Trying to figure out when I can tap a retirement account???

[Slim11]

I am not getting involved in the last bit, but to answer the op, it depends on the account its in and what the people that hold it allow. I have a 457 account, so upon separation of employment at any age I can withdraw my money with 0 penalties. This is a typical goverment plan. Do you have a 457? Or something else?

 

[Koolau]

Yes, I will be able to retire well before 62, so no complaints with that.

However, a wealthy nation like ours should easily allow for more of the inherited wealth thing, or massive salaries from the start so you don’t have to save, save, save, like I did. All that money saved sits dormant, except for growth. Doesn’t purchase goods and services and stimulate the economy nor does it enable me to lead an exciting lifestyle.

Sorry, I don't follow this logic. We all saved and invested and no, that money wasn't spent (by us). It was spent by others who couldn't wait to spend or who built industry, etc. (We loaned them our money and they paid it back with interest - but the money got spent by someone).

The fact that we are a wealthy nation is WHY we can retire early - by saving and investing in the dynamic economy. But it's not a free ride because we are a wealthy nation. No reason our wealthy nation should support early retirees.

 

[Koolau]

And I’ve seen so many folks who never had to work a day in their life. Some, shamefully, really squandered it.

I've known some folks who were under-employed and some who didn't live up to their potential. But I can't think of any folks I've known who inherited huge amounts or never had to w*rk a day in their life. I'm sure such people exist, but I just didn't know any of them. Could be I just know the right group of people. YMMV

 

[Koolau]

Yes, I need to. It eats me up inside. Most mornings I wake up and think, what, I’m STILL working and/or I’m not a billionaire yet?

I should have never thought college was going to make me massively wealthy and gone into the Navy. I tried to get into the Coast Guard when I was 18 but couldn’t due to bilateral tubes in my ears.

There comes a time when you either accept things (life is hard for most people - just ask anyone in the 3rd world) OR you do SOMETHING different and hope it changes the outcome. No guarantee, but being eaten-up inside is unhealthy and non-productive.

Sorry, but you might actually need some help with this. Best luck.

 

[RetiredHappy]

There is no such thing as a free lunch. If every one is rich, then no one is poor and that is not reality. If you want to be rich, you got to work hard for it.

 

[Koolau]

There would be a lot more GOOD jobs if there were less inequality (no billionaires) in our society. A job where you are subservient to someone rich is not a good job, it's soul-killing. Stand proud that you did not bootlick any rich, entitled a**h***s to get where you are today, nor did you have to scrub their floors or toilets.

WADR I have to disagree. Billionaires spend FAR less (on a percentage basis) than you (or I) do. They invest their money and that investment drives our economy. They don't just spend money on pleasure or luxury.

We COULD live without billionaires, but we'd likely have a less robust economy. If I may mention Elon Musk without getting into trouble, what is it that he does with his billions? Does he live like a king or have a diamond plated commode (well, maybe he does, but he builds cars and rockets and communications infrastructure). Not suggesting we should all bow down to him, but at least give him his due. He hasn't just decided to sit back and "enjoy" his billions. He DOES stuff with his billions.

Arguably, we as individuals and as a nation are better for having billionaires around. Take all their money and give every person on the planet their "share" of their money and what would you get from that? You wouldn't even notice it but you would notice that they are no longer "doing stuff". Sorry, wish I could have come up with a less controversial name as my example (Maybe Jeff Bezos or Warren Buffet) but the stuff they do isn't as "visible" to everyone.

Billionaires may be evil, but if they are, it's not because they are billionaires. What they do with their billions is what we should judge them on IMHO.

 

[Drifter]

What's next? Drugs,divorce? This has to be the most self centered topic I have come across in a very long time. Upset not being a billionaire. Good Lord

 

[Koolau]

What's next? Drugs,divorce? This has to be the most self centered topic I have come across in a very long time. Upset not being a billionaire. Good Lord

Yes, here on FIRE Forum, it's only acceptable to complain that you are not yet a millionaire!!

 

[Slim11]

Dam, I am on the wrong site. I thought this was the cheap millionaires free early retirement site. I figured they kept the rif raf out?!?!?

