

60k + rental income a year alone should be sufficient to live on in majority or f the situations when you are not working.
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Old 07-12-2021, 09:46 AM   #13
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Congrats! Enjoy!

The universe must've caught wind of your 5-year plan and moved it up for you!

Time>Money

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Old 07-12-2021, 10:01 AM   #14
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I would walk out the door with the 60k pension even if I had nothing else.
With 4 million liquid and 1 million RE paid for. I'd be gone yesterday!

Assuming I wasn't spending more than 150k/year
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Old 07-12-2021, 10:02 AM   #15
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You're leaving
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Old 07-12-2021, 11:07 AM   #16
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Say "Thank you and Adios"!!!!!
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Old 07-12-2021, 11:22 AM   #17
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Give me a forum ...
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You're leaving

You know the OP joined here less then two months ago, has started 14 threads and made all of 80 posts . And now he got a miracle severance offer that gave him exactly what he said he wanted in his first post. It's a modern day miracle, I'm going to be watching for his book.



He should buy a lottery ticket, he would just need one ticket.
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Old 07-12-2021, 12:27 PM   #18
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Say "Thank you and Adios"!!!!!
Yeah. I've learnt a lot but there are quite a few people who were rude in their responses to my posts and downright offensive and antagonistic in their personal messages (they in fact asked me to leave the forum!).

Life's too short to waste so I'm off to greener and friendlier pastures. But thanks to those who were helpful.
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Old 07-12-2021, 12:51 PM   #19
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It is nice when a plan comes together. Well done!
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Old 07-12-2021, 12:56 PM   #20
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It is nice when a plan comes together. Well done!
I got lucky with the cost-cutting exercise our company is doing. I think their hope is they can fill my position with someone who gets paid less than ($1.5M - $300K) / 5 per year. Hopefully it will be a win-win situation for the company and I.

But there were some awfully upset people who plan to retire in > 5 years ...
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