Anyone REGRET retiring too soon?

[Finridge]

The way I see it, all "retirement" means is spending your time YOU want to be spending it, rather than the way your boss wants you to spend it. If the way you want to spend your time is to stay on a job, then you can consider yourself the equivalent of already retired...

[phantom0308]

Michael Jordan, Brett Favre, Gronk.

[JBTX]

Kinda assumed those that regretted it enough would just go back to work again. Or at least start their own business.

I’m about to retire early from a business I started 16 years ago. Covid has a lot to do with it, but I was still planning on working no more than two more years. We can all agree that a well thought out retirement plan isn’t overwhelmingly affected by 24 months of additional work as long as there’s not a pension involved.

Starting a business isn’t something I’d want to do to keep myself busy. Having a business (a real business, at least) takes much more than 3 or 4 hours a few days a week to “keep busy”.

I see that exact suggestion made in early retirement articles. What if I retire early and a grinding bear market depletes my assets? Normally one suggestion is to start your own business. Good luck with that. I takes tons of hard work (and frustration), not to mention capital if you want to earn more than a few bucks here and a few bucks there. In other words, it’ll expose you to substantial risk. Who wants to expose themselves to substantial risk of capital loss (most small businesses fail quickly) right when their motivation to start a business was due to substantial capital loss (bear market)?

Anyway. Be careful what you read.

Totally agree. I often see these "start your own business" recommendations. Doing what? Sure, some will do this, and a subset of those will do it successfully. But seems to me starting a business has to be something that you have a specific skill or niche, and have a passion about. Just starting a business to keep busy will at worst be a financial drain and at best be a headache.

[Normchad]

I have a few friends whose families we usually play cards with and sometimes go out vacationing with. We have been talking about doing some retirement things together. I am 56 and one of them is 55. The other people are around 63~65 years old. Most of us are professors or professionals, and all men and some women (spouses) have PhD.

Unfortunately, none of them, except me and my wife, are actually serious about retirement. The 55 year old and his wife want to work forever. Others will be likely to work until 70. None of them is in serious need of money.

This does creates a problem for us, since we usually play together over weekends. The women have more interactions over weekdays. My wife and I are concerned that, if we retire early now, how can we handle the situations that all our friends are working and making money, while we are waiting for them to get off work and are spending money. Will we regret if, in the future, that they can do something, e.g., vacations, while we cannot (because of tight money)? If we retire and move, we don't know where to move and it will be difficult for us to have new friends at this ages.

We are solving your exact problem by moving to a retirement community someday... We have good friends in our current neighborhood, but they are far away from retiring and/or still have kids.

"Hey, want to get together Friday night?"

"Sorry, kid has a soccer game".

So we want to move somewhere were everyone is in the same situation as us.

Retirement communities have a ton of activities, and new people are coming in all the time, so we hope it should be fairly easy to make new friends.

We hope.

My parents moved to a nice CCRC many years ago. My dad needed medical help and attention, but my mom was fine. It’s a nice place.

It’s turned out much better than any of us expected. Since it was a huge community of retirees, the social aspects are fantastic. Everybody has plenty of time to get together. Everybody is also at a similar stage in life, so they have in a way, a common history. A lot of were local school teachers, etc. they never run out of stuff to talk about. And since everybody moved there, from someplace else, all of the old stratification about career, success, where you lived, just disappeared. It’s just really really nice environment.

Everybody is in similar health situations too. So going to dinner in a power chair is nothing, a couple dozen people are doing it, etc. so no need to feel self conscious about anything.

Lots of folks there don’t need any help. So they have tons of organized outings. Professional baseball games, casinos, shopping, church, whatever.

[retire2022]

For those who are retired, how often do you hang out with your parents?

I can only tolerate a couple hours once a week

Unfortunately my mom passed away March 28, 2020 at 89, not that we got along, a nag yes, do I miss her, not really.

I was going to retire in April 2020, it would be 34 years on the job, of course March 23, 2020 my portfolio took a 600K hit, miraculously Sept 2, portfolio broke 2,023 million, of course the next day and two weeks later I am down to 1.83 million.

Pension is projected to be 66K a year, Social Security will be 38 per year at 70, I plan to convert some of my pretax 457 to roth.

So I have not retired yet, don't want to leave a steady paycheck until vaccine is widely available. My pension check will get bigger, I brought 40K of Apple stock, so I guess a few more months to replenish my Emergency Fund.

[snowox]

For those who are retired, how often do you hang out with your parents?

I can only tolerate a couple hours once a week

Unfortunately my mom passed away March 28, 2020 at 89, not that we got along, a nag yes, do I miss her, not really.

