Retirement Planning - Lessons Learned

[txdon]

My wife read something that really stuck with me, at some point you are trading time for money. You keep working for money you don’t really need and in exchange you are giving up your free time.

Free time = living time. I heard the same thing at my brothers funeral from his former co-worker that tried to get my brother to retire when he retired. My brother never retired.

Also the #1 reason why people move from their "retirement home" - is to be closer to their kids. "You always need to be ready to adapt", My neighbor said who lived to be 102.

Taxes/maintenance/insurance/increased utilities will take the place of a mortgage very quickly.

 

[JethroB]

My "file" consists primarily of telling my two sons what I think they will need to know.
I do think I should give them some written documentation also.

That's what my dad did for years. He once told me his will was simple, just divide everything among us 4 kids. And you are the Executor. Uh oh. :shocked:.

It took me 20 years to convince him to be more specific and keep me out of what would have been a very hot seat. Even then there were some rough spots with a couple of family members who thought they were "entitled" to certain items. A tractor being one.

 

[RalphVa]

Completely happy. Retired at 56. Plan for near the same amount of income as you spent when employed.

I managed to get into master gardening, editor of their newsletter. Also got into local HOA and master naturalists. Had to drop out of all but MG stuff when I got congestive heart failure end of 2012.

We stayed in Baton Rouge trying to sell our 6 BR, 6 bath place. Took 2 years to do that. They went looking and ended up in Virginia. Later, the wife says she (a NJite) always wanted to retired to Va.

Trying to stay here until they take us out feet first. Medical stuff might be the only thing that drives us out.

Ralph

 

[Jstpssng]

The minimum yearly withdrawal under the 401K rules is something like 4% per year.
I have been withdrawing that minimum for 10+ years, and my 401K value keeps slowly rising.
Just a number (%) you might want to think about.

That doesn't apply until you turn 70 1/2 though, which is about when I hope to start. For the first 5 years I won't be able to completely stop working, but do hope to give up showing up for work 5 days out of the week.
I always wonder about percent of income vs pre retirement... if living expenses don't include rent or mortgage, it seems like that would be a big difference.

 

[Jstpssng]

So are you saying you are in a good place financially, or still having to work to make ends meet?

I like to say I had a PRE-tirement. My first 14 years out of college I raft guided, ski bummed, travelled the world, etc. So my saving/equity building really didn't start until I was about 38. I am now 46. Have a house that has appreciated significantly since I moved in, 15 acres in a suburban setting that I got for a song (mostly cause it is 75% floodplain) and a modest 401k (that I am trying to grow, but not fast enough) I am also a school teacher with 7 years invested in the retirement system. You need 30 years to retire with full benefits of 60% of your best 3 years. Doubt I will make it to 30 with the way kids are now a days. I feel like I am not doing great in my preparations for retirement, but it could be worse.

What advice do you have for us "youngins"? Those of us who have +/- 20 years left in the rat race. Please enlighten us!

And BTW thanks for all of the great insight thus far.

Can you work someplace else in state government, and keep your tenure? An uncle did that; he worked as a teacher for about 15 years and just couldn't take it anymore. HE went to work for one of the state fish hatcheries, and finished his time there. You are about at the age I was when I started thinking about retirement savings, and while I'll never do some of the things many others do, I am saving and as I mentioned before, should be done sometime after my 65th birthday.

 

[buck12]

Funny how this topic comes up today. Last week I had a meeting with the boss and HR where I was told my position was terminated and I am welcomed to apply for another job within the company. There are none that I qualify for, I am in my 50s and deaf. After 23 years...just like that your done.

I am in a state where IT jobs are scarce and pay little....no one will come close to paying the salary I made...so what do I do? Retire early? File for Social Security Disability?

Move to a third world country?

I remember hearing companies like to get rid of the older folks and now I believe them(age discriminations). Keep in mind yes IT jobs are plenty in place like Maryland...but I would have to move. Also I cannot work with customers or venders and I have other complications I will not mention here.

I do have a lot of anxiety and I am a little worried....will try and retire now if I can and get over having to deal with working for others for good.

I hope things work out for you.

 

[Steppenwolfe]

I get that some of you guys are leaving jobs that keep you from living the life you would like to live; I'm the opposite, my job allows me the life I have. Granted, being self employed and loving what I do makes that easy. At 62 our kids are in 4 different states with their own lives, no grand children, and no parents to worry about. We feel like 19 again with our lives just starting out. Retire??? I doubt I ever will truly retire, life is too good!...

 

[ruffdog]

I just have to get my "retirement job" that allows me to work from the seat of my boat.

 

[MossRoad]

I just have to get my "retirement job" that allows me to work from the seat of my boat.

Panfish fishing guide! :laughing:

 

[Jstpssng]

Free time = living time. I heard the same thing at my brothers funeral from his former co-worker that tried to get my brother to retire when he retired. My brother never retired.

Also the #1 reason why people move from their "retirement home" - is to be closer to their kids. "You always need to be ready to adapt", My neighbor said who lived to be 102.

Taxes/maintenance/insurance/increased utilities will take the place of a mortgage very quickly.

I pay those now, why will they be that much more when my mortgage is paid off?