Don't know what to do

[My Dream]

Hi everyone. I was wandering through the net and found this forum which caught my interest since it was exactly what I was looking for.

Introduction:
I'm 50, married for 22 years and have a daughter 11 and son 16 and live in Toronto, Canada.

I've been sitting in front of this pc, staring at this post not knowing what to write and erasing most of what I wrote, so I'm going to just say it. Plain and simple, I just don't know what to do.
This is my situation. I've been self employed for the last 13 years in a service type job. My plan was to retire at 53, but things have changed a lot over the last couple of years that I now find myself depressed about going to work. The bottom line is............I think I've retired already but don't know if I can do it financially and whether I can do it without guilt, since I feel I've quit earlier than I had planed, in other words.......I've let my family down. Here is some background info on my finances.

-Lived in the same house since marriage and could retire in, but don't want to.
-Everything we own is paid for and credit cards are paid off every month.
-Have lived well below our means for all our lives.
-Saved up a fairly large nest egg....... in our opinion.
-Kids live at home.
-2 cars which are approximately 14 years old each.
-Very handy person, and do mostly all of the repairs to home and cars.
-Wife started working part time since she saw I was getting depressed re work and wanted to help me obtain my dream a little earlier.
-Would need $45,000 per yr. after tax to break even every year, (kids still live at home)
-Wife clears $15,000 per year, so $45,000 minus $15,000 leaves $30,000.


My wife's dream was to stay home and raise the kids until they were around 10 yrs. old. My dream was to retire at 53. She got her dream with the help of me devoting many years of being a workaholic, and being so exhausted and giving up my personal life that it almost ended my marriage. Over the last year, I decided to devote a lot more of my time to my family rather than work and have found that although I'm happier and my marriage is now stronger than it has since the kids we're born, work has suffered. I can't be good at both. The decision I've made is....... family comes first. Unfortunately my job as I know it, I believe has come to an end.
This is where my dilemma comes in, this wasn't my dream, and I never saved up what I needed to have the lifestyle I wanted. I've spoke to my wife and she supports me with any decision I make. She said this after I took her to work with me for a couple of weeks and she finally told me that she didn't know how I could take the pressure and workload that I have all these years. In other words, she never believed it until she actually lived it with me.


In conclusion:
If I can make an average of 4% per year off of our nest egg, not accounting for inflation, I can break even. I don't want to just break even. I have been with IG for the last 9 years and am about to cash in and do my own investing starting Jan. 2007, since I've averaged about 2 % per year with them. Total disappointment.

Sorry for the long post and hope it's in the right section. Bottom line......I just "Don't know what to do".

Thanks for listening.

 

[brewer12345]

Hi, MyDream. I know that things are different in Canada, so maybe some of our resident Canadians will chime in before long.

I think you are doing the right thing for you and your family. I hear you loud and clear on the burnout issue, and I think you are wise to ste back before you do any more damage. You fulfilled your end of the bargain re: you wife staying home, so now it is time for some more balance in your life.

You don't tell us exactly what your pile is, but reading between the lines, I interpolate that you are at about 30,000/.04 = $750k (CAD, I presume). I think you have a reasonable chance of pursuing a semi-retirement. You need $45k. $15k comes fom your wife's earnings, so you have to find $30k. Where could you find it? I see two obvious sources: portfolio withdrawals and you working. How about a combination of the two? Is there something you could do part time that wouldn't be too stressful and would generate $10 to 20k? That would take a lot of stress off your portfolio.

In short, think creatively. You are not in as bad a place as you think. I think you just need some time off to relax, recover and think things through.

 

[retire@40]

You did not mention any health problems, so I'm assuming you and your family are in good health.  You have 2 good kids and an understanding wife.  Your have no debts and you have a $1 million nest egg at age 50.

I think the remedy in your situation is a solid kick in the ass, no offense.

You have more than most people dream of, so you should have no complaints.

If anything, it sounds like you are bored with your work and need a change of scenery.  If you survived 13 years being self-employed, you know what it takes.  You need to find something else you enjoy and do it part-time until you are ready to quit earning money.

http://tinyurl.com/khfbg

 

[crazy connie]

Change the investments ASAP.  Make a list of your skills and talents as they apply to work.  See what else you can do to earn some money.  Reprioritize all expenses and spending.  Evaluate all of the options.  Know you are not alone and continue to involve the wife.  Keep reading here on this board and contemplate decisions to shift gears and make changes.  Explore potential to change employment to something more enjoyable with less stress and more time for family.  Evaluate a reduced work week concept for more time to enjoy life.  So many options abound and only you can decide what it really takes to get by and still enjoy life.  Read and learn more on investing, taxes and expense control.  Realize that while wife currently makes 15K, that may go up in the coming years

Remember you are not alone!  The folks here are willing to help with suggestions and a lot of tongue in cheek humor.  Many of us are still grappling with the demon "enough to get by and enjoy life".