 

[Koolau]

Dam, I am on the wrong site. I thought this was the cheap millionaires free early retirement site. I figured they kept the rif raf out?!?!?

Nope. If they let me in, they'll let anyone in.

 

[ncbill]

Yes, here on FIRE Forum, it's only acceptable to complain that you are not yet a millionaire!!

Or you could head over to Bogleheads forums.

And see people with $10 million complain they are terrified of retirement.

 

[pb4uski]

Sorry, I don't follow this logic.

Koolau, to maintain your sanity, don't try to follow the OP's logic. There is none.

 

[Koolau]

Koolau, to maintain your sanity, don't try to follow the OP's logic. There is none.

I'm trying to give the benefit of the doubt.

 

[Sunset]

Some folks don't know how good they have it and can't seem to appreciate exactly how well off they truly are living.

It's very rare to be rich (over $1 million). In the USA that rarity is approximately the numbers below:

• People with the top 1% of net worth in the U.S. in 2025 will have at least $11.6 million in net worth
• The top 2% will have a net worth of at least $2.7 million
• The top 5% will have at least $1.17 million

95% of the USA population have less than $1 Million.

When you consider the rest of the World, the majority of them consider a day successful if they have enough food for the family!

The bottom 1% in the USA lives better than around 50% of the world population.

 

[MrBojangles]

Koolau, to maintain your sanity, don't try to follow the OP's logic. There is none.

I can’t deny it, I’m an extreme outlier when it comes to all this. I have outlandish ideas and don’t understand why it can’t happen. Sheet desire and ambition should count for a lot.

If you go to college to be a teacher or a social worker, yes, you know you won’t make a lot, but I went intending not to study anything specific but, when out, pursue any extremely high paying job I could get. I didn’t realize the sum total of that was zero. You would think ambition and drive would count for a lot, I kept clean cut and worked a lot of jobs at a time when classmates worked none. I thought this would go a long way. Yes, there was a time when I was extremely ambitious, but if no one cares or notices, it doesn’t go far.

I was extremely ambitious then because I reasoned I could do that for a few years to the point where it boiled down to, at a very young age, do I get out of the rat race now or put in another year because the pay and benefits are just that incredible.

I’m not particularly ambitious now, just biding my time until I pull the plug, simply because I’m more ambitious than I ever expected to be at this age to begin with.

Yes, I’m an extreme outlier when it comes to this, falls under “don’t try this at home, boys and girls”.

 

[RetiredHappy]

I can’t deny it, I’m an extreme outlier when it comes to all this. I have outlandish ideas and don’t understand why it can’t happen. Sheet desire and ambition should count for a lot.

If you go to college to be a teacher or a social worker, yes, you know you won’t make a lot, but I went intending not to study anything specific but, when out, pursue any extremely high paying job I could get. I didn’t realize the sum total of that was zero. You would think ambition and drive would count for a lot, I kept clean cut and worked a lot of jobs at a time when classmates worked none. I thought this would go a long way. Yes, there was a time when I was extremely ambitious, but if no one cares or notices, it doesn’t go far.

I was extremely ambitious then because I reasoned I could do that for a few years to the point where it boiled down to, at a very young age, do I get out of the rat race now or put in another year because the pay and benefits are just that incredible.

I’m not particularly ambitious now, just biding my time until I pull the plug, simply because I’m more ambitious than I ever expected to be at this age to begin with.

Yes, I’m an extreme outlier when it comes to this, falls under “don’t try this at home, boys and girls”.

Were you ambitious wrt work or ambitious to make big money and tell your employer what you want to do and when you want to do it? With the former, the money will come with it. With the latter, bosses and hiring managers see through it quickly and the job will not go to you.

 

[MrBojangles]

Were you ambitious wrt work or ambitious to make big money and tell your employer what you want to do and when you want to do it? With the former, the money will come with it. With the latter, bosses and hiring managers see through it quickly and the job will not go to you.

I was ambitious initially, and made zero demands, just wanted an opportunity to, and there wasn’t one nor the money to go with it. But, yes, had I achieved that, I’m sure after 5 years if I hadn’t been fully retired, my work habits would have become really lax, as I figured with enough time in they could. But so, too, my buddies at work would have done the same, and it would largely be pursue your interests, let the company run itself.

