Anonymous
Post 10/19/2023 07:26     Subject: Has anyone here retired early on a lean budget (or plan to)?
People have been so blinded by the FIRE movement and early retirement but some folks have pointed out, for people with large retirement savings who don’t think it’s enough to retire early (will it last 50 years?) or worry about assumptions being wrong, you just downshift to cover your expenses (so you aren’t drawing on the savings and it continues to grow) but you don’t have to make as much to continue to save. Just don’t subtract.

Now that all may be easier said than done in your 40s/50s. Do these jobs exist? Let me know if you figure it out.
Anonymous
Post 10/18/2023 22:14     Subject: Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:
Anonymous wrote:Op I think you could do this. Try to secure a flex independent professional job first.

That way you have a little something coming in.

This is another possibility: always have 2 of these going at once (20h for one, 20h for the other, more or less) Could do 30+10, or some variation. So you can rely on hopefully one to stick even if the other dissipates. If one does dissipate, you pick up another small flex job.

Whatever industry and work you are in, start there.

If you get one going, retire. Then pick up another.

I’m a Sahm returning, and I have 2 things like this going. Flexible quantity of hours, so I put in what I can fit in, what I feel like earning. About 20-30 hours I am doing right now in one job. The other is my own freelance so I have complete control of hours. Would like to shift more into that, drop off fewer hours in the other and keep the other thing going a little bit.


Umm, while I appreciate your unbridled optimism what are you basing this on? The only concrete facts Op had shared is that she is 35, burnt out from her job and has a husband with no near term retirement plans.



I did not read that op was 35 until much later.
For a while I couldn’t figure out if 35yo was OP or someone else.

Thanks.

I maintain op could find a better job. And maybe one with flex options so they can earn a little.

I calculated my sahming was worth 14k annually. More or less. (Priceless in some ways). So, if she wants to do this, and DH thinks it works, she could also figure out what her efforts contribute to the house.
Anonymous
Post 10/18/2023 21:18     Subject: Re:Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:Retiring young is a great concept but it is impossible to project out COL 40-50 years. Let’s say you retire at 45 based on well thought out assumptions and then you hit 60 and your assumptions were wrong. There is no way for you to catch up.


Nothing is 100% but if you live with that thinking you can work until years later and get diagnosed with terminal illness. Enough money but can’t take back the time. All you can do is to find the best balance for your life. Retire early if you want but do your best to plan for it.
Anonymous
Post 10/18/2023 20:33     Subject: Re:Has anyone here retired early on a lean budget (or plan to)?
Retiring young is a great concept but it is impossible to project out COL 40-50 years. Let’s say you retire at 45 based on well thought out assumptions and then you hit 60 and your assumptions were wrong. There is no way for you to catch up.
Anonymous
Post 10/18/2023 20:17     Subject: Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:[youtube]
Anonymous wrote:
Anonymous wrote:I am 50 and have 2 million in 401k, 200k Roth and 300k in non-retirement accounts.
DH is 58 and has similar assets, so about 5m total. Paid off home.
250k in 529 for 2 kids 14 and 19.
No family money and no pension.
I am thinking of quiting every day while DH wants to wait till younger DS graduate HS.


We have similar stats but we are a bit younger and our kids are a lot younger. (Had them late in life.) DH is fed, will have a pension, and wants to retire as soon as he is eligible in a couple of years. I am the main breadwinner and want to wait until the youngest graduates high school. My two reasons are: (1) being risk averse and (2) I want to instill good work ethic in my children and have them see us as being productive members of the society.


Not personal since so many people parrot this sentiment, but… what an absolutely asinine take this is. Really.

The first and most obvious logical error is assuming that any job done for pay is automatically good/productive/contributing to society. I whole heartedly reject that premise. Half of jobs are totally useless at best (meaning if those jobs disappeared tomorrow it wouldn’t natter to anyone but the former workers missing their paychecks!). A good chunk of jobs (even well paying ones) are by nature or in practice actively DETRIMENTAL to society. There are not a huge number of jobs that I think one should reasonably be PROUD of continuing to work in despite no longer needing the money.

