Investing in Retirement

[corydorus]

My colleagues also hint that i am "mad" to plan to retire early. Yeah we tend to have less drive after.

[2V.]

With kids you have unlimited joy! If you do not have kids , you should probably consider ...

still having 2 young kids and you are talking about retirement?

Either you are too rich, or you did not think it through.

In economic sense, young kids are unlimited liabilities.

[KopiKat]

My colleagues also hint that i am "mad" to plan to retire early. Yeah we tend to have less drive after.

You have less drive after your colleagues' hint? Why? Or after you retire early? Also why (if this case) ?

[freedom]

With kids you have unlimited joy! If you do not have kids , you should probably consider ...

still having 2 young kids and you are talking about retirement?

Either you are too rich, or you did not think it through.

In economic sense, young kids are unlimited liabilities.

That part I understand. That's why I added in economic sense, they are just liabilities, they do not produce any monetary benefit.

[wee]

Having kids doesn't necessarily mean one cannot retire early but it would mean we need to factor in their education and medical needs in our calculation. How much to factor in depends on yourself.

One needs to balance the need to "cover all angles" in early retirement planning. By the time all angles are covered, you are probably not much earlier than others. So knowing what is enough for yourself is key. What the Jones say, should not matter.

[corydorus]

My colleagues also hint that i am "mad" to plan to retire early. Yeah we tend to have less drive after.

You have less drive after your colleagues' hint? Why? Or after you retire early? Also why (if this case) ?

I mean one will have lesser drive in office if retirement is already in your mind and you are able to.

[KopiKat]

My colleagues also hint that i am "mad" to plan to retire early. Yeah we tend to have less drive after.

You have less drive after your colleagues' hint? Why? Or after you retire early? Also why (if this case) ?

I mean one will have lesser drive in office if retirement is already in your mind and you are able to.

oic... time to set new goals to drive yourself then...

[paullow]

i think total retirement is not healthy. just work less n shif focus from making money to keeping fit mentally n physically.

[corydorus]

Agreed. The extra income can also help to support more luxurious lifestyle and wants.

[Janjansen]

Hi to all ValueBuddies,

I need some insight, if you may. I'm planning to retire soon and want to live off my investment income.
Currently I have about 2.5m in stocks investment.(mainly for yield)
My business is worth about 0.6m
2 young kids
Renting
No debt
I plan to put aside about 300k being 3 years of living expenses(as a hedge against a bear mkt, where dividends could be cut and stock values plunge)
I plan to live off my dividend/distribution income @ 4-5%pa.
I understand some forummers are living my plans and hence would very much appreciate any input especially in poking holes in my plan.
Thanking you in advance

Aside from what the other forummers have mentioned, you might also want to consider what you will do with your free time during retirement. Most of us spend so much of our waking hours at work that suddenly there is a void when one leaves the workforce. Some retirees eventually return to the workforce, not for the money, but for the social aspect and to have some purpose. Often, a lot of us have the money sorted out. I would even argue that if one was frugal, the money will naturally accumulate and comfortable financial retirement by mid 40s is very doable.

In my personal experience, the most difficult part is what to do with the free time.