I was going to retire in April 2020, it would be 34 years on the job, of course March 23, 2020 my portfolio took a 600K hit, miraculously Sept 2, portfolio broke 2,023 million, of course the next day and two weeks later I am down to 1.83 million.

Pension is projected to be 66K a year, Social Security will be 38 per year at 70, I plan to convert some of my pretax 457 to roth.

So I have not retired yet, don't want to leave a steady paycheck until vaccine is widely available. My pension check will get bigger, I brought 40K of Apple stock, so I guess a few more months to replenish my Emergency Fund.

So in your worse case scenario thus far if I am reading your numbers right , with a 66K pension and on last correction you would be able to have 120k a month not including SS when you get there. You must live in a very HCOL area or have extremely high spending? which is fine your choice but my point is there must be some financial reason your not fire'd now

[retire2022]

So in your worse case scenario thus far if I am reading your numbers right , with a 66K pension and on last correction you would be able to have 120k a month not including SS when you get there. You must live in a very HCOL area or have extremely high spending? which is fine your choice but my point is there must be some financial reason your not fire'd now

snowox

I live in NYC, yes HCOL it is shown on website to the right, retire2022 Posts: 1438 Joined: Tue Oct 02, 2018 6:10 pm Location: NYC you must be using tablet or phone.

My expenses are approx 30K a year, majority of expenses in Coop maintenance.

I'm not fired now, because I went into a profession with high job security at low pay (Civil Service), you can see my employment history on my profile, it is not a secret as a state worker.

I'm also sitting on 1.3 million 457b at 72 at the rate my portfolio is growing, I would not expect to run out of money and may even be in 32% tax bracket due to RMD. That will be in 12 years, nevertheless.

66k(cola after 5 years retired)+38K(between ages of 67-70)=104 and not including 4% withdrawal on 1.3 million portfolio.

[snowox]

So in your worse case scenario thus far if I am reading your numbers right , with a 66K pension and on last correction you would be able to have 120k a month not including SS when you get there. You must live in a very HCOL area or have extremely high spending? which is fine your choice but my point is there must be some financial reason your not fire'd now

snowox

I live in NYC, yes HCOL it is shown on website to the right, retire2022 Posts: 1438 Joined: Tue Oct 02, 2018 6:10 pm Location: NYC you must be using tablet or phone.

My expenses are approx 30K a year, majority of expenses in Coop maintenance.

I'm not fired now, because I went into a profession with high job security at low pay (Civil Service), you can see my employment history on my profile, it is not a secret as a state worker.

I'm also sitting on 1.3 million 457b at 72 at the rate my portfolio is growing, I would not expect to run out of money and may even be in 32% tax bracket due to RMD. That will be in 12 years, nevertheless.

66k(cola after 5 years retired)+38K(between ages of 67-70)=104 and not including 4% withdrawal on 1.3 million portfolio.

Was to early in the morning when I replied! Duh on my part about the column on right! Sounds like your doing well for yourself and from what I hear living on 30k a year is very frugal!!

[flyingaway]

So in your worse case scenario thus far if I am reading your numbers right , with a 66K pension and on last correction you would be able to have 120k a month not including SS when you get there. You must live in a very HCOL area or have extremely high spending? which is fine your choice but my point is there must be some financial reason your not fire'd now

snowox

I live in NYC, yes HCOL it is shown on website to the right, retire2022 Posts: 1438 Joined: Tue Oct 02, 2018 6:10 pm Location: NYC you must be using tablet or phone.

My expenses are approx 30K a year, majority of expenses in Coop maintenance.

I'm not fired now, because I went into a profession with high job security at low pay (Civil Service), you can see my employment history on my profile, it is not a secret as a state worker.

I'm also sitting on 1.3 million 457b at 72 at the rate my portfolio is growing, I would not expect to run out of money and may even be in 32% tax bracket due to RMD. That will be in 12 years, nevertheless.

66k(cola after 5 years retired)+38K(between ages of 67-70)=104 and not including 4% withdrawal on 1.3 million portfolio.

If it were me, I would really be worried about how to spend $104K a year in retirement (in two years) when I am only spending $30K a year now.

[hulburt1]

At 55 got hurt but not bad. Retired and have not really worked for 13 years. I have a part time job coaching track and xc HS kids. Not really a job. I have more money now then when I called it quits. At 70 I'm start SS and make 4 times what I made working.

[beyou]

Before I retired I surveyed as many retirees as I could re their likes/dislikes, regrets, joys, whatever especially ones that had a similar career as mine.

I found that about 15-20% were unhappy and regretted retiring. I also found that the ones that were not happy had mostly followed a similar theme -- no planning, retire on Friday, wake up on Monday and it is unicorns and rainbows thereafter. The ones who were happy had almost to a T done some study and had a plan for retirement in place.

