I signed up for this site a little over six years ago at age 47. My plan at that time was to retire sometime in the subsequent 6 years, with age 53 being the absolute limit of work. Well, I reached age 53 half a year ago but I’m still working. This isn’t completely without cause. For the past year I have been waiting for a “buyout offer” at my workplace due to funding shortfalls. And in fact, such a buyout was offered to all employees a few of weeks ago. I have one week to decide whether to accept this offer. If accepted, my termination/retirement date will be at the end of next week. The buyout offer is relatively modest - about 5 months of salary. However, I am uncertain about taking the offer and retiring. This is surprising. After all, I’ve been waiting for this moment for many years.
The hesitation on my part causes me to reflect on the reasons people do not retire. A non-inclusive list of 13 reasons is given below. Some of these reasons are very logical. Others less so. Some are financial. Others are emotional. Some reasons apply to me. Others do not. There is nothing particularly novel about this list. This subject has been discussed before and it will be discussed again.
Feel free to comment about the list. In the following post, I will describe my personal situation and request advice/insight. While this topic spans many categories, it is posted to the FIRE and Money forum since “financial psychology” is most relevant to my concerns. However, it is noted that this tread may be the antithesis of a current thread in the Other forum ("6 Signs You Are Ready to RE").
Reasons People Do Not to Retire
1) “I don’t have enough money.” This is a legitimate concern. Generally, people should not retire if they don’t have sufficient financial resources or reasonable plans to mitigate money shortfalls should they occur. Granted, the gray area can be large. It is often difficult to pinpoint exactly how much money is needed to retire.
2) “I will have more money if I work just one additional year, especially during my peak earning years.” The famous one-more-year syndrome. The statement itself is almost always true. However, it will be true at age 55, 65, 75, 85, and 95. It will never stop being true. When is enough really enough?
3) “I love my job.” OK. Makes sense. People who truly love their jobs shouldn’t stop working. Barring medical or related issues, why stop doing what one enjoys? However, very few people actually love their jobs. At best, most people find their jobs tolerable.
4) “I will miss the personal interactions and other aspects of office life.” Yes, there are often benefits and perks of the work environment that go beyond the work itself. Hopefully, however, these benefits are not confined to the office. In one form or another, most people can find the same or similar rewards in their personal lives.
5) “I will let my co-workers down if I retire.” This is often true. Your colleagues at work may need to assume your former responsibilities after you retire. This will be a hassle for some. It will be a “step-up” opportunity for others.
6) “I will be bored in retirement.” While this is a valid concern, a more practical approach may be to address the problem rather than the symptom. Instead of using work as a crutch, it may be better to seek ways to find personal fulfillment in retirement.
7) “I will have no purpose or goals if I retire.” Another valid concern. People need a purpose. People need goals. Interestingly, the goal of many working people is to eventually retire. Fulfilled goals can leave voids. There is no more excitement or anticipation. It’ s like the day after Christmas.
8) “It’s what I know, it’s what I’ve always done.” Interestingly, this is why many people remain in bad personal relationships. Bad habits, even painful habits, can be difficult to break.
9) “Work is expected of me; none of my friends and neighbors are retired.” This is particularly applicable to early retirees. Sometimes, doing what is expected is appropriate. Other times, it is keeping up with the Joneses.
10) “My identity and personal importance come from my job.” This is true for many people, especially workaholics and professionals. For some people, this is a difficult mental obstacle to overcome.
11) “I’ve worked hard my entire life, I will be giving up a lifetime of effort if I retire.” Retirement can be a significant mental, emotional, and financial loss. In some occupations, there is no turning back. When success is built on success, it is like every career accomplishment a person has pursued since their childhood days ceases to exist at retirement. It is not the loss of a job. It is the loss of a lifetime of work and achievement.
12) “I’m not mentally prepared to retire.” Understandable. Change is stressful, even good change. But if you are not prepared today, will you be any more prepared tomorrow?
13) “There are additional reasons why I do not retire.”
The hesitation on my part causes me to reflect on the reasons people do not retire. A non-inclusive list of 13 reasons is given below. Some of these reasons are very logical. Others less so. Some are financial. Others are emotional. Some reasons apply to me. Others do not. There is nothing particularly novel about this list. This subject has been discussed before and it will be discussed again.
Feel free to comment about the list. In the following post, I will describe my personal situation and request advice/insight. While this topic spans many categories, it is posted to the FIRE and Money forum since “financial psychology” is most relevant to my concerns. However, it is noted that this tread may be the antithesis of a current thread in the Other forum ("6 Signs You Are Ready to RE").
Reasons People Do Not to Retire
1) “I don’t have enough money.” This is a legitimate concern. Generally, people should not retire if they don’t have sufficient financial resources or reasonable plans to mitigate money shortfalls should they occur. Granted, the gray area can be large. It is often difficult to pinpoint exactly how much money is needed to retire.
2) “I will have more money if I work just one additional year, especially during my peak earning years.” The famous one-more-year syndrome. The statement itself is almost always true. However, it will be true at age 55, 65, 75, 85, and 95. It will never stop being true. When is enough really enough?
3) “I love my job.” OK. Makes sense. People who truly love their jobs shouldn’t stop working. Barring medical or related issues, why stop doing what one enjoys? However, very few people actually love their jobs. At best, most people find their jobs tolerable.
4) “I will miss the personal interactions and other aspects of office life.” Yes, there are often benefits and perks of the work environment that go beyond the work itself. Hopefully, however, these benefits are not confined to the office. In one form or another, most people can find the same or similar rewards in their personal lives.
5) “I will let my co-workers down if I retire.” This is often true. Your colleagues at work may need to assume your former responsibilities after you retire. This will be a hassle for some. It will be a “step-up” opportunity for others.
6) “I will be bored in retirement.” While this is a valid concern, a more practical approach may be to address the problem rather than the symptom. Instead of using work as a crutch, it may be better to seek ways to find personal fulfillment in retirement.
7) “I will have no purpose or goals if I retire.” Another valid concern. People need a purpose. People need goals. Interestingly, the goal of many working people is to eventually retire. Fulfilled goals can leave voids. There is no more excitement or anticipation. It’ s like the day after Christmas.
8) “It’s what I know, it’s what I’ve always done.” Interestingly, this is why many people remain in bad personal relationships. Bad habits, even painful habits, can be difficult to break.
9) “Work is expected of me; none of my friends and neighbors are retired.” This is particularly applicable to early retirees. Sometimes, doing what is expected is appropriate. Other times, it is keeping up with the Joneses.
10) “My identity and personal importance come from my job.” This is true for many people, especially workaholics and professionals. For some people, this is a difficult mental obstacle to overcome.
11) “I’ve worked hard my entire life, I will be giving up a lifetime of effort if I retire.” Retirement can be a significant mental, emotional, and financial loss. In some occupations, there is no turning back. When success is built on success, it is like every career accomplishment a person has pursued since their childhood days ceases to exist at retirement. It is not the loss of a job. It is the loss of a lifetime of work and achievement.
12) “I’m not mentally prepared to retire.” Understandable. Change is stressful, even good change. But if you are not prepared today, will you be any more prepared tomorrow?
13) “There are additional reasons why I do not retire.”