I think it’s good to model for kids that loved ones come first, which includes their wants and needs, and if society wants to judge someone for retiring early and trying to enjoy their life, they can kick rocks.


Well, I do believe than our jobs are productive and good for the society. YMMV
Anonymous
Post 10/18/2023 20:08     Subject: Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:We are early 40's and have $3M in assets, not counting our paid off home and fully funded 529s. We spend way less per month than current income. I keep trying to get spouse to majorly downshift his stressful job but he keeps insisting he is "overqualified" and he won't be able to get hired somewhere at a lower level. I wish he would try. I was a SAHM and now work part-time for peanuts. We live a simple but comfortable life plus my spouse is also going to get a multimillion dollar inheritance. He knows and agrees with all of this academically but can't bring himself to improve his situation.


I feel the same way as your husband. Not only am I “overqualified” for a lower level job, but younger folks may be better at it by now than I am. And all positions that actually leverage my experience and seniority are stressful.


+1 This is a common situation. There's often not an easy way to "downshift."


Another vote here. My DH wanted to downshift and actually tried when his tech company sold. They only wanted him for C-suite. A friend told him the younger guys don't want to have you report to them because of your status. Plus, frankly, it looks weird. So he is back in a C-suite position. We are just shy of 10m in assets, but he has zero interest in hanging out and playing golf or whatever. I likes to be connected to people who are making things happen. So his mentality is to not slow down.


Amazing. DCUM never ceases in its quest to perfect the humblebrag.

The posters with a $3M net worth at 45 wondering if they're going to be OK in retirement. The bogus questions about college just so they can write that their kids all got 1550 SATs and were admitted to Harvard. And now, no jobs available for poor DH except for being the multimillionaire CEO.
Anonymous
Post 10/18/2023 19:42     Subject: Has anyone here retired early on a lean budget (or plan to)?
[youtube]
Anonymous wrote:
Anonymous wrote:I am 50 and have 2 million in 401k, 200k Roth and 300k in non-retirement accounts.
DH is 58 and has similar assets, so about 5m total. Paid off home.
250k in 529 for 2 kids 14 and 19.
No family money and no pension.
I am thinking of quiting every day while DH wants to wait till younger DS graduate HS.


We have similar stats but we are a bit younger and our kids are a lot younger. (Had them late in life.) DH is fed, will have a pension, and wants to retire as soon as he is eligible in a couple of years. I am the main breadwinner and want to wait until the youngest graduates high school. My two reasons are: (1) being risk averse and (2) I want to instill good work ethic in my children and have them see us as being productive members of the society.


Not personal since so many people parrot this sentiment, but… what an absolutely asinine take this is. Really.

The first and most obvious logical error is assuming that any job done for pay is automatically good/productive/contributing to society. I whole heartedly reject that premise. Half of jobs are totally useless at best (meaning if those jobs disappeared tomorrow it wouldn’t natter to anyone but the former workers missing their paychecks!). A good chunk of jobs (even well paying ones) are by nature or in practice actively DETRIMENTAL to society. There are not a huge number of jobs that I think one should reasonably be PROUD of continuing to work in despite no longer needing the money.

I think it’s good to model for kids that loved ones come first, which includes their wants and needs, and if society wants to judge someone for retiring early and trying to enjoy their life, they can kick rocks.
Anonymous
Post 10/18/2023 19:33     Subject: Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:I think it is fine to take a break and change careers. I don’t think it is fine to just stop working and rely on your spouse while you fart about.


Unless your spouse is fine with it, in which case it is absolutely fine to stop working and fart about.

OP, seriously, the opinions of anonymous internet strangers on this topic DO NOT MATTER. The only other person you should consult is your spouse.

And you absolutely shouldn’t try to take any sort of “lean” financial advice from anyone on this board…. They think you need half a million a year just to survive. Maybe ask your question in the Mr Money Mustache forums instead.
Anonymous
Post 10/18/2023 19:32     Subject: Has anyone here retired early on a lean budget (or plan to)?
OP, do you hate your job specifically or just working in general? If you hate your job, then look for another one.