 

[yakers]

You have at least several options. AFAIK Canada is pretty good about health coverage and school/college costs so you may not hae to worry about what are major issues for me. You could look at part time work, especially if the schedule allows for more family time. Another thing that would be a radical shift is I know there is a lot of hiring in Alberta.
What I se as a big question is what do you want to do? I think (I am set to retire next year @57) it is better to retire "to" something rather than just retiring "from" work. If there is something you really like doing maybe you can find a way to make a little money doing it.

 

[My Dream]

b]brewer12345 [/b] , thank you for you're response. I'm not sure if I'm trying to find someone who can steer me in the right direction, or someone who agrees with what I'm about to do.

Back to the matter at hand. You read well between the lines, and if I may add to the original post. I want to be in a position to make up for lost time. I want to be there for my family and finally work on my to do list with should last for many years, but first off, I need some time to get out of this depressed state and get over my burnout. I can't see my self ever being bored, only worried about whether I can afford early retirement.
Financially, I don't want to touch my principal amount and don't want to be in a position to have to go back to work, even if it's part time. I only want to do that if I'm truly bored.
When I spoke of 4%, that was a guaranteed amount, I believe I could get more via mutual funds, but that is not guaranteed. If I had let's say $950K would you go the route of a GIC, or try you're luck at Mutual finds?

By the way, I appreciate you're comment "You fulfilled your end of the bargain re: you wife staying home, so now it is time for some more balance in your life." That made me emotional, due to what I have been going thought. I just hope that my family truly feels the same way.



I welcome any response whether it's positive or not.

This is my life and future, please give me advice.

 

[Nords]

Welcome to the board, Dream.  The good news is that, as you're seeing from the other posters, you're not the first guy to go through this. The better news is that this won't be as complex or as wrenching as it seems.

I now find myself depressed about going to work. The bottom line is............I think I've retired already but don't know if I can do it financially and whether I can do it without guilt, since I feel I've quit earlier than I had planed, in other words.......I've let my family down.

I think most good families would rather have you without the job income than to have you in poor health with the income.  People are frequently grinding themselves down over their perception of what they should be doing for their family, instead of having a chance to hear from their family what's expected.  I think the kids would be happier having you retired & working on family time than to have you absent & slaving away to support their lifestyle.  You've put a roof over their heads and food on the table-- everything else after that is negotiable.

Unemployment is always better than disability-- or life insurance...

Over the last year, I decided to devote a lot more of my time to my family rather than work and have found that although I'm happier and my marriage is now stronger than it has since the kids we're born, work has suffered. I can't be good at both. The decision I've made is....... family comes first. Unfortunately my job as I know it, I believe has come to an end.

So you're making the right choices.

This is where my dilemma comes in, this wasn't my dream, and I never saved up what I needed to have the lifestyle I wanted. I've spoke to my wife and she supports me with any decision I make. She said this after I took her to work with me for a couple of weeks and she finally told me that she didn't know how I could take the pressure and workload that I have all these years. In other words, she never believed it until she actually lived it with me.
In conclusion:
If I can make an average of 4% per year off of my nest egg, not accounting for inflation, I can break even. I don't want to just break even. I have been with IG for the last 9 years and am about to cash in and do my own investing starting Jan. 2007, since I've averaged about 2 % per year with them. Total disappointment.
Sorry for the long post and hope it's in the right section. Bottom line......I just "Don't know what to do".

Well, you have spouse support, and that's worth a lot more than $15K/year.  It also gives you plenty of breathing room to figure out just what you do want to do all day.

The problem most people face at this point is that they're too burned out to make a decision and too overworked to get the time to work on making a decision.  The solution isn't straightforward but the first step is to get some breathing room.  You (and your portfolio) have already done a lot of that.

If you have control over your current work obligations, then you should consider some time off.  Based on what we've seen from other posters over the last few years, I'd recommend at least six weeks minimum.  Either try to shut the business down for that time or find someone else to take over... although a third (less suitable) option would be to cut way back to part time.

