Do people actually retire early?

[seabourne]

A guy that I work with on ships retired at 40 from working in IT. His wife kept working for a couple of years on their financial plan, but was laid off last year. She's taken another job for the next year or so before they take off for good. They both dive, he's picked up a captain's license, and will get his dive instructor's ticket before they take off to run a dive boat for fun in the warmer climates. they sold their sailboat last fall and have been getting their house ready to sell in preparation for departure. They don't really need to work for money, but are very Type A people, so end up working when they get involved in any activities generally.

 

[CoolChange]

I have personally known a few:

One guy retired from the United States Marines around 40 and retired to a small shack on a beautiful river in the Missouri Ozarks. Not for everybody; but, frankly, I envy him in many ways. And, the last time I ran into him, he seemed very happy.

I knew a couple (him: bar owner; her: United State Navy) who retired in their late forties and moved to Costa Rice to retire. Not sure you would call them successful at retirement or not though: They wound up opening a dive shop and growing the business significantly; not of of economic necessity but initially out of spite (falling out with local dive shop; longer, funny story).

One final guy who comes to mind; again, maybe not successful at the retirement thing: Retired very early (40's) from a large credit card processor (saved a lot plus got lucky, right place, right time, when they went public). Went back to work as a programmer a few years later; got fed up after a few years and retired again. Went back to work, again, as a programmer a few years later. Just got fed up and retired yet again. Looking forward to having a large glass of bourbon with him in the near future and teasing him about this whole saga.

In short, FI seems easier to attain than ER in my limited experience.

 

[MuirWannabe]

I only know one. She was the head of Marketing here at my Megacorp. She just retired recently at the age of 49. She could have kept going and she had it more or less made. No doubt drawing a very nice salary. But she was willing to leave it all behind for the joys of retirement and living simply. I was impressed.

 

[Gone4Good]

My old boss quit at 45.

 

[cardude]

I don't know any personally, in the flesh. I quit pretty early at 45 so all my peers are still working.

Actually I forgot, I do have an "older" buddy who retired at 57. He worked at one of the local plants for 30 years, lived cheaply and saved his money, then took an early package a few years ago. He builds boats when he needs a little extra money now, and fishes-- a lot.

 

[walkinwood]

Me. ER'd in May '08. Panicked and worked part-time at the end of '09 & early '10, but have got to my senses and am ER'd again.

I plan to be flexible though and if needed, I will have no problems going back to work for a while doing something I like - or if the situation is dire, doing something I don't like. I'd rather enjoy my life now and take an educated risk, than waste the best years of my life chasing an elusive "certainty" in retirement financing.

 

[Calgary_Girl]

DH and I are still slogging away but the only person I know personally who retired early was my best friend's dad. He retired at 55 from the police force with a full pension.

Reading all the posts, it seems that the majority of people who retired early worked in the public sector which offers very generous pensions. In Canada (I'm suspecting this is the case in the States as well), most private sector companies are moving away from defined benefit pensions to defined contribution pensions which is making it harder for people to retire early. The Federal government has even talked about increasing CPP (Canada Pension Plan) premiums to make the payouts larger in order to level out the playing field with people who work in the public sector and have very generous pension plans.

 

[martyb]

I retired earliier this year from one of my 2 jobs...USAF Reserves. 33 years and age 52. Now in just 2.5 more years, I'll retire from my full-time federal careeer, on my 55th birthday. I do not ever intend to work again! Too much fishing & traveling to do....

 

[haha]

Ha was right, there are no early retirees. There is just a conspiracy on the Internet by us fakers to make our fellow workers suffer more. We make all these posts about the joys of ER from our desks at mega-corp.

So that is where you are Don, I make mine from an I-phone down in the mines. That is why they are often short.

 

[mews]

2 of my 3 brothers - at 50 & 55 as I recall.

One small business owner, one lawyer.

I have ambition, but Mr. Market is not cooperating with my squirreling away :::sigh:::

Oh, and those folks who look at you like you are nuts - they are the same group that thought I was nuts for changing careers.

Some people aren't happy unless they are unhappy.

Ta, mew

 

[FUEGO]

Some acquaintances.

Husband of coworker was a retired cop who retired in his 40's with full pension. Did some PI, tough guy and service of process stuff a few hrs a week for our office (good guy to have around when you head into a crack house).

Neighbors a few houses down. He describes himself as an architect who works from home. They own six rental houses in our neighborhood and I don't think he works a whole lot (other than tending to the rentals). Very involved with the community and sits on some municipal committees, that sort of thing. He was probably in his late 40's or early 50's when I first met him. Maybe he's cranking out 50 hrs a week in his home office?? But I see him out and about during the day on weekdays doing yard work, recreational walking with his wife, etc.

Brother of a former coworker sold his house in california and pocketed the million(s). Age in the lower 40's. Calls my former coworker occasionally from the golf course to ask how his day at work is going (in a good humored manner!).

Since I'm only 30, most of my friends and acquaintances from high school and college are still in school, or just finished up their PhD's, MBA's, MDs, JDs, etc and are either starting or in the middle of residency or have been working for a few years. Probably focused on spending the money as fast as they can acquire it. Or paying down college loans and trying to buy house, car, etc and have kids.

 

[dex]

If these early retirees exist, where are they? I do not want examples from internet blogs. Do you actually know a real person who has retired in the 40's or early 50's successfully?

I met two people who were biking and sailing around the world.

We know that some civil servants - police, fire, military - can retire earlier than 60. Then there are the people on involuntary ER - disability, long term unemployment, etc.

They are all around us.

 

[Bimmerbill]

My dad retired at 55. His company moved from MA to chicago or something and he decided to stay up here. Paid off house and low cost of living made it possible. That and my mom is 10 years younger so she worked for the health care.

