Article: 'I'm too young to retire': What forced these workers to retire

[threeonesix]

If you're a poor performer, and well paid, you're asking for trouble at any age.

What if one is a top performer but paid like an intern? Asking for a friend

 

[FindingForward]

I will say healthcare doesn't seem to have any age bias issues. I see so many people in their 60s and 70s working in all aspects of care: physicians, nurses, PT/OTs, techs, pharmacists, certified aides, insurance billing, claims, office receptionists, and pretty much every other discipline in healthcare- they're in doctor's offices, hospitals, clinics...long term care facilities...you name it.

 

[brett]

That's how I always felt about selling vested stock options. I had lots of friends who's plan was to just hold them until their expired. But if you were let go, you only had 90 days to exercise the options.

I'd often remind them that the company may choose to let them go at a time when the stock was down,

Sadly, that happened to a bunch of people.

I was fortunate to work for an employer who deemed anyone over 55 as retired thus any O/S stock options were vested immediately and good for up to two years.

I saw a fair number of employees who had vested options sell for just a small gain. Others seemed to drink the megacorp kool aid and hold on until the stock dropped, sometimes below the buy price. When I firs started getting them in quantity by boss took me aside and said 'this is your retirement fund....watch it carefully'

I sold some. But after switching investment advisors our new advisor did an analysis for us Stock was at 43ish with O/S options at 15, 22. His advice was to sell more and protect our early retirement. Sold most. Stock was at 15 a year later.

Don't run out and sell for a small gain. But don't get greedy, believe the fud, or get complacent.

 

[Walt34]

I saw things like that happen to others while I was working. My job required that you pass a physical fitness test to get hired and periodically afterward to stay working, annually after age forty. If something was wrong, such as high blood pressure, you had at best six months to a year to correct it. If the prognosis for a return to normality was not good, like the fellow Zarzecki with Parkinson's, you had until your sick leave ran out.

If the ailment/injury was service-connected you were golden. You got 66 2/3 of your then-current salary, tax free, (which roughly equaled taxable income) and the normal COLA's everyone else received until normal retirement age when you took normal retirement. That was a result of an officer who was badly injured in the 1960's (blinded in one eye) with only two years on and at the time he had to take any county job he could qualify for. Fortunately for him he had a BA degree and was hired as a teacher so he didn't starve. But it took a while for the dust to settle and there was a lot of outrage at the time because it looked as though he might well be destitute because of the injury.

But a non-service-connected disability is the monster hiding in the closet of a job that is recession-proof. To my knowledge no police officer in that or any other nearby agency has ever been laid off because of economics. But that is in the Washington, D.C. area, which is pretty much recession-proof anyway because of the federal government.

 

[Dtail]

I will say healthcare doesn't seem to have any age bias issues. I see so many people in their 60s and 70s working in all aspects of care: physicians, nurses, PT/OTs, techs, pharmacists, certified aides, insurance billing, claims, office receptionists, and pretty much every other discipline in healthcare- they're in doctor's offices, hospitals, clinics...long term care facilities...you name it.

+1

 

[frayne]

It might be oversimplified, but generally, if you're a highly compensated employee aged fifty-five or older, already at the peak of your pay scale without prospects for promotion, you might find yourself in a vulnerable position with a target on your back. I saw it for the better part of thirty years working for mega corp. and unfortunately that is the reality pretty much across the board. This alone was the main driver for my goal of reaching FIRE at age fifty-four.

 

[Tetto]

It might be oversimplified, but generally, if you're a highly compensated employee aged fifty-five or older, already at the peak of your pay scale without prospects for promotion, you might find yourself in a vulnerable position with a target on your back. I saw it for the better part of thirty years working for mega corp. and unfortunately that is the reality pretty much across the board. This alone was the main driver for my goal of reaching FIRE at age fifty-four.

I see it too at megacorp. I’m 58, middle management doing ok money wise. DW and I can FIRE now if we want, but I do not want to yet. It’s kind of a game now with me- see how long I can last before showing me the door. The only thing is they keep giving me big raises and bonus, makes it hard to go! I do feel sorry for my boss, one year older than me and the proverbial cat in a room full of rocking chairs! Olalala

 

[MarieIG]

Sad stories, especially that poor lady attacked by her boyfriend! So sad

Yes, that was awful.

 

[MarieIG]

What if one is a top performer but paid like an intern? Asking for a friend

Then you CAN'T get fired - as much as you might like to be. Just sayin'.

 

[marko]

I volunteered for a RIF at 55. Would have been laid off before 60. Looked for work for 15 months to no avail, but then calculated we can retire.
Been 7 years and have not looked back.

Yup! I had a stellar resume and industry-wide name recognition. After becoming redundant after the sale of the company I couldn't get arrested at age 52. The unspoken position was that I was just some rich guy who only wanted to take clients golfing and do little else for the next ten years.

Ageism is very real and I think everyone should plan on an age 55 retirement instead of 65. If you make it past 55 it's all gravy.

 

[MarieIG]

Yup! I had a stellar resume and industry-wide name recognition. After becoming redundant after the sale of the company I couldn't get arrested at age 52. The unspoken position was that I was just some rich guy who only wanted to take clients golfing and do little else for the next ten years.

Ageism is very real and I think everyone should plan on an age 55 retirement instead of 65. If you make it past 55 it's all gravy.

While every scenario cannot be anticipated, I actually think it is wise to the extent possible to get your financial ducks in order sooner rather than later. If you are fortunate enough to be able to work to your intended retirement age - no harm no foul, but if some reason or other you retire earlier, it would at least be less stressful if finances were not an issue.