Use that six weeks to recover and to start a new plan.  Don't try to do it all in the first week-- take the time to get caught up on your sleep and to relax a bit.  Don't try to take the family on a big vacation or repaint the house or do any other major projects.  Just decompress.  Read the posts on this board and read a couple books.

When you feel a bit more human then start two tasks:  check your expenses (it sounds like you're already tracking them) and decide what you really want to continue paying for.  The numbers in ER may be better than you expected-- some work-related expenses may drop off the checkbook, you may be spending less on gas or commuting or insurance, and you may discover that you're able to make cuts in other areas.  Some ERs use this time just to go over all their insurance coverage & household bills to make sure that they're not being overbilled, or to shop for healthier food and cook more at home instead of eating out (or eating take-home).  Don't make irrevocable decisions-- instead figure out what your minimal bare-bones survival budget would be, and then figure out what your "comfortable standard of living" budget would be.  For example you have to have health insurance but you don't necessarily have to pay for your kid's college educations.  Having the time to do this with a clear head (and a rested body) will make you see opportunities that you haven't noticed.  Even if your review of your annual expenses comes back to the same figure of $30K/year, then at least you'll know that you've validated it.

Along with your budget review, read Bob Clyatt's "Work Less, Live More".  It has a more flexible withdrawal scheme than the typical 4% SWR and you may find that it's more suitable for your situation.  

It also advocates a lifestyle that's more balanced between work & ER.  Bob never plans to totally stop working and he'd even return to a part-time job if he (or his portfolio performance) felt it was necessary.  You'll be able to figure out how to balance any financial shortfalls with part-time employment or you'll have the time to decide if you want to return to full-time work (and in what career field!).

Since you're taking over the portfolio, Bob's book has plenty of asset allocation advice.  Another option would be to read Bernstein's "Four Pillars", which is longer & more complex but a very good foundation for choosing your asset allocation and having the confidence to stick with it.  You can do it all with mutual funds but the key is to find a combination of whatever investments makes you comfortable. Your solution may be a combination of both (*shudder*) a GIC and an equity/bond portfolio-- but it's whatever works for you that's important. Along with those two books and the board discussions, I doubt that you'll miss your financial managers as much as they'll miss your perpetual donations. You'll solve a lot of your cash-flow challenges just by not having to pay them anymore.

Get a break, get rested up, and take a look at the budget & the books.  This will work out, just as it has for many others on this board before you... it's more an issue of getting the time for learning, analysis, reflection, & family discussions than it is rocket science.  

 

[brewer12345]

Finacially, I don't want to touch my principal amount and don't want to be in a position to have to go back to work, even if it's part time. I only want to do that if I'm tryly bored.
When I spoke of 4%, that was a guaranteed amount, I believe I could get more via mutual funds, but that is not guaranteed. If I had let's say $950K would you go the route of a GIC, or try you're luck at Mutual finds?

I would NOT leave the money in GICs.  If you do that, you will pretty much guarantee that you will run out of money because inflation will eat it all up over time. You need to set up a diversified portfolio that can stay ahead of inflation.  I suggest that you do some reading here and elsewhere to see what that might mean.  To give you an idea, I would suggest that any retiree's portfolio include at least some of the following:

- US equities (small, medium, large)
- International equities (developed and emerging)
- Domestic high grade bonds (medium term, both fixed and inflation-indexed if available)
- High yield bonds
- non-domestic bonds
- commodities
- real estate/REITs

Since you are Canadian, you could also consider adding a modest allocation of high quality income trusts.

Aside from the investing part, give yourself some time with all of this.  There is no immediate rush, so if it takes 6 months for you to recover, figure out what you want to do with your time and learn about invetsing, that's a very worthwhile use of your time (not working).  I hear you on the burnout and fulfilling your end of the family bargain because I am in the process of fulfilling my end of my familial bargain (and trying not to burn out).

 

[My Dream]

Let me answer as many of you're questions as I can and also make some coments:


Is there something you could do part time that wouldn't be too stressful and would generate $10 to 20k
I would rather increase my portfolio than find a part time job at this point.

I'm assuming you and your family are in good health
Yes we all are, although health insurance will be wise

sounds like you are bored with your work and need a change of scenery
Actually, if I may say......I haven't been bored for about 30 years, it's the stress and my so called boss that's changed my work life.