He passed away at age 69, so I am very glad he had many years of fishing and puttering around before the cancer got him.

 

[FUEGO]

There's probably a lot more ER's out there than you would think. Most don't run around telling strangers that they are ER'd (based on what I have read here at this forum). Seems like the trend is to be modest about your ER status.

 

[mbooth]

Real/actual examples..........

Friend of mine retired at 56......40+ years in a contributary government job with a Defined Benefits Plan.....committing a legislated and compulsory % of his wage from year-dot will do it, it's called compound interest ;-)

Another friend invented an "i-thingy" than netted him a small fortune in the early nineties and had him more-than-comfortably-retired in his early 40's..........luck is a wonderful misstress.

I'm 56, early if you are counting 65 as 'normal' retirement age, and I intend retiring before the end of this year (within 2 months of 'now' if the corporate BS gains the better of me, which is highly likely ;-))

That's through a combination of 20-year mlilitary service pension (more than well-earned), maximising personal superannuation contributions (Australian....look it up but similar to US 401k system), the Aussie equivalent of US Social Security (I earned and paid for that too) and definitely LBYM!

I can do it and I'm goin'a do it! ;-)

Early retirement is definitely an achievable goal, it just has to be aimed for and planned for a lil' bit..............oh, but that might be a problem for some ;-)

Cheers - Mick

 

[ziggy29]

Reading all the posts, it seems that the majority of people who retired early worked in the public sector which offers very generous pensions. In Canada (I'm suspecting this is the case in the States as well), most private sector companies are moving away from defined benefit pensions to defined contribution pensions which is making it harder for people to retire early.

I think the private sector had its last burst of early retirement glory with all those dotcom stock options millionaires of the late 1990s. Since then working in the private sector has been outright depressing in terms of retirement prospects for the average employee, especially when almost everyone you see retiring early and comfortably had government jobs.

 

[mbooth]

I think the private sector had its last burst of early retirement glory with all those dotcom stock options millionaires of the late 1990s. Since then working in the private sector has been outright depressing in terms of retirement prospects for the average employee, especially when almost everyone you see retiring early and comfortably had government jobs.

One is reminded of the hare & tortoise parable ;-) "Guvmint' employment, at least in my country, is certainly seen as 'safe', but the offset is one of lesser income. 'Risk and reward' being the arbitor ;-}

 

[FIREd]

I think the private sector had its last burst of early retirement glory with all those dotcom stock options millionaires of the late 1990s. Since then working in the private sector has been outright depressing in terms of retirement prospects for the average employee, especially when almost everyone you see retiring early and comfortably had government jobs.

Perhaps, that's why I don't know any early retirees in real life (defined by the OP as people who retired in their early 50's and earlier). I know very few people who work for the government. My uncle worked for the post office and retired at 55 or 56 with a government pension. BIL is in the Air Force and will probably retire in his 40's with a government pension. That's it. Every one else in my family/friends/acquaintances work/worked in the private sector. The older private sector employees still managed to retire fairly early with a private pension (my parents, aunts and uncles all retired in their late 50's, early 60's). The younger private sector employees will have to rely exclusively on their own savings to retire and, except for one like-minded friend of ours, I know of very few people my age who will be able to pull it off.

 

[fancy free]

i agree with fuego - you may know some ERs who just keep that information to themselves.

i retired in my early 40s - no pension, no gov't job. owned my own business, lived below my means, saved and invested.

the only other person i know who has retired early is my husband, who was also in his 40s.

i wonder why you announce to other people that you want to retire early. we play our cards close to the vest. only the people closest to us know that we are retired; everyone else assumes we are still self-employed. what they don't know doesn't make them jealous.

 

[harley]

I personally know 7 ERs, not counting myself and DW. Of course, since you don't know me I may not have any credibility. Sarah in SC is a moderator, and thus above reproach. She'll be meeting us in a couple of weeks (yay Floydfest!) and will be able to vouch for us then.

 

[rescueme]

Friend of mine retired at 56......40+ years in a contributary government job with a Defined Benefits Plan.....

He started working at a full time government job before the age of 16 ?

I don't understand...

 

[Meadbh]

I know quite a few nurses who ER'ed in their 50s. My father ER'ed @62. All of these people had defined benefit pensions.

I also have several girlfriends who are or were high earners, whose DHs "retired" to become "househusbands". Some of them were in their 30s. I have one ER'ed girlfriend whose DH is also ER'ed. They married late and had no kids, and they are very frugal.

 

[haha]

I also have several girlfriends who are or were high earners, whose DHs "retired" to become "househusbands". Some of them were in their 30s. I have one ER'ed girlfriend whose DH is also ER'ed. They married late and had no kids, and they are very frugal.

From your '" " I see that you also feel that this is not retirement. It is trading a job with cash benefits, prestige and perhaps power, with some limits on the bosses behavior for one with little or none of the above.

Ha

 

[ronocnikral]

my FIL hung it up at 56. two pensions, one from the military (reserves) and the other a civil service thing. 4 years into retirement he had a wheel failure while mt biking in southern utah. he's now a quad. it's a shame...you just never know.

my FIL is the only one i personally know to ER...

i also keep my mouth shut about my plans. i shared with a co-worker one time and all i got was a bunch of nay saying. besides, i don't want word to get around at my mega-corp that i'm planning to cut it short, i fear the ramifications (not getting the jobs/promotions i want).

 

[Emeritus]

Limiting myself to purely private sector folks who fully retired before age 58 and not due to illness...

Two cousins, one neighbor, one classmate. Big severance, inheritance, empty nesting and investment success all were involved