I ran the numbers and ...

Congratulations! It's good to have options! I walked away a month ago. Even though I have been hinting about it for a long time, I got a huge range of reactions from other people. I doubt I'll have regrets.
 
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Retire when you want and can. Up to you and if the OP feels like it, do it.

Retired 20 yrs ago with a nice pension. Did part time consulting for a few years then stopped after sticking almost all the income in an IRA.

Since retiring life has been great with total freedom to do whatever the h*** I want and can afford like building an airplane, traveling all over the States and Europe, dating a flock of ladies after my wife passed away and spoiling grandkids.

Never did "run the numbers". If s*** gets too expensive I don't do it. Not a problem yet since I socked away enough and my IRA/401k has more money in it than ever, even with the RMD every month.

Life is good.

Cheers
 
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X3 Skier said:
Never did "run the numbers". If s*** gets too expensive I don't do it. Not a problem yet since I socked away enough and my IRA/401k has more money in it than ever, even with the RMD every month.
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I think it's good to get an opinion of where you stand. Really, you should have enough money in there that it's pretty obvious you won't have any problems. To me, a retirement with worries about money or restrictions on reasonable activities doesn't sound like much fun. I don't want to spend my retirement watching daytime TV, I want to spend it riding my motorcycle to Alaska and the like.
 
Ted DuPuis said:
I think the real thing to understand is that one person's answer is not the same as another person's. So this whole "don't do it" concept may apply to you, but not to someone else.

My father turns 89 this year, still works 80+ hours a week as far as I know, maybe he cut down to 60. He'll work until he dies, and if he had to stop working, he'd die. But he loves what he does and it works for him. Not for me, but it is for him. I know other people who are the same.

My mom is the exact opposite. She retired in her mid 30s. Hates work. Been retired nearly 40 years now, and it's exactly what she always wanted to do - nothing. Not for me, but it is for her.

I'm probably about 3/4 my dad's side in that regard. I see myself retiring from the normal job to pursue some other more fun things. But I do fully plan to "retire" somehow, or at least adjust work so that I do something as a job that's just for fun and allow my wife and I to do some of the things that we, too, want to do just for fun that aren't particularly likely to accomplish while we have kids in the house.

But, do as much of your bucket list during your career years as possible. Nobody on their death bed wishes they spent more time in the office.

To the OP: congratulations! A wonderful position to be in.
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What does your father do, and are they taking applications?
 
Ted DuPuis said:
It doesn't seem like the OP is planning to quit now anyway, it's more a point of running the numbers and realizing that he can retire. If you enjoy what you're doing and it works for you, no reason to quit until the right opportunity comes up. A lot of times the right opportunity will come up, and it's just nice to know when it does whether or not you can reasonably accept it without becoming a greeter at WalMart.
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Just knowing you can retire at any time is freedom.
 
Go for it! My calendar is packed now more than it ever was. Things don't have to wait for the weekend. I'm flying when I want to. Spending more time on the sailboat. (Not just quick day-sails.) Found more time to spend with friends and family. Picked up a few more hobbies.

The only downside - There's never a day off.
 
denverpilot said:
The simplest way is to figure out what income you need to live whatever lifestyle you want, then invest enough until the investments replace it, monthly. Passive income goal.
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For that reason, retirement is most often not a question of "when" or "how much" but rather "where".
 
cgrab said:
I'm eligible and financially able to retire.

Today is my 20 year mark on the job and since I'm over 60 I'm eligible to retire. I've run the numbers and can pay my bills with my retirement and savings. I still like what I do and at this point will do it a little while longer until it isn't fun. I have prepared my retirement package and can sign and date it when the next person ****es me off enough to make me want to go home.

Freedom is a great thing and it has taken almost 50 years of work and study to get there. It's been worth it.
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CONGRATS!!!

I went at 57 and haven't looked back. I did pick up some consulting work last year that added $$$ to the play money travel fund, so that was nice. Life is short, enjoy it. It's nice to climb in the plane on a weekday and go do your thing. Take up a hobby or find a new one, there's plenty to do.
 
upstateny said:
Go for it! My calendar is packed now more than it ever was. Things don't have to wait for the weekend. I'm flying when I want to. Spending more time on the sailboat. (Not just quick day-sails.) Found more time to spend with friends and family. Picked up a few more hobbies. The only downside - There's never a day off.
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My Bride and I often ask ourselves where do we find the time to do all this stuff. I have noticed that since retirement I tend to forget what day it is and have to think about it. Then our friends sarcastically remind us that retirement is all Saturdays. Insert evil grin.....
 
paflyer said:
Just knowing you can retire at any time is freedom.
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True...but it is also a bit insidious.