Change the investments ASAP.
I'm in the process of taking control of our finances as we speak.

Realize that while wife currently makes 15K, that may go up in the coming years
I concidered that possibility, but also feel guilty she doesn't share my retirement plans.

AFAIK Canada is pretty good about health coverage and school/college costs so you may not hae to worry about what are major issues for me.
I'm not familiar with AFAIK Canada, but will look it up, thanks.


Either try to shut the business down for that time or find someone else to take over...
I tried that, they couldn't handle the work load and pressure,and it made matters worse. I ended up finishing the job and it put a strain on our frienship. Others tried and failed and hurt the reputation of my business.


figure out what your minimal bare-bones survival budget would be, and then figure out what your "comfortable standard of living" budget would be.
Minimal, is $41,500 per yr., confortable is $46,000 and living well is $55,000 al after tax, this doesn't account for kids weddings or college fund. I've crunched those number many a sleepless night.



I need to find a way to get an average of 6% per year to account for inflation and creat a slush fund for the kids future, thus not touching my principal amount.

Can I do it, and is this only a dream?

 

[SecondCor521]

"AFAIK Canada..." should be read as "As far as I know, Canada...". It's not a company, it's a web abbreviation that people use to reduce the amount of time they spend typing.

My only suggestion is to reconsider and validate your reasons for not touching principal and compare that against what you're giving up by not doing so.

2Cor521

 

[Nords]

Either try to shut the business down for that time or find someone else to take over...
I tried that, they couldn't handle the work load and pressure,and it made matters worse. I ended up finishing the job and it put a strain on our frienship. Others tried and failed and hurt the reputation of my business.

Well, if you want to change this situation then you have to make a choice.  Your choices appear to be to get some time off by having someone fill in for a few weeks, or to cut way back to part time, or to quit the job entirely.  The answer's not necessarily easy but any one of them is probably better than staying where you are and pointing out that you don't have easy/good choices.  If there's another choice then someone will no doubt point it out, but I don't think that you can choose to continue the status quo...

I need to find a way to get an average of 6% per year to account for inflation and creat a slush fund for the kids future, thus not touching my principal amount.
Can I do it, and is this only a dream?

Yes, it can be done-- but the key is educating yourself, choosing an asset allocation, and then sticking to the plan.  And depending on your portfolio's volatility, there may be quite a bit of deviation around that average.

I'm not sure what you mean by "slush fund for the kid's future".  If you're talking about their care & feeding until they graduate from school then that's one thing (and your expenses will drop when they do leave!).  

If you're talking about saving for college then that's quite another.  Conventional wisdom is that parents should save for their own retirement before they start saving for their kid's education.  In addition many parents (and not a few grown kids) feel that kids get more out of the college experience when they have their own assets at risk in the process.

The wide availability of public/state colleges, scholarships, loans and other options gives kids many more options for getting their education than parents have for funding their retirements.  Again, if you're not bringing a full-time income then you may have to make a choice.  Being there full-time for them may not enable you to also pay for their college plans.

I can't overemphasize that the current situation seems even more discouraging than it may be because of burnout & fatigue.  Time off is imperative to the process of getting some rest and being able to see through the fog.  If that step isn't accomplished then the rest of the process may not be worth the effort necessary to complete it...

 

[My Dream]

"AFAIK Canada..." should be read as "As far as I know, Canada...".  It's not a company, it's a web abbreviation that people use to reduce the amount of time they spend typing.
Thanks for the clarification. The kids would probably need about $8-$15k each per yr. depending on whether it was College or University. That won't account for Residence.

My only suggestion is to reconsider and validate your reasons for not touching principal and compare that against what you're giving up by not doing so.
Piece of mind which will allow me to sleep at night.


Well, if you want to change this situation then you have to make a choice.  Your choices appear to be to get some time off by having someone fill in for a few weeks, or to cut way back to part time, or to quit the job entirely.  The answer's not necessarily easy but any one of them is probably better than staying where you are and pointing out that you don't have easy/good choices.  If there's another choice then someone will no doubt point it out, but I don't think that you can choose to continue the status quo...
I'm going to quit the job entirely, that's what I want to do.


I'm not sure what you mean by "slush fund for the kid's future".  If you're talking about their care & feeding until they graduate from school then that's one thing (and your expenses will drop when they do leave!). 

If you're talking about saving for college then that's quite another
I'm was refering to saving for college and help with their wedding.