My job has required “having a plan” for decades. I look forward to not having to have a plan.

[UKFred]

While mine have now passed, my old mantra was I can do anything for three days. I’d also use a flight upgrade for a quiet, relaxing flight home.

Interesting mantra! How did that come about?

Not quite the same, but Benjamin Franklin did say, “guests, like fish, begin to smell after three days”

[snowox]

At 55 got hurt but not bad. Retired and have not really worked for 13 years. I have a part time job coaching track and xc HS kids. Not really a job. I have more money now then when I called it quits. At 70 I'm start SS and make 4 times what I made working.

Wow thats awesome! Not about getting injured, hopefully not to serious! Good to hear though you have way more than you did before your retired.

[tm3]

My job has required “having a plan” for decades. I look forward to not having to have a plan.

Most careers do. Your call, but I would at least recommend reading a couple of books about retirement planning (not investment focused) so that you can hopefully maximize your experience.

[beyou]

My job has required “having a plan” for decades. I look forward to not having to have a plan.

Most careers do. Your call, but I would at least recommend reading a couple of books about retirement planning (not investment focused) so that you can hopefully maximize your experience.

I spent 20 of the last 25 years 3 hours/day minimum commuting by train. That adds up to about 2 years sitting on trains.
So when people ask me about traveling in my spare time, I tell them that NOT traveling is a vacation to me.
Having deadlines and every minute of my day accounted for, often no time to eat, exercise and sleep properly, I look forward to having too little to do.
My wife plans to keep working, so I'll help out more around the house than before, probably take care of things I should have done long ago.
If anything was learned during COVID, it was that I really enjoy being "stuck home". Lost 10 lbs already eating healthier and getting more exercise.
Fixed things around the house long broken. What is not happening more is seeing more family and friends (though lately starting to do more due to complacency regarding COVID). When wife retires can re-think things once again.

My only real concern about retiring is purely the financial aspects, mainly the longevity risk associated with retiring in your 50s,
and the unknowable cost of medical care (insurance, out of pocket, LTC etc). I have another thread clearly documenting my manic concerns
about medical insurance. I have saved like a LBYM Boglehead for many years but not knowing what things will cost for an expense that is out of my control is scary. I have great medical insurance from my employer, insurance I can't likely duplicate until I am old enough for Medicare.

[snowox]

My job has required “having a plan” for decades. I look forward to not having to have a plan.

Most careers do. Your call, but I would at least recommend reading a couple of books about retirement planning (not investment focused) so that you can hopefully maximize your experience.

I spent 20 of the last 25 years 3 hours/day minimum commuting by train. That adds up to about 2 years sitting on trains.
So when people ask me about traveling in my spare time, I tell them that NOT traveling is a vacation to me.
Having deadlines and every minute of my day accounted for, often no time to eat, exercise and sleep properly, I look forward to having too little to do.
My wife plans to keep working, so I'll help out more around the house than before, probably take care of things I should have done long ago.
If anything was learned during COVID, it was that I really enjoy being "stuck home". Lost 10 lbs already eating healthier and getting more exercise.
Fixed things around the house long broken. What is not happening more is seeing more family and friends (though lately starting to do more due to complacency regarding COVID). When wife retires can re-think things once again.

My only real concern about retiring is purely the financial aspects, mainly the longevity risk associated with retiring in your 50s,
and the unknowable cost of medical care (insurance, out of pocket, LTC etc). I have another thread clearly documenting my manic concerns
about medical insurance. I have saved like a LBYM Boglehead for many years but not knowing what things will cost for an expense that is out of my control is scary. I have great medical insurance from my employer, insurance I can't likely duplicate until I am old enough for Medicare.

Yeah, I'm right there with you in the 50's. Make Health Insurance affordable and Unemployment rate would probably drop a bit! Number one concern for all the people usually that have enough money that I talk to or read about

[wander]

Almost all of retirees that I know do regret retiring too late.

[Dontwasteit]

NO! Loving retirement!!

[birdog]

I just turned 48 and have plans to retire this fall. If the market stays where it is I will be retiring with 65x current annual expenses and 52x what I would like to spend annually in retirement due to travel, ability to help others, etc. I honestly don't feel I'll regret retiring early due to being bored or feeling unfilled. My main source of concern is that I may regret walking away from a high-paying job fairly early in life. I run scenarios and see that another year or two or three of work at this income would give me another few million in compounded assets in 10 or so years. I know that I have enough and shouldn't want for more but the added security that additional invested assets would give me is what weighs on me a bit. It is negated quite a lot, though, by the fact that I currently strongly dislike my job and the stress is negatively affecting my health. Bottom line is that I'm fairly certain I'll leave work this fall but I wonder what I could have if I could somehow stick it out for just another year or two. I generously support my church, multiple charities and family so it's not that I'm just a stingy scrooge. But the security that I feel from a large nest egg is, I think, the real issue.