About 18 months ago, we consulted our financial planner about retirement. I asked, "When will I be able to retire and still maintain our current lifestyle?"

He just looked at me and said, "Now."

Kinda colored things at work, after that. It's one thing to handle the irritations and problems for a paycheck, it's quite another thing when you find out it's completely voluntary. There were things I really enjoyed doing, but I was so senior that I had to delegate those tasks to junior engineers. That, and post-Snowden paranoia (e.g., security involvement got a lot worse), took a lot of the fun out of it. Got tapped to be lead engineer for my third satellite development program in ten years, and realized I just didn't want to go through it all again. Delivered the second set of spacecraft, helped my replacement set up the new program, and bowed out.

Ron Wanttaja
 
GMascelli said:
My Bride and I often ask ourselves where do we find the time to do all this stuff. I have noticed that since retirement I tend to forget what day it is and have to think about it. Then our friends sarcastically remind us that retirement is all Saturdays. Insert evil grin.....
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When I was between engineering jobs for a bit over a year and doing the 135/contract pilot, it was much the same. I joked that every day was either a Saturday or a Tuesday. I often forgot which day of the week it was, and it didn't matter.

The first couple of weeks took some getting used to, but I really enjoyed it once I got used to it. Beautiful day, want to go on a motorcycle ride? Hop on and go. Big projects you wanted to do could actually get done in a reasonable amount of time. Additionally that was the period where Laurie and I were engaged and first married, and it was great for that. I could see a similar arrangement for retirement.
 
wanttaja said:
True...but it is also a bit insidious.

About 18 months ago, we consulted our financial planner about retirement. I asked, "When will I be able to retire and still maintain our current lifestyle?"

He just looked at me and said, "Now."

Kinda colored things at work, after that. It's one thing to handle the irritations and problems for a paycheck, it's quite another thing when you find out it's completely voluntary. There were things I really enjoyed doing, but I was so senior that I had to delegate those tasks to junior engineers. That, and post-Snowden paranoia (e.g., security involvement got a lot worse), took a lot of the fun out of it. Got tapped to be lead engineer for my third satellite development program in ten years, and realized I just didn't want to go through it all again. Delivered the second set of spacecraft, helped my replacement set up the new program, and bowed out.
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I can see that. Kinda like when you have accepted a new job offer, but haven't turned in your 2 weeks for some reason or another.
 
I envy those who get/got paid for something that they loved to do. I haven't found that niche yet. I retired in '06 after 24 years in the Air Force, I plan on retiring again from the Department of Defense in 4-5 years.
 
Ted DuPuis said:
I think it's good to get an opinion of where you stand. Really, you should have enough money in there that it's pretty obvious you won't have any problems. To me, a retirement with worries about money or restrictions on reasonable activities doesn't sound like much fun. I don't want to spend my retirement watching daytime TV, I want to spend it riding my motorcycle to Alaska and the like.
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Your right, it's good to check before you retire. I just didn't really obsess about it, just about 10 minutes of seeing what the pension would be vs my salary and pulled the plug as soon as I was eligible.

In the 20 years since then, I just do a cost/benefit look at any major expenditure, like a new car (just bought my first one in 10 years) and if would cost too much for what benefit I think I'll get, I pass. My pension more than covers living a normal life and SS and the IRA/401k cover extravagances like the plane I'm building.

Cheers
 
X3 Skier said:
Your right, it's good to check before you retire. I just didn't really obsess about it, just about 10 minutes of seeing what the pension would be vs my salary and pulled the plug as soon as I was eligible.

In the 20 years since then, I just do a cost/benefit look at any major expenditure, like a new car (just bought my first one in 10 years) and if would cost too much for what benefit I think I'll get, I pass. My pension more than covers living a normal life and SS and the IRA/401k cover extravagances like the plane I'm building.

Cheers
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Right, everyone has their own appropriate checks. Just that it is good to check, especially if your income is unconventional.
 
wanttaja said:
It's one thing to handle the irritations and problems for a paycheck, it's quite another thing when you find out it's completely voluntary.
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One thing that helps me get through any b.s. I encounter is the comfort of knowing I can walk at any time. Not because I have money or my husband has money, but because I have multiple standing job offers out there - all offering more $$$ than I currently make and some in some pretty cool locations. I know a good thing when I got it, though - so have no intentions of leaving.

My last job was miserable and made me miserable, so just very grateful and blessed to not live in that kind of reality any more. I actually look forward to coming into work every day, and the only reason I ever glance at the clock is to see if I have time to sneak away for a good lunch. I'm sure one day I'll be relieved to retire, but in the meantime I'm just enjoying the day to day.
 