If you hate working, then figure out how much you need to save to retire. Shift into not caring about work until you get there. Just let everything roll off your back. Work is just a means to an end.
Anonymous
Post 10/18/2023 19:29     Subject: Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:I quit a high paying job several months ago, in mid-40s, and DH keeps telling everyone that I retired. I so much don’t want to work ever again, as there are so many fun activities that are free. For example, free live fitness classes on Zoom, free movies at the community center, free movies and events at the embassies, and free walks and bike rides with family and friends. I take some free history classes and also Spanish classes (not free but very affordable). Our mortgage is paid off. We have 2 kids that are already adults and quite independent financially.


This is me too - mid 40's and I'll be retired beginning of 2024. DH is still working but won't make enough so we are dipping into our savings. Kids are still not in college but we have enough saved for college. I just don't understand when people ask what are you going to do with your time when there's so much you can do and by your own choice for once! People rather have someone else dictate what they do. OP, you should join a FIRE group where they may have the same mindset as you otherwise you will be surrounded by people who will tell you that working for someone else/for money has to be how you live. It's your life, make your choices that can optimize your happiness.
Anonymous
Post 10/18/2023 18:41     Subject: Has anyone here retired early on a lean budget (or plan to)?
We're not going full FIRE, but elements of it. My wife is planning to retire in her mid 50s. She will take on more elder care tasks for our parents and another relative who doesn't have other support. She also has a part-time/flexible job in mind that she'll find fun and for which she'll be qualified.

I'm a fed, so I plan to work, build up retirement savings, and provide the health insurance for a while longer...ideally until my early 60s (we can keep FEHB until we qualify for Medicare).

We aren't going to be super rich if this all works out, but we'll be fine. We are paying now for hybrid LTC/life insurance coverage to help if one of us needs more care or if one spouse dies and we lose their Social Security. We'll retire with no debt and a good amount of savings, some of which we'll keep invested and some of which might become an annuity.
Anonymous
Post 10/18/2023 18:21     Subject: Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:OP, the key for most FIRE folks is to live in a LCOL area. So, if you have $1-$1.5 million, own your $300k home in a LCOL area, and like to camp or visit grandma for your vacations, this can work.


Op has already indicated that he/she has a spouse planning to continue to work, so unless they are already based in a LCOL, are planning to live apart for the foreseeable future (and prepared to take on the added costs of maintaining two residences) or the spouse both has a job that is 100% telework friendly and is fine with moving to a LCOL area and telecommuting from there indefinitely to support OP’s dream of retiring at 35 this plan has a lot of holes.
Anonymous
Post 10/18/2023 18:15     Subject: Re:Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:
Anonymous wrote:
Anonymous wrote:One spouse retiring early has caused resentment in our marriage. We regret it. YMMV.


Is the retired spouse much older? Have a particularly stressful job? Make most of the nest egg? If so, the resentment may be unwarranted.


If said “retired” spouse is 35 years old like op I’d think the resentment is warranted, regardless of whether they are older than their partner/in a stressful job.


I wasn’t responding to OP. Yes, retiring at 35 without your spouse’s approval isn’t cool. Marriage is teamwork.
Anonymous
Post 10/18/2023 18:10     Subject: Re:Has anyone here retired early on a lean budget (or plan to)?
Anonymous wrote:
Anonymous wrote:One spouse retiring early has caused resentment in our marriage. We regret it. YMMV.


Is the retired spouse much older? Have a particularly stressful job? Make most of the nest egg? If so, the resentment may be unwarranted.


If said “retired” spouse is 35 years old like op I’d think the resentment is warranted, regardless of whether they are older than their partner/in a stressful job.
Anonymous
Post 10/18/2023 18:09     Subject: Has anyone here retired early on a lean budget (or plan to)?
OP, the key for most FIRE folks is to live in a LCOL area. So, if you have $1-$1.5 million, own your $300k home in a LCOL area, and like to camp or visit grandma for your vacations, this can work.