[LadyGeek]

You've answered your own question:

I honestly don't feel I'll regret retiring early due to being bored or feeling unfilled.

...I currently strongly dislike my job and the stress is negatively affecting my health.

The number one on the runway reason to retire is "I don't want to do this any more". You're at that point. Go for it.

The emotional impact of switching from saving to spending down your account will gnaw at you for a while. After a few months, the gnawing simply disappears as the monthly expenses have settled out and you won't care about the change. The numbers are fine, no worry whatsoever.

The next step is to enroll in the Roll Call for the Retirement Class of 2021!. If you still have any doubts, read the comments.

[Barkingsparrow]

The number one on the runway reason to retire is "I don't want to do this any more". You're at that point. Go for it.

How many people say that, despite a low-stress job at a good company, great managers, good people, and good pay?

[Waiting_for_Godot]

I just turned 48 and have plans to retire this fall. If the market stays where it is I will be retiring with 65x current annual expenses and 52x what I would like to spend annually in retirement due to travel, ability to help others, etc. I honestly don't feel I'll regret retiring early due to being bored or feeling unfilled. My main source of concern is that I may regret walking away from a high-paying job fairly early in life. I run scenarios and see that another year or two or three of work at this income would give me another few million in compounded assets in 10 or so years. I know that I have enough and shouldn't want for more but the added security that additional invested assets would give me is what weighs on me a bit. It is negated quite a lot, though, by the fact that I currently strongly dislike my job and the stress is negatively affecting my health. Bottom line is that I'm fairly certain I'll leave work this fall but I wonder what I could have if I could somehow stick it out for just another year or two. I generously support my church, multiple charities and family so it's not that I'm just a stingy scrooge. But the security that I feel from a large nest egg is, I think, the real issue.

I'm sorry to hear about the high stress. One thing that might help when you notice job-related stress levels rising, is reaffirming that you do not NEED this job, that if it gets too bad you can just leave and have plenty. I've noticed that I occasionally have to tell myself something over and over again before my nervous system believes it.

[squirm]

The problem with retiring too soon, is you might regret the loss of social connections, especially now.

[LadyGeek]

Be sure to understand the difference between a social connection and a work-related connection. Acting politely to a coworker is not the same as a personal relationship. Unless you see these people outside of work, it doesn't count.

When I retired, not a single person contacted me after I left. I didn't hang out with them, but that's not the point. I left, they went on like I never existed (heard from a friend who still works there).

If you see these people outside of work, it won't matter if you retired.

[an_asker]

Be sure to understand the difference between a social connection and a work-related connection. Acting politely to a coworker is not the same as a personal relationship. Unless you see these people outside of work, it doesn't count.

When I retired, not a single person contacted me after I left. I didn't hang out with them, but that's not the point. I left, they went on like I never existed (heard from a friend who still works there).

If you see these people outside of work, it won't matter if you retired.

True dat. We all think that we are way more important than we are (I realize this was not the point you were making!); the only time you would be contacted is if there is an issue that no one at work can figure out. And if you have done a good job of documenting everything you did, conversely there is a fat chance of your being contacted by any ex-coworker.

[Barkingsparrow]

The number one on the runway reason to retire is "I don't want to do this any more". You're at that point. Go for it.

How many people say that, despite a low-stress job at a good company, great managers, good people, and good pay?

Sorry - to clarify - that is me. This is my situation and I simply do not want to work anymore.

[birdog]

You've answered your own question:

I honestly don't feel I'll regret retiring early due to being bored or feeling unfilled.

...I currently strongly dislike my job and the stress is negatively affecting my health.

The number one on the runway reason to retire is "I don't want to do this any more". You're at that point. Go for it.

The emotional impact of switching from saving to spending down your account will gnaw at you for a while. After a few months, the gnawing simply disappears as the monthly expenses have settled out and you won't care about the change. The numbers are fine, no worry whatsoever.

The next step is to enroll in the Roll Call for the Retirement Class of 2021!. If you still have any doubts, read the comments.

Thank you for the confirmation as well as the link.

[Horologium]

My only regret is not doing it sooner. Life is short.

My thoughts exactly. My mistake was blindly assuming I needed to have a huge amount of money in order to retire. (This thinking was encouraged by the FA I was using.)

Once I started getting really burned out in my j*b, I started doing my own research and running my own calculations. You can't imagine my surprise when I learned that I had plenty of $$ saved and could retire immediately. Which I promptly did.