I can't overemphasize that the current situation seems even more discouraging than it may be because of burnout & fatigue.  Time off is imperative to the process of getting some rest and being able to see through the fog.  If that step isn't accomplished then the rest of the process may not be worth the effort necessary to complete it...
I'm presently taking time off, but am fighting the fact that I don't know if I've made or am making the right choice. Therefore I'm having sleepless nights and no motivation during the day. My work status now is that I'm in the process of finalizing my last project and it should be completed within the next couple of weeks. I will only have to go to work for a couple of days to do some deficiencies(Institutional Kitchen Instalation....construction work).

 

[modhatter]

First of all, you have to understand that if you are in a "depressed state" than it is very difficult for you to make any sound decisions. Depression most always translates into a feeling of hopelessness. Everything seems so overwhelming.

I would suggest first things first. Go see a doctor and see about getting some anti-depressants. When they start to work, you will be able to see things much clearer and be able to feel once again that you are in the drivers seat, and you will be able to take control and go into action. They can really do wonders sometimes at the right time of your life.

Next, put out your current assets for the more knowledgable people to look at. Getting a guaranteed 4% as you seek should not be difficult at all. Perhaps some of you wiz-kid Canadians on this board can suggest a couple of good portfolio options for this person. Perhaps some of the higher dividend producing funds like Wellington as well as other mixes to insure more safety and preservation of capitol. I am unfamiliar with what is available to him, as he is Canadian, but I know others on theis board would do a good job of helping him.

Once again, I can not stress enough them importance of getting some meds right now, to help you get in control of the situation. They will not solve your problems. They will be there just as you left them. However, what you will gain is the "ability" to cope with them and solve them.

 

[Nords]

I would suggest first things first.  Go see a doctor and see about getting some anti-depressants.
Once again, I can not stress enough them importance of getting some meds right now, to help you get in control of the situation.  They will not solve your problems.  They will be there just as you left them.  However, what you will gain is the "ability" to cope with them and solve them.

I'm curious, modhatter, how long did it take for your ADs to arrive at the right combination of SSRIs and dosage? Days, weeks, months? Any side effects that required additional medications or other adjustments?

Perhaps a few weeks of rest & leisure will solve the problem just as quickly as antidepressants. If the symptoms recur upon returning to work then I'd say that the problem isn't medication, it's work.

I also ask because the submarine force hands them out like candy. Yet when those "depressed" people change the environment in which they showed signs of depression, they're no longer depressed.

Which answer would you want to hear for the statement: "Doctor, it hurts when I do this!"

1.) "Here, take these every day and keep in touch as long as your insurance holds out until everything feels better!" or

2.) "Then don't do that anymore!"

 

[My Dream]

Go see a doctor and see about getting some anti-depressants.
I've gone that route about 8 years ago and it put me in a worse state. I was unable to do my job and had to eventually get off the meds. Think about it, if you we're working 20 to 24 hr. day for weeks at a time with a tremedous among of stress, while trying to do you're job as well as you're bosses, and being away from home for weeks at a time only to go home to sleep rather than spend time with you're wife and kids, knowing that you don't see a light at the end of the tunnel. Would the average person be able to survive that let alone eventually start getting depressed? I appologise for the tone.


Nords I had to read your post twice to undertand it's meaning........I believe I got it.

 

[retire@40]

... if you we're working 20 to 24 hr. day for weeks at a time with a tremedous among of stress, while trying to do you're job as well as you're bosses, and being away from home for weeks at a time only to go home to sleep rather than spend time with you're wife and kids, knowing that you don't see a light at the end of the tunnel. Would the average person be able to survive that let alone eventually start getting depressed?...

Been there done that. Same family situation, same self-employment situation, same stress.

You don't need meds, you need to ask yourself how YOU are going to fix the problem. I fixed it from going from 16 hours a day, 7 days a week to about 20 hours a week now. I hope to be at 5 to 10 hours a week in a few more years on a voluntary basis since I should be FI in about 3 to 4 more years.

Less work, less money, more family time, better health, good balance.

 

[donheff]

Go see a doctor and see about getting some anti-depressants.
I've gone that route about 8 years ago and it put me in a worse state. .

I just read an article in yesterday's paper about a new form of antidepressant that was tested on a group of people who did not respond to Zoloft, et al. Something over 70% responded well, with effects starting in 2 hours and pronounced within 24 hours! You might be able to find out about it with a Google search. It won't be available for depression for some time (still in testing). I didn't read whether it is approved for other uses, in which case it will get prescribed for depression before it is approved.

