Thank you for joining us for episode 33 of our Money Wisdom Question Series, where we answer common financial and retirement investment questions. Today’s question is, “Should I retire early?”
Why does this come up so often and so much more than it used to? Well, you probably know why. You’ve got friends that are being asked to retire early. In addition to this, there are all kinds of early retirement packages being offered by big companies.
Think About Your Lifestyle
With 2020 behind us, it’s really time to think about your lifestyle. Do you want to work as hard as you were working before? What about having to commute? Do you have enough money for your retirement? Factor in your investments, Social Security, or maybe a pension so you can retire and maybe only work if you want to work, but not on the job you’ve been working at. It’s a great question that’s based on what you want to do, just as much as it is what you can do.
Ask Yourself Two Questions:
- Do you want to retire early?
- Can you financially retire early?
If you don’t want to retire, it doesn’t make any sense to see if you’re prepared to retire today. Obviously, in your financial plan, you want to make sure you’re prepared for when you decide to retire, whether that’s one, two, or three years from now. If you want to retire today – which is the first question you should answer – then the next question is obviously, can you do that? Can you make sure that you can invest your money and get guaranteed income sources like Social Security in such a way where you’re not going to run out of money before you die?
Also, do you really want to retire or do you just want to leave the job that you’re currently at?
If you’re asking yourself the question, “Should I retire early?”, explore what you want to do. Forget about what you can do first and figure out do you really want to retire? Why do you want to retire? Then we can sit down with you and figure out what things you need to make sure are in place so you don’t run out of money and can maintain your lifestyle in retirement.
Thanks for joining me and I hope you found this information helpful!
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