I Plan to Retire Earlier Than Expected
Retirement Scenario
Steve (61) and Margaret (57)
Plan for Early Retirement
My retirement date has been accelerated. Do I have enough resources?
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. We don’t think it will be.)
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.
Background:
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 the couple, Hunt Country Wealth Management will design a Sovereign Series™ Retirement 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.
Read Additional Scenarios:
Retirement Scenario | I’m Ready to Retire
Retirement Scenario | I Recently Experienced a Financial Windfall
Retirement Scenario | I Plan to Retire in Three-to-Five Years
Retirement Scenario | I Recently Lost My Spouse
Retirement Scenario | I Have a Dependent Child
Our Services
The Sovereign Series™ Retirement Plan is our signature planning service that will show you how to retire. Our guided step-by-step framework is easy to follow and provides a written financial plan that outlines the best use of your resources and a path to produce reliable income. Gain clarity of direction and a stable foundation to experience the freedom of a well-planned retirement.
This service was designed for those who want to...
- Feel confident and prepared for retirement
- Know the amount/regularity of income your resources can produce
- Have control over your financial future and clarity of direction.
Guided Investing™ is our comprehensive investment management service. It was designed to help you create a master plan for your finances and offer a strategy to help you optimize and preserve your resources. This process starts with defining your why. It can be applied to investors who are saving for retirement, building wealth, wanting to manage risk or all of the above.
This service was designed for those who want to...
- Feel more confident in their investment decisions
- Design a strategy to reach planned financial milestones such as retirement
- Collaborate with an professional to manage risk and monitor performance
The 90-Minute Strategy Session is a 1:1 session with Chris Merchant, CERTIFIED FINANCIAL PLANNER™. Sometimes you just want to talk to a professional. Whether you want to tap into a broader understanding of a financial topic such as How to Prepare for Retirement or you seek a second opinion on your investment strategy, this session is a great time to discuss the financial considerations on your mind.
This service was designed for those who want to...
- Feel confident and prepared for retirement
- Know the amount/regularity of income your resources can produce
- Feel supported and reinforced working with a Retirement Income Professional
We believe retirement should free you. It all starts with a plan.
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