GMascelli said:
CONGRATS!!!

I went at 57 and haven't looked back. I did pick up some consulting work last year that added $$$ to the play money travel fund, so that was nice. Life is short, enjoy it. It's nice to climb in the plane on a weekday and go do your thing. Take up a hobby or find a new one, there's plenty to do.
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Yep, I left at 58 and the one word to describe retirement is FLEXIBILITY! You have the ability to do what you want, when you want. I worked part-time for the last 2 years, but am now pulling back to pure consulting. No longer expected to be in an office... Yehaw! Can't wait.
 
Just an observation from one who's been "out to pasture" for twelve years. BTDT!

It may appear that you have enough in savings and your retirement program to maintain your lifestyle. Then comes reality. Your income has been neutered/slashed but prices have not. After a few years, that can be "sticker shock" personified. Each and every trip to the grocery store is accompanied by a larger bill. So are bills in other areas of life; electric and gas rates rise. Soon your fixed income doesn't look so healthy after all. Have a nice home? Chances are you'll soon be looking to downsize to save sundry costs, taxes and such. Dang! That house on the lake was nice but we can no longer afford it.

I left the rat race behind in '05. Had what I thought were sufficient savings to last a long time. Today, the view is not quite so optimistic. $4.00 gas and other rising prices soon brought my thinking around to reality. I had to make adjustments even though I thought at the time those rising costs would go away. Grocery shopping has become an exercise in trying my patience. Food prices have outpaced my income substantially. Good thing I'm not trying to have surf-and-turf for dinner every night. Hamburger and pork chops are the more likely dishes but even the price of the latter two goes up on every shopping trip.

I think I've said enough at this point for you to get the message. Think you are prepared and the numbers work? Go back over them and analyze them as a CPA would. You may not find them so enticing. Unless your name is Bill Gates you can never have too much money saved for retirement.

Humbly,
 
Norm, thanks for the warning. I've done all my calculations based on a 2% return on investment and a 25% stock market correction in the next five years. I think that is worst case and it still works. We have already downsized the house and have established separate funds for the plane, the rental properties and are building up a fund for a new car.
 
cgrab said:
Norm, thanks for the warning. I've done all my calculations based on a 2% return on investment and a 25% stock market correction in the next five years. I think that is worst case and it still works. We have already downsized the house and have established separate funds for the plane, the rental properties and are building up a fund for a new car.
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As the saying goes, you're smarter than the average bear. :) Excellent analysis, IMHO. Good times ahead.

Cheers
 
Congrats!!!

All my exes have successfully retired as well.
Me?.... not so much. but glad I could help :blowingkisses:
 
Cajun_Flyer said:
Geez, why do people always feel they need to be up in other people's life decisions?!

Congrats on the upcoming retirement, @cgrab !
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Because I think I am more successful than I really am and I don't like to admit when I am wrong?

X2 on the congrats to @cgrab!
 
Good on ya, Mate. . .!

I'm oozing that way myself, but it's hard to commit to. I'm thinking somewhere OOA 1 Jan 2018. Might/might do two extra months . . .I retired once, in 2007. Then something came up. Or down, actually. You probably noticed. But it worked out, I went with the Feds (no, NOT the FAA!), bought back my military time, and while we won't be buying a villa in Tuscany, I'll have two defined benefit retirements, and Social Security, as will my wife; it looks we can leave our 401s and Thrift plans alone to grow, until the magic 70 1/2. And I can keep my Fed health insurance . . .

We will/will escape a very high tax state (Maryland) - I'm not into paying other people's bills anymore. I do find the idea of cutting the cord daunting. But also exciting; kinda like a first kiss, but without her dad turning on the porch light.
 
I retired, this year. I was 41 and F.I.R.E. my last day of work was January 6th, 2017. Great day. Now today, May 3rd, I'm back at work, because, my old job needs me for 1 year :(

They gave me an offer I could not refuse. Ridiculous $, and and minimal time in the office helping them train others to do my old job.

Now I will be F.I.R.E at 42, next year. Let's all hope :)
 
jmp470 said:
I retired, this year. I was 41 and F.I.R.E. my last day of work was January 6th, 2017. Great day. Now today, May 3rd, I'm back at work, because, my old job needs me for 1 year :(

They gave me an offer I could not refuse. Ridiculous $, and and minimal time in the office helping them train others to do my old job.

Now I will be F.I.R.E at 42, next year. Let's all hope :)
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cgrab said:
I'm eligible and financially able to retire.