I would be kicking myself now for botching it.

 

[RetiredHappy]

But, yes, had I achieved that, I’m sure after 5 years if I hadn’t been fully retired, my work habits would have become really lax, as I figured with enough time in they could. But so, too, my buddies at work would have done the same, and it would largely be pursue your interests, let the company run itself.

I would be kicking myself now for botching it.

That's not what employees who have risen to the top who make alot of money do. They work hard to get there and continue to have the same work ethics. "Let the company run itself" is not how it works. None of the Fortune 50 companies has lazy management and "let the company run itself."

 

[MrBojangles]

That's not what employees who have risen to the top who make alot of money do. They work hard to get there and continue to have the same work ethics. "Let the company run itself" is not how it works. None of the Fortune 50 companies has lazy management and "let the company run itself."

I’m admitting I probably would have botched it had I made a ton of money. It was the bind I created in my head, you have a ton of money but no time to enjoy it vs you have lots of time, but not the funds to use that time productively. It’s kind of hard to spend time wherever you want to when you want to if you’re at work all the time. I guess, fortunately for me, this rich guy’s problem didn’t become mine. I ensured going to work was necessary most of my career. What will happen, eventually, is I’ll retire and have the time I always wanted, but certainly cannot go hog wild much and would actually feel uncomfortable doing so (having worked hard for that money). If it was a gift, then maybe I would think otherwise.

 

[Slim11]

Not knowing your job, you still would have gotten a pension plan from the federal goverment if you started in 2000? So you have that. I think you may have relied upon the plan too much and not saved on the side. Every if you didnt make much, in 25 years you could have saved a bit. I did. I didnt have collage and had a local goverment job. I have a pension. I retired a bit earlier then you and also started a bit earlier, by 3 years. Starting salary was 24k in 1997. I did get some promotions in the last few years, but not enough to pad the retirement. The money came from investing early and keeping it in the market.

 

[Al18]

Top 5 careers for millionaires:
Engineer, accountant, teacher, management, attorney
According to The National Study of Millionaires

 

[imjustawarrior]

95% of the USA population have less than $1 Million.

Do you have a source for this?

 

[Koolau]

I can’t deny it, I’m an extreme outlier when it comes to all this. I have outlandish ideas and don’t understand why it can’t happen. Sheet desire and ambition should count for a lot.

If you go to college to be a teacher or a social worker, yes, you know you won’t make a lot, but I went intending not to study anything specific but, when out, pursue any extremely high paying job I could get. I didn’t realize the sum total of that was zero. You would think ambition and drive would count for a lot, I kept clean cut and worked a lot of jobs at a time when classmates worked none. I thought this would go a long way. Yes, there was a time when I was extremely ambitious, but if no one cares or notices, it doesn’t go far.

I was extremely ambitious then because I reasoned I could do that for a few years to the point where it boiled down to, at a very young age, do I get out of the rat race now or put in another year because the pay and benefits are just that incredible.

I’m not particularly ambitious now, just biding my time until I pull the plug, simply because I’m more ambitious than I ever expected to be at this age to begin with.

Yes, I’m an extreme outlier when it comes to this, falls under “don’t try this at home, boys and girls”.

Outliers are welcome here (with one exception that most here do not remember). Heh, heh, you aren't even close!! Don't worry about being an outlier.

 

[pb4uski]

Do you have a source for this?

The 5% is wrong. It was 18% in a 2022 Fed survey so probably more than 18% today with the stock market gains in 2023 and 2024. I found this:

... So, just how many millionaires are out there? According to the Federal Reserve's 2022 survey, approximately 18% of U.S. households had at least seven figures net worth. That's roughly 23.7 million millionaire households across the country. And with the stock market and real estate values performing strongly since then, even more households will likely join the ranks of millionaires in 2024. ...

Source: Guess What Percent Of Households Have Over $1 Million? You Might Be Shocked By The Number Of Millionaires

 

[Aerides]

Two data points I find interesting in that number of millionaires:

Most are over 60 (60-79).
It includes real estate. Ok that can be debt or asset, but still, it's includes primary residence.