Should I retire?

[BK911]

So real quick numbers...

If I retire I will collect about 1/3 of my current take home pay and can keep medical and dental.
If I rent out the primary residence, that is another 1/3 of my current take home pay.
Then if mommy works, that will be the other 1/3.

So roughly the same money, but I am not working, and live at the lake.

[PorscheGAL]

Originally Posted by BK911

I told her to drop off the kids, work all day, then pick them up on the way home. Then cook dinner and clean up afterwards.

Haven't completely closed that deal yet!

I'm going to read this as sarcasm. Otherwise you might want to add the expense of alimony and child support to your list.

As far as changing schools for the kids: they are so young, probably won't even notice long term.

[KFC911]

No one here can help you make this decision... we can only offer advice and suggestions which probably have no bearing upon your situation ...

Except that "happy wife" thingy .... and I am single

Just think it through .... as I'm sure you have. When I made that decision back in '08... due to everything that was happening back then, it wasn't a "sure thing" for me either... sorta like life itself.

Best of luck BK!

[930addict]

Originally Posted by PorscheGAL

I'm going to read this as sarcasm. Otherwise you might want to add the expense of alimony and child support to your list...

This!

In my case my wife was already working at a job that gave her something to do. It's less than a mile away and is extremely flexible and she enjoys it and the people she works with. I would not ask my wife to go to work so that I don't have to.

You may want to visit bogleheads.org and lay out your retirement portfolio/plan. Lots of savvy financial people that also retired early that will evaluate your plan or you can just read what others are doing.

[McLovin]

Originally Posted by BK911

So real quick numbers...

If I retire I will collect about 1/3 of my current take home pay and can keep medical and dental.
If I rent out the primary residence, that is another 1/3 of my current take home pay.
Then if mommy works, that will be the other 1/3.

So roughly the same money, but I am not working, and live at the lake.

How much in cash or cash equivalents (stocks, CDs etc) do you have saved?
Not counting primary house and lake house, how much in other assets?

[wildthing]

How long do you expect to live? Do you plan on paying for your kids' college? I guess, what are the huge expenses you expect in 10-20 years?

Also, inflation. Your budget now may fit what you're getting NOW. How do you plan on growing the "nest egg" for beyond 5 years?

[Crowbob]

Originally Posted by wildthing

How long do you expect to live? Do you plan on paying for your kids' college? I guess, what are the huge expenses you expect in 10-20 years?

Also, inflation. Your budget now may fit what you're getting NOW. How do you plan on growing the "nest egg" for beyond 5 years?

It’s actually kind of fruitless to try to factor everything in. Best one can do is be completely debt-free, have some kind of income to cover normal expenses, have significant savings and anticipate living frugally.

All else is not controllable.

My advice is to work until it’s no longer a question, ie., ‘I’m outta here, suckas!’

Plus, doan dis da wife too bad. She can take the kids and get paid for it. Many have.

[KFC911]

Originally Posted by Crowbob

It’s actually kind of fruitless to try to factor everything in. Best one can do is be completely debt-free, have some kind of income to cover normal expenses, have significant savings and anticipate living frugally.

All else is not controllable.

My advice is to work until it’s no longer a question, ie., ‘I’m outta here, suckas!’

Plus, doan dis da wife too bad. She can take the kids and get paid for it. Many have.

^^^^ Da Truth!

[fintstone]

Can't imagine retiring unless could maintain the same or better lifestyle. I did not save and work all my life to have to worry about making ends meet. It is really hard to go back to work and find similar employment.

if I did not have a surplus of funds/income, the current inflation/economy would be terrifying (to a retiree). It would have been less so when I was younger.

I would not even consider sending my wife to work so I could retire. My wife retired a few years before me and I regret that. Should have had her work a little longer and a couple less years myself. She was sorta sedentary the last few years I still worked and now she slows me down when I want to do stuff/be active.

[WPOZZZ]

Do you want to stay home all day with your wife and kids? (This is from a single guy)

[Paul T]

Originally Posted by PorscheGAL

Any chance you could take a sabbatical just to feel out if you could stay home without going crazy? Some people can retire and not go crazy, some can't. I'm not sure you really know until you have taken some time off.

I would also recommend not pushing your wife into working. I think that could become a disaster for your relationship.