I've run the numbers and can pay my bills with my retirement and savings.
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Without getting into your specific numbers - how did you run the numbers and know what is "enough"? The retirement calculators are all over the place and can generate some scary big numbers. I am 39...so 20 years or so to go. I just want to be able to retire as soon as possible. My Dad retired and was very healthy, moved to FL excited to fish a bunch and enjoy life. A few weeks later he had a sudden stroke and passed. Life is short.
 
I did everything backwards. I basically retired when I was 35 and did all my playing while I was young enough to enjoy it. Now that I'm 55 and have crossed many items off the bucket list, it's now time to go back to work and re-fill the coffers and make that final push to a 100.
 
The problem with retiring early is that you have a very large event horizon. Lots of things can change, many of which are out of your control. If the economy goes into a period of high inflation and indifferent investment returns, your financial plans may go pear shaped in a few years. Lots of things happen over the years, it seems damn few of them require less that the expected amount of money.

I'm 59, would like to stay working full time to 70. We'll see.
 
SethV said:
Without getting into your specific numbers - how did you run the numbers and know what is "enough"? The retirement calculators are all over the place and can generate some scary big numbers. I am 39...so 20 years or so to go. I just want to be able to retire as soon as possible. My Dad retired and was very healthy, moved to FL excited to fish a bunch and enjoy life. A few weeks later he had a sudden stroke and passed. Life is short.
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Set crazy big but do-able goals. Completely crazy. And then go after them.

It helps a lot if you break the big numbers down into monthly numbers. Most folks know what they can spend or save per month or how far they can move the needle in a month toward a specific monthly number, much easier than they can forecast or follow an annual budget.

Heck some people break it down into goals per paycheck if they have to, to stay motivated.

It's a lot easier to stay focused that way. "I won't eat out this week or I won't hit next week's goal." is a lot more here-and-now than "Oh I shouldn't have eaten out so much all year", looking over your shoulder.

It's a marathon, not a sprint.

One of our fiscal mini-marathons means we ran the numbers and Oshkosh is out for us this year, but we're already "okay" with that because the goal we are saving for is more important to both of us than even the best place on Earth. :). We're also taking a little train trip for our anniversary that normally isn't in our vacation budgeting so something had to give.
 
I'll add to Denverpilot by saying that when talking about how much "income" you need, look at the take home amount. In retirement, you will not be paying several things like SS tax, Medicare tax or even paying into your retirement plan. If you can match your take home with the three stools of retirement-pension, social security, and savings withdrawals-then you should be OK. The retirement and SS will be there "forever," the key is to make sure your savings can withstand whatever you determine to be the required withdrawal for as long as you expect to live.

At this point I need to add that you take this advise at your own risk and it is worth what you paid for it.
 
Yeah, I've been running those numbers for a while, hoping to get out in a couple more years. The difficulty I have is figuring out how long I'm going to live, and I can't get my wife to tell me.

It's a bit of a crap shoot in any case. No one can predict the future well enough to make an accurate plan, so you just have to remain flexible and be prepared to make adjustments as you go. A single percentage point change in inflation or earnings can make the difference between going broke or dying with millions in the bank, if you don't adjust spending habits along the way. And who can guess what health care will look like in the future?

One of my best friends from college is a CFP and I had a chat with him last year. He said, "If you were one of my clients, I'd do a bunch of analysis, run several models with a bunch of different scenarios, give you a fancy report and a fancier bill. Truth is, I might as well be using a Ouija board when it comes to trying to tell someone what the financial situation looks like 30 years into the future."
 
cgrab said:
I'll add to Denverpilot by saying that when talking about how much "income" you need, look at the take home amount. In retirement, you will not be paying several things like SS tax, Medicare tax or even paying into your retirement plan. If you can match your take home with the three stools of retirement-pension, social security, and savings withdrawals-then you should be OK. The retirement and SS will be there "forever," the key is to make sure your savings can withstand whatever you determine to be the required withdrawal for as long as you expect to live.

At this point I need to add that you take this advise at your own risk and it is worth what you paid for it.
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Like a lot of people, I've never worked for a company that offered a pension, so I'm mostly dependent on 401Ks and my rollover IRA. That means I'm also mostly dependent on stock market returns, bonds being what they are. We can make our plans, but our retirement is based on something we don't control. That why I've decided to stay in the workforce as long as possible. If we're still living off of earned income into our 70's, that greatly reduces the chances of us running out of money. And if there's some left over after we are gone, I'm sure my daughters can put it to good use.

Life is uncertain, you have to plan like you're going to live to be 95, but odds are you won't make it.
 
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