Early-retirement wannabe

jamesd

That bursary is interesting - an extra bonus from your pension contributions!

Marine_life

I have been thinking about retirement over the last few days(well actually since about 2010 actually but I mean about a specific topic!)

Anyway I was thinking at about the following: Do peoplethink that those who retire early are failures or somehow abnormal?

I was thinking about this as a well-respected and veryhighly colleague (think €1 million plus) recently retired at 62 which is themandatory retirement age in our organization. Now he clearly does not need any money but within six months of hisretirement he has now appeared at one of our main competitors (who do not havethe same age policy).

So I got to wondering why would someone do that?

There are few jobs around that most people would say areintrinsically interesting enough to warrant wanting to do it rather than dosomething else instead. Granted thereare a few (spaceman, rock star and wet tee-shirt context judge are probably upthere) but not in the field of work that we are in (accountancy).

So what is it that drives that behavior? Insecurity? A feeling of worth? Or simplyneeding the challenge? And moreimportant if he were suddenly to have a heart attack at his desk would heregret it?

Of course we are all different and who are we to judge butwhilst I have never really dreaded going to work and I like the camaraderiethere is rarely a day (and certainly not a week) when I would not rather besomewhere else – even I will admit sitting at home staring out at the rain.

I have mentioned a number of times on this thread that oneof the concerns about retiring (particularly from a stressful and all-consumingjob) is the “what to do next” question. Oh and by the way we have the beginning of yet another plan there whichI will share with you over the coming days. However, despite that I am prepared to dive in and see what happens evenif that means not very much at all.

atush

I think some people are either/both workaholics and have a desire to achieve/succeed. So that could explain his behavior.


Other explanations would include how many failed marriages he has had (possibly due to working 24/7), and how many times he has had to split capital/property?

jamesd

I'm somewhat surprised that your organisation has a mandatory age 62 retirement age, which in Britain would be clearly illegal age discrimination, based on EU legal requirements, unless there is some clear physical capability need, like reduced heart attack risk for pilots or aerobic fitness needs for firefighters.

Retiring very early is abnormal just because relatively few people will do what it takes to achieve it. Retiring a few years before state pension age is average in the UK.

Goldiegirl

Marine_life wrote: »

Anyway I was thinking at about the following: Do peoplethink that those who retire early are failures or somehow abnormal?

I've never come across that attitude


In my observations, the general attitude to the early retired is of admiration, being pleased for the early retiree, mixed with a bit of jealously.


I'm just wondering - have you ever thought about a phased retirement.


Maybe drop to three days work a week, before you stop work completely


I've got the feeling that you find the 'how to fill my days' thing slightly stressful. At least by reducing the work gradually, you can ease yourself into the different way of life.


Incidentally, I work two days a week, and I have no problem filling the other five days. But I imagine my life is a bit different to yours. I'm not sure you'd feel that housework, cooking (for pleasure, not just essentials), working on my eBay business, doing jigsaws, reading, working on my family tree, going out for walks and days out, is what you are looking for from life,

bugslet

I think most people seem to be a tad envious!

My OH worked for me and didn't want to stop working, basically because he wouldn't have known what to do with himself. I used to try and persuade him to take some time off before it was too late. Not advice he heeded however.

madeinireland_2

I absolutely hate my job and its incredibly stressful. I was close to taking voluntary redundancy a couple weeks ago but now I'm going to soldier on for another year or so - I blame Jamesd :-) who has tempted me to stay on with a plan to solidify my financial position by recouping any 40% tax I pay over the next couple of years.

I am counting the days to retirement and I will have no problem with that and will not miss the job one bit.

I've watched many people leave. I've been very jealous and wished it was me - but I'm too much of a coward and don't want to leave me or my family exposed in the future. I'd rather overdo it and have too much than not enough.

I view people who leave early as being successful - not a failure. I think once they are secure they should go do something in the voluntary sector which will help others / society - that's what i will be doing.

GingerFurball_2

As someone who's 28 and never really thought about this, is paying 5% of my gross salary into the company's pension scheme (where my employer will put in 13%) a good place to start?

I've got debts that I'm looking to be rid of this year before I start thinking about upping my own percentage.

kidmugsy

GingerFurball wrote: »

is paying 5% of my gross salary into the company's pension scheme (where my employer will put in 13%) a good place to start?

Yes! Put in enough to attract your employer's maximum contribution. Once you've done that, there may be better things to do with your spare cash than add it to the scheme. At the least it may be wise to build up an emergency fund of cash, perhaps in a Cash ISA or an interest-bearing current account.

GingerFurball_2

Haha, that's all being looked at once my debts are paid off.

13% is the maximum I'll get in employer contributions. But the way I look at it, 18% of my salary plus tax relief is a pretty good start particularly as it's only costing me 5%.

A few of the people I work with have opted out, which I think is crazy.