I was a SAHM who also homeschooled until our son went to college. When he went to college, so did I because I knew I didn't want to be at home with nothing to do. My husband never pushed, never even suggested I work but when I said it was time, he supported me completely. Now he is taking time off work to get his MBA and he is going stir crazy. After he finishes his degree, I'm not sure he will ever retire.

Good luck on the decision.

Good advice. I took a 6 month sabbatical before I retired just to “try it out”…I never went back. A few years in now and I couldn’t be happier! I’ve had several friends die unexpectedly at a very young age and that definitely factored into my decision making….you never know when your time is up! Life is short, do what makes you happy.

[monoflo]

Life is short --do what it takes to make you happy. As per PT -- royalty ck in mail.


The truth as stated "you never know when your time is up".

when my kids were as young as yours -- retirement was a dream. Good if you can do it --though if I said I was quiting and it was Momma's turn to work --- that dog would not have hunted and I'd have become a DMF. Destitute Mother f.

[Por_sha911]

Originally Posted by BK911

Wow, you guys are all over the place!!

Couple of common comments:
-Expenditures
-Boredom
-Happy Mommy
-Emergency funds

I have all of those covered except the happy Mommy part. To truly retire and not lose any monthly income, we would have to rent out our primary residence and move to the lake house. Only 35 minutes away, but kiddies would have to change elementary schools. Or Mommy would have to drive 35 minutes each way. I told her to drop off the kids, work all day, then pick them up on the way home. Then cook dinner and clean up afterwards.
Haven't completely closed that deal yet!

That is a game changer. I rescind my vote and say NO. If you do get her to agree and then she isn't happy it is not going to be fun. Remember the old adage "When momma ain't happy, ain't nobody happy"

[MRM]

You’re too young, you have too many obligations, and the near future is too uncertain for you to retire now. If you work an extra year now, you’ll reap the benefits for the rest of your life. If you retire before you fully have the means, you’ll suffer the consequences for the rest of your life. And, as the sins of the father pass down to the son, so to will your decision of when to retire will affect your family for the rest of their lives.

[fintstone]

I could have retired at 56 and eked by. Waited for 63 and glad I did. My net worth is over 5 times as much and my monthly retirement income (independent of my savings) is over twice as much...and my debt load is now quite small. So far, there are not enough hours in the day to do all I want to do (and can afford to do) although that has changed a bit with age/time. It is great to do what you want and not really have to worry about money (although after a lifetime of doing so, most folks still do a little).

[MRM]

I don't often agree with Mr. Fintsone, but he is right this time.

[Gretch]

Unless a man has something to consume his time and passion for life, voluntarily retiring is over rated.

[Paul T]

Originally Posted by Gretch

Unless a man has something to consume his time and passion for life, voluntarily retiring is over rated.

You definitely need hobbies and things to do that are intellectually challenging, that’s for sure. My in-laws retired 15 years ago and sit around watching TV and doing NOTHING all day long, and it has taken a toll….I’m an active guy by nature, so I rarely get bored. Always something to do….

[p911dad]

Originally Posted by BK911

53.5 years old.
Married with 2 kids; 5 and 7.
I can sell off a rental house and pay off ALL my debt and still have some $s left over.
Plus I can collect a few grand a month on early retirement from my current job.
And the family keeps our healthcare from my current job.
Youngest kiddie starts school this august and Mommy will get a job.
Won't live the exact lifestyle we live now, but have a paid off lake cabin and primary residence and no other bills.
I am pretty healthy but why wait if I do not have to?

Mommy doesn't want me to because she really doesn't want to work, but I have worked long enough. Her turn!!

What do you guys think?

I am not sure you are serious, or if you have really thought this through to the end. There are so many variables in the time ahead that giving up work at your young age and retiring that this is really a crap shoot. Don't over-rate your assets, at your age without an income you likely need at least the equivalent of several million $ in cash producing investments of some sort to weather the storms ahead. Especially since your #1 is not on-board (women are pretty smart about this stuff) and you have very young children. Inflation is out there and will blow up a lot of plans. I stayed on until 62, got the kids through school ( oh Lord, give us strength!) and like Fintsone made out pretty well.

[McLovin]

Originally Posted by p911dad

at your age without an income you likely need at least the equivalent of several million $ in cash producing investments of some sort to weather the storms ahead.

Agree. That’s why I asked my questions.
Having no debt, and what sounds like very little in cash and income-producing assets, and expecting to live on the income he described (“a few grand a month” plus his wife’s income when she goes back to work), for potentially 40 more years seems, how can I put it nicely, “optimistic.”