Monday, October 31, 2016

9 Things You Should Do Before an Early Retirement

Early retirement is equated with winning these days.  The Baby Boomer generation hasn't stopped working.  That could mean they didn't save enough for retirement or they just love work.  Knowing many Baby Boomers, it's the latter.  Among generation X'ers, and older Millennials, getting out of the rat race is priority number one.  Those that escape, get to flaunt it.  They get to look back at all of their FB friends, and Co-workers, and judge them from the sidelines.  Some of them think that their accomplishment is worthy of being an authority, so they start a personal finance blog and preach their formula to others.
Image result for early retirement

The majority of these early retirees have saved their way out of their job.  They've penny pinched for decades living miserable, frugal, lifestyles.  This approach is for the average human being.  Here at CCM blog, we promote personal greatness.  Working hard each day to acquire more assets, create more streams of income, distinguish yourself in your industry, are what we preach here.  Remember, the purpose of frugality is to save more to buy more assets.  But let's get into hypotheticals now.  What should you do prior to retiring early from your job?

1.  Make sure you have assets that grow automatically.  Real estate, and bond-like stocks with hefty dividends are two examples.

2.  Have an education plan.  According to Robert Kiyosaki, the only thing that protects you from the busts our economy is bound to have in the future is your intelligence.  You have to keep feeding your mind in retirement.

3.  See a financial planner.  (Years before to ensure you have enough saved up, and assets for sustainable income in retirement).

4.  Get in shape.  You don't want to be unhealthy after you retire as the costs of medical insurance (you won't have your company plan anymore) will only rise in the future.

5. Terminate your bad debt.  If you have credit cards, a home mortgage, or a car with a balance, you need to pay them all off.

6.  Move.  You won't need the home you are living in during retirement, so rent.  This will give you more leeway to spend your life without house duties.  Let your landlord deal with mowing your lawn, fixing leaky faucets, etc.

7.  A passion that will keep you living life to the fullest.  You'll need a serious hobby or past-time so you won't annoy your significant other all day.     

8.  Kick your kids out of the house.  What's the point of retiring early if you have a boomerang child at home?  They'll continue to mooch off you and restrict your movement in your own home.

9.  Make new (retired) friends.  Your old friends will still be working so it won't be the same to hang out with them.

Retiring early is great if done correctly.  If you don't, you'll be needing to make changes like getting a part-time job, or downsizing.  Making the leap into retirement too early could be a shock to your emotional well-being.  Some people miss the feeling of being productive and useful.  So be sure you have a second act ahead of you.  Many of you have the skills to become public speakers, trainers and consultants, writers, and help people.

Thanks for reading!  Until next time.  

Enter your email address:

Delivered by FeedBurner

No comments:

Post a Comment

If you leave a link, I'll delete your message.

Note: Only a member of this blog may post a comment.