 

[My Dream]

Been there done that.  Same family situation, same self-employment situation, same stress.

You don't need meds, you need to ask yourself how YOU are going to fix the problem.  I fixed it from going from 16 hours a day, 7 days a week to about 20 hours a week now.  I hope to be at 5 to 10 hours a week in a few more years on a voluntary basis since I should be FI in about 3 to 4 more years.

Less work, less money, more family time, better health, good balance.

The nature of my business is that if you let the competition in, they will take over, that's how I started out and got so busy. Working less for me was never an option, since I knew what the outcome would be. I eventually took you're advice and decided that my family was more important, and unless I jump back in at the risk of loosing my marriage, the competition has already taken over. I'm made my bed, and now .......I seek early retirement .............I want my life back and my wife (although I sense some worry) and kids support me on this decision. I'm just having a hard time dealing with this.

retire@40 I appreciate you're suggestion. Thanks

 

[My Dream]

I'm curious, modhatter, how long did it take for your ADs to arrive at the right combination of SSRIs and dosage?  Days, weeks, months?  Any side effects that required additional medications or other adjustments?

Perhaps a few weeks of rest & leisure will solve the problem just as quickly as antidepressants.  If the symptoms recur upon returning to work then I'd say that the problem isn't medication, it's work.

I also ask because the submarine force hands them out like candy.  Yet when those "depressed" people change the environment in which they showed signs of depression, they're no longer depressed. 

Which answer would you want to hear for the statement: "Doctor, it hurts when I do this!"

1.)  "Here, take these every day and keep in touch as long as your insurance holds out until everything feels better!" or

2.)  "Then don't do that anymore!"[/quote]

I believe the second answer is what will solve my problem.

 

[eridanus]

Jeez, it's a sign of our times that people suggest drugs when the solution is obvious. Nords hit the nail on the head:

WORK IS KILLING YOU!

You don't take drugs so that you can continue working. You change your working habits.

Repeating what others have said:
1) Take a break.
2) Can you do something else, something requiring fewer hours/week? Part-time work, not necessairly in your current field?

 

[amy]

I'm not comfortable with psychiatry as a science and I think our understanding of what causes and how to alleviate "depression" is about as shaky as our ability to define the word.

I'm sure psychiatry has had its measure of successes and you have to applaud and encourage our progress in mental health but I'll bet their success rate with anti-depressants long term isn't much better than placebo.

Two years ago I saw the most horrific psychiatrist/patient thing play out with a co-worker. His wife divorced him, got custody of the kids, he fell into a depressoin, saw a shrink. Over a period of months he went from being unmedicated to being on 9 different medications. He stopped showing up for work, slept 18 hours a day and was finally fired.

Two years later he's still struggling with various medications, new doctors and lives back home with the parents.

Just another biased opinion for you.

"Well doctor it's my arm it hurts when I move it like this."
"Don't move it like that."
*canned laughter*

Yeah I like that sketch....I miss the Carol Burnett show too.

 

[retire@40]

I know lots of people in many different areas of the medical profession.  They all tell me to a person that people these days are way over-medicated. 

Doctors are prescribing more than they know they should because of the push/pull effect.  The drug companies are pushing them to sell, people are pulling for the meds. 

Many times people ask for meds just because they happened to see a commercial on TV.  Try counting how many Rx commercials you see during the 1/2 hour evening news.  Have you ever asked yourself why they are advertising to the public instead of just the medical profession?  It's a big dirty business.

 

[Caroline]

If your business is so competitive I wonder if you could sell it to the competition (who might pay handsomely to get you out of the fray).  Maybe they'd even take the business and / or you as a skilled consultant, part time?  That could add to your retirement stash and / or bring in part-time income afterwards.

The only other thing I'd add is that if I had your stash and Canadian medical care, I'd have left skid-marks on the way out already. 

Regarding the kids and college and wedding (huh!!!!!!!!!) costs, they would not be an issue.  My dad quit a stressful job at 55.  I paid for my own college and grad school, and I turned out just fine.  He's still with us at 76, and I wouldn't change any of it for the world. In fact, I would have HATED to have him stay at his job to pay for my college, only to die prematurely or live in misery. That's a hell of a burden to lay on a kid - are you sure you want to do that?  Have you asked them what they think?