 

[Alex The Great]

I completely agree with statements made in this topic. Retirement plan in place by 50 would save you from troubles.
My professional career went very well till I hit 50. At that age, I've been laid off the first time. But I have to admit they closed the entire organization: nothing to do with my age. But after that, career become like a hell. I've been laid off from every job I find. I did not last more than 2 years at each company. Of course those were high paid IT engineering and management jobs. Finally I gave it up at 56 when I felt ready in terms of finances.

 

[badatmath]

One thing the article did not mention - just my own opinion that I know is not popular here - it sucks to be retired before your "friends" IMO.

I don't know anyone of my own age with much free time to do anything. Yes, I get this is a "me" problem as an introvert who had a couple of friends pass in the last couple of years but nevertheless I haven't found a good solution.

I don't want to hang out with the "seniors" who are 20 years older. Younger folks think I am a fossil and are also working.

And I find I am less tolerant of sitting around to do things like go out to eat than I used to be. Now that I don't sit at a desk 8+ hours a day I feel better but of course working people want to chill in their off time.

Not willing to go look for a job (as if I'd find one) or at least not "career" job.

 

[FindingForward]

Most of the people challenged in the article I understand and truly sympathize with - like that poor woman who was attacked. But a couple of those profiled I don't.

One couple was earning 200k+ a year for years on end - yet had practically nothing in savings?

Another, despite forced early retirement to provide years of caregiving, (which sounded grueling - truly feel for her), now has 80k per year in income between SS, her husband's pension and savings. Yet the article makes that seem like this is borderline poor, which surprised me a bit. Many retirees live on that or less. Assuming normal expenses in a MCOL to HCOL, didn't think 80k would be considered low income. HHI in most non VHCOL areas is far less than that.

I probably sound way too judgemental - illness and other misfortunes are unfair, tragic and life-shattering. But I genuinely don't understand how the ones who earned really GOOD money - far more than I ever did - aren't compelled to put much, if anything, away for a rainy day - while they blithely buy second houses!

I'd make darn sure I had a healthy retirement account before I ever thought about a 2nd house!

 

[Jeffman52]

I agree. I was passed over for raises my last 2 years at my company. In the 20 years I had been there, I lost track of how many company presidents we had.

24 years with the company I am in now and one of the things that has limited my career somewhat is my inability to keep my opinions to myself. One day I was in a Managers meeting with a number of other managers and they were discussing how all these "legacy" people were holding them back from initiating things they wanted to implement (of course it was things tried and failed multiple times). I listened about as much as I could and finally I looked over at the Director and said "You've been here two years. I've been through 4 of you. I looked over at the Sr Manager of the facility and said, and I've been through at least 6 of you. In less than 5 years you will be gone, but I will still be here supporting the business. If anyone has any stake in how things are going here, its the legacy people that have supported this company through thick and thin. I know you don't believe that but history tells me different."


After leaving them with that tidbit I went back to my office and went back to work. I got a crappy review that year...go figure. But I was right and wrong. It only took 3 years for both of them to have moved on to another company. One was fired and the other saw the writing on the wall and left.

 

[old medic]

But health can literally change in an instant with devastating consequences.

No truer words can be spoken... Or typed in this case.
Our case, Motorcycle accident a week after turning 60 would have ended my career if I hadn't already retired.
DW getting diagnosed with Cancer at 55 following her routine physical. They believe they got everything with surgery and chemo.
A very close friend also diagnosed with a rare blood Cancer during a physical with a new Dr after relocating to their new retirement home. Unfortunately her treatment has caused more harm than good, but she's still fighting.
Another dear friend, more like a brother, retired at 60, gone at 62.

Prepare for the worst, hope for the best.

 

[jollystomper]

I probably sound way too judgemental - illness and other misfortunes are unfair, tragic and life-shattering. But I genuinely don't understand how the ones who earned really GOOD money - far more than I ever did - aren't compelled to put much, if anything, away for a rainy day - while they blithely buy second houses!

I'd make darn sure I had a healthy retirement account before I ever thought about a 2nd house!

Retirement is usually less about what you are making and more about what you are saving. There are plenty of folks who make 200K+/year but have relatively little savings and are up to their eyeballs in debt. They may view retirement as "we can worry about that later" even in their 50s. Unfortunately when the unexpected happens all bets are off.

 

[athena53]

I have to admit I was rolling the dice by not having a good long-term disability insurance policy when I was employed. My work was mostly computer-based with some travel so I may have been able to continue with some physical limitations but not with cognitive impairment. I did get lucky on that.

 

[audreyh1]

Disability insurance was something our company provided as a benefit.

 

[marko]

I probably sound way too judgemental - illness and other misfortunes are unfair, tragic and life-shattering. But I genuinely don't understand how the ones who earned really GOOD money - far more than I ever did - aren't compelled to put much, if anything, away for a rainy day - while they blithely buy second houses!

I'd make darn sure I had a healthy retirement account before I ever thought about a 2nd house!

For many, retirement (planned or otherwise) is an abstract, vague, 'someday' event while 'We can have that second home now' is a lot more tangible.

I've heard it so many times: "So what if we have to work another 5 years?!" The catch of course is that working those five extra years is not always an option.

 

[marko]

Disability insurance was something our company provided as a benefit.

My brother had LTD for a buck a week. They paid his salary for six months after his stroke and then were highly instrumental in getting him SSDI at their expense. Sure, that was to their advantage but it was also to my brother's as well.

Life lesson: He had a massive stroke 2 months before his planned retirement date.

 

[meleana]

Yup. I was forced to resign at age 62. I knew I wouldn’t work again after that. Thankfully a combination of smarts and luck allowed me not to have to.