I Plan to Retire Earlier than Expected

Congratulations. If you’re reading this it’s likely that you’ve done the right things to put yourself in a good place to retire.  You may not feel that way now. That’s normal. Many of our clients don’t feel that way either at first.  But after working with us to envision and create a well-planned retirement, they feel confident and excited about their futures.  (Well-planned does not mean this is going to be hard. I don’t think it will be.)

My retirement date has been accelerated. Do I have enough resources?

Steve (61) and Margaret (57) – Considering Early Retirement 

Many people might think early retirement sounds great, but the idea of retiring early can be unsettling when it comes in the form of an unexpected retirement offer (voluntary or involuntary) from an employer.  Many people have worked long and hard at businesses only to find that their employers don’t share the same level of loyalty, especially during uncertain economic times.  If you are considering an earlier than expected retirement because of a voluntary or involuntary retirement offer, please read on to learn more.

Client Profile: 

Steve’s employer recently offered him an Early Retirement package as part of a corporate restructuring plan. Steve (61) and Margaret (57) thought they would retire in five-to-seven years. Now, planning for their retirement has been accelerated. They are asking themselves questions such as, “Can we? Should we?”

They feel as if they have done a good job saving and investing, but they hadn’t planned on retiring at this age.  They have around $1,200,000 in retirement accounts and another $100,000 in other savings.  They will also have Social Security and a small pension.  

They’re seeking a professional opinion on if retiring now is even in the realm of possibility.  If it is and they do retire now, what are the trade-offs as compared to the timeline they had originally planned?  

After getting to know them, Hunt Country Wealth Management will design a plan with the following goals:  

  • Understand the pros and cons of retiring earlier versus later.
  • Provide a professional opinion on if it’s advisable to retire now.
  • Analysis for retiring early would include how to:      
  • Defuse the risk of a bad stock market derailing their retirement. 
  • Optimize their Social Security and their pension plan. 
  • Preserve their principal. 
  • Protect their standard of living against inflation by planning for a rising income for 30 years of retirement and beyond.
  • Plan for health insurance costs until they reach age 65 and qualify for Medicare.  
  • Show exactly which retirement savings accounts to use first, when and how.  
  • Create a system for how their income will be directly deposited in their bank account and taxes will be withheld.  

Expected Results for Steve and Margaret

  • Steve and Margaret know the tradeoffs of retiring early versus waiting until their original retirement date.  
  • They’ll have assistance in understanding their retirement plan offer in order to make decisions that are in their best interests.  
  • They’ll know how much income they can expect in retirement if they retire early versus if they wait.  
  • When they do retire, whether early or at their original retirement dates, they will be confident they made an educated decision based on facts and what is in their best interests.  
  • With HCWM by their side, planning was easier than they thought. 

FINRA: Check Your Broker

Women’s Choice Award® Selection criteria and disclosure may be viewed here.

Securities offered through Securities America, Inc., Member FINRA / SIPC. Advisory services offered through Securities America Advisors, Inc. Hunt Country Wealth Management and Securities America are separate entities. FINRA registered branch office: 49 S. Loudoun St. Winchester VA, 22601. Certified Financial Planner Board of Standards Inc. owns the certification marks CFP®, Certified Financial Planner™ and CFP® in the U.S., which it awards to individuals who successfully complete CFP Board’s initial and ongoing certification requirements. This site is published for residents of the United States and is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any security or product that may be referenced herein. Persons mentioned on this website may only offer services and transact business and/or respond to inquiries in states or jurisdictions in which they have been properly registered or are exempt from registration. Not all products and services referenced on this site are available in every state, jurisdiction or from every person listed. Investing involves risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values. Past performance is no guarantee of future results. All guarantees are subject to the claims-paying ability of the issuing insurer.