Whatever your situation, there are always reasons NOT to do a thing. What would it be like to say "I AM WITHOUT a DOUBT going to retire on (date within the next year), and between then and now my wife and I are going to work together to MAKE that happen?  Go at it from a positive, instead of a negative point of view.

Whatever you do, best of luck to you.

 

[Meadbh]

Greetings from Somewhere in Canada!

First of all, as a physician, you do sound quite depressed to me. I'm hearing sleeping problems and lack of motivation. I suggest you Google "depression screening test" to find an online tool that you can use to determine how your mood rates. If the results suggest that you are, indeed, signficantly depressed, and ESPECIALLY if you have suicidal thoughts, PLEASE, PLEASE do tell your wife about it and see your primary care provider as soon as possible.

Your business is installing institutional kitchens. If it's burning you out, could you use your skills in a way that would leave you with some time to refresh? e.g. installing home kitchens perhaps? The real estate market is still hot in western Canada and so is renovation.

Now that that's out of the way, on Canadian investment funds......
Brewer is right; you need a diversified portfolio. The right mix for you is one that meets your risk tolerance. Your financial advisor should review this with you every few years as part of the Know Your Client process.

You would be wise to get out of Investors Group. IG has some good funds (I used to hold their Dividend Fund some years ago when it was doing very well), BUT their MERs (management expense ratios) are much too high. For example, Investors Dividend A has an MER of 2.76%. So if the fund earned 5% this year, your net earnings would be only 2.24%. MERs may be higher in Canada than in the US, but this is too much. An IG fund has to outperform the markets to give you an average real return.

In contrast, my MD Management funds have MERs of approximately 1%. (These funds are restricted to members of the Canadian Medical Association or their families).

Take a look at the Morningstar Canada site; you can compare and contrast funds to your heart's content. Also read the books by Ranga Chand and Gordon Pape.

Another idea, since you appear to have a portfolio in the high six figures, is to consider private client services. This is certainly a serious consideration if you have more than $1m to invest. I have had a very favourable experience with Scotia Private Client. Not only are the MERs quite reasonable, but I have a highly qualified financial advisor nurturing my segregated portfolio, which is beating the markets. The customer service is great too.

In contrast to what Nords said, you do have some discretion about whether you buy health insurance. Canadian medicare is not perfect (the principal problem is waiting times) but at least if you develop a catastrophic illness your hospital expenses will be covered and you will not lose your life savings. You have paid for this in your taxes and with four people in your household it is worth approximately $10K per annum to you. Supplementary health insurance is good to have in case you need lots of physiotherapy, vision care, massage, etc, but is icing on the cake.

Above all, take care of yourself.

Meadbh

 

[My Dream]

If your business is so competitive I wonder if you could sell it to the competition (who might pay handsomely to get you out of the fray).  Maybe they'd even take the business and / or you as a skilled consultant, part time?   That could add to your retirement stash and / or bring in part-time income afterwards.

The only other thing I'd add is that if I had your stash and Canadian medical care, I'd have left skid-marks on the way out already. 

Regarding the kids and college and wedding (huh!!!!!!!!!) costs, they would not be an issue.   My dad quit a stressful job at 55.  I paid for my own college and grad school, and I turned out just fine.  He's still with us at 76, and I wouldn't change any of it for the world.  In fact, I would have HATED to have him stay at his job to pay for my college, only to die prematurely or live in misery.  That's a hell of a burden to lay on a kid - are you sure you want to do that?  Have you asked them what they think?

Whatever your situation, there are always reasons NOT to do a thing.  What would it be like to say "I AM WITHOUT a DOUBT going to retire on (date within the next year), and between then and now my wife and I are going to work together to MAKE that happen?  Go at it from a positive, instead of a negative point of view.

Whatever you do, best of luck to you.

I install institutional kitchens for a living, e.g., Casino's, Hospitals, Schools etc. I don't supply any material, I only charge for my labor. I can't sell the business since if I'm gone, my experience and skill is gone. I can’t sell my goodwill. I tried training 12 people and they all failed before the second year of my 5 year training schedule. The work load is very high and the stress level is unbelievable. For e.g. if I don't complete the contract on time, a $750,000,000 Casino won't get there occupancy, regardless whether the rest of the contract is complete. Therefore I have to pay a $1,000,000 per day penalty, even if I was delayed for any reason.

As for my kid’s education, I feel that this is a present I want to give or help them with since I wasn't there for them when I was a workaholic.