Having just grown sick of the daily grind and the realization that I am probably going about this all wrong.
I am curious as to what sacrifices some early retired have made. Some examples might include always max 401kk; no cable so stopped watching baseball and only watch the NY Giants on free tv ; no going to bars or limiting your selection to just 2 drinks off the cheapest shlitz in a can they had; local vacations or vacations that consisted of mostly camping ; clothes from Walmart etc. or other things your daily grind friends might have scoffed at while they continue to commute into the office with no visible purpose but to spend on things they never stopped to consider why they are doin that.
My other concern is getting a woman to go along with this.
It also helps to live in a state (NH) with no income or sales tax; and I also maintained a modest home so my property taxes weren't too high either.
Why do early retired max 401k when you can’t touch it till 59?
No kids really helps
have a diversefied portfolio with dividend paying stocks
don't gamble
Why do early retired max 401k when you can’t touch it till 59?
because it grows tax free until then and you have a nest egg
Save like a pessimist, invest like an optimist.
Why do early retired max 401k when you can’t touch it till 59?
You can touch it earlier if you are really retired. There is a calculation using IRS's expected interest rate and expected date of your death. I withdrew that number for 4-5 years. After 59 you can do whatever you want with your account.
I’m not 💯 sure but I don’t think it would mean never working again. It would be working maybe part time or doing jobs that are more catered to socializing if I have not found anyone like being a part time bar tender or part owner / worker of a bar. It would mean a lot more guitar playing maybe I can play more and even get some gigs to support my retirement money. Do some i traveling too.
Being a decent cook helps, we eat a lot better and far less expensively than most I know.
Same spouse and house (no remortgage) for more than three decades helps a shitload also.
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You are cutting materialistic things and retired early, what are you planning on doing with your life?
I’m not 💯 sure but I don’t think it would mean never working again. It would be working maybe part time or doing jobs that are more catered to socializing if I have not found anyone like being a part time bar tender or part owner / worker of a bar. It would mean a lot more guitar playing maybe I can play more and even get some gigs to support my retirement money. Do some i traveling too.
Good for you
That’s what she said
Ignoring that, property tax is my biggest single expense. NY is ridiculous. Hopefully, when I hit 65, that'll go way down. If not, southern low tax state here I come (can you say Tennessee?).
If pension isn't an option, you're going to need a lot of savings, especially if the house isn't paid off, or you're renting. The earlier you retire, the more savings you'll need. Yeah, you can cut expenses, but inflation (even when it isn't as out of control as now) means cost of living is always going up. Even living off the interest of your savings may not be viable soon if you're cutting it close now.
Best bet is to talk to a financial advisor. If you're cutting it close, it may be a better option to take a job less onerous and tread water for a few years.
And if your woman is more concerned about what you can spend on her than you, consider a new woman.
It's a balancing act between enjoying life and scrimping in order to save money. I might be sounding like an old geezer, but I get the feeling that too many folk (young and old) spend too much on enjoying life and then whining about not having enough savings. The earlier you skip a meal out and bank the money, the more you can save, the earlier you can retire.
Sixteen years later my biggest takeaway is that health care expenses will be dramatically higher than you expect and likely planned for. Also the farther out you go when retiring early the more money you need to invest in something that offers a return that will appreciate ahead of inflation.
It’s not for everyone but I have lived every minute of it and wouldn’t undo it if I had the chance.
I'd be doing jobs thay I enjoy and have the freedom to stop doing them when they were no longer enjoyable or when the asshole new boss shows up . i don't think travel necessarily has to cost that much. I almost can't even believe the vacations some of my colleagues take; total waste of time and money. They travel internationally to sit on some 4 star hotel; never learn one word of the language of the place they are visting ; and for all intenets and purpose could have done the same thing of sitting around a pool at the poconos for 150 a night
What your savings look like
Married? Kids?
Self sufficient when it comes to yard work, cooking, etc…
It seems like your better off finding another job or finding another career. Maybe go back to school and major something you enjoy.
What your savings look like
Married? Kids?
Self sufficient when it comes to yard work, cooking, etc…
It seems like your better off finding another job or finding another career. Maybe go back to school and major something you enjoy.
You're back ? I thought your account was suspended . It should be /you violated several of the rules in the code of conduct.
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How old you are
What your savings look like
Married? Kids?
Self sufficient when it comes to yard work, cooking, etc…
It seems like your better off finding another job or finding another career. Maybe go back to school and major something you enjoy.
You're back ? I thought your account was suspended . It should be /you violated several of the rules in the code of conduct.
Trying to be a helpful poster. And I’m glad you’re back after being suspended too. I’m sure you learned your lesson as well.
This is a great place to post and your topic is one many struggle with. I think it’s safe to say we have all thought about this. If you can swing it, you should.
No reason too. This is a great forum with awesome football analysis and other NFTs. There’s nothing wrong with a little back and forth if done respectfully. I liked this topic and have thought of it in the past as well.
Also this is not about me per se , I really posted because I am curious to hear the stories of the others who have done it and are doing it.
Fair enough so then go ahead. If you retired early let's hear the story ....
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Just tried to contribute to a thread I was interested on. You’re making this a bigger deal than it needs to be.
Fair enough so then go ahead. If you retired early let's hear the story ....
Well the questions I asked determine how early is early. I am not in a position to retire now since I have a family but when it comes to late 50s - maybe it’s a position I can think of. That’s why I asked what I did. Are you in your 30s, 40s?
I mean I’ve looked into apartments and cost saving methods around my house until it’s time to sell. Just a ton of variables when going into this decision.
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What you're describing doesn't seem like "retirement" as it is living a more minimalist lifestyle. You're kind of talking about still working, but not quite as hard and with lower materialistic expectations. That's a big change in lifestyle. I'd be worried about feeling constrained by what a lower income can and cannot let me do. Travelling, for example, costs money.
I'd be doing jobs thay I enjoy and have the freedom to stop doing them when they were no longer enjoyable or when the asshole new boss shows up . i don't think travel necessarily has to cost that much. I almost can't even believe the vacations some of my colleagues take; total waste of time and money. They travel internationally to sit on some 4 star hotel; never learn one word of the language of the place they are visting ; and for all intenets and purpose could have done the same thing of sitting around a pool at the poconos for 150 a night
If you can be happier working less, making less and spending less, then it sounds like you should work on a plan to do that. For me (three kids in college), that's not currently an option.
I'm 52 and I'm planning on working for at least 10 more years. My wife may retire from working with the CT State in 5 years - she'll have a nice pension and we will get retiree medical insurance. At that point, we're thinking about downsizing to a home with no mortgage and I'll re evaluate if I still want to do what I'm doing.
It will be hard to give up a nice six figure salary though as it does pay for me to travel and stay in 4 star (even 5 sometimes) hotels. :)
Not going to bankrupt you but that’s a lot of money per year..