Isn’t it scary to retire early? What if something happens? - Recent early retiree’s thoughts

 

Waterfront, Morehead City, North Carolina 

Dante Alighieri:  “Do not be afraid; our fate cannot be taken from us; it is a gift.”

When my wife and I broached this idea of early retirement to our friends and family at first, they all asked similar questions:  

  • What happens if the stock market crashes?
  • What happens if you get really sick?  How will you pay for insurance?
  • What if you get really bored?
  • Isn’t it weird to retire at your age?  Shouldn’t you work until you’re 62 or later?

Let me start by saying these questions are understandable.  These were the same line of questioning I had when I discovered FIRE (financial independence retire early) movement.  I honestly didn’t have all the answers I was curious about at first.  I started to understand more and more about FIRE movement after voraciously taking in blogs, articles, podcasts, etc.  

The answers to the common questions listed above are below:

  • What happens if the stock market crashes?
The short answer is, no one knows what the future holds.  To not do something because something bad may happen is too pessimistic.  I honestly don’t know when the stock market will crash in the future.  But what I do know is this:  If the stock market crashed, you can bet MOST people will be affected by it one way or another.  One other thing is this: stock market will crash, but if past is any indication, then it’ll probably bounce back later.  That timeframe may be few months like we saw during the pandemic (2020) or 4 years like after the Great Recession.

Many jobs will be impacted, as we saw during the pandemic and still seeing today.  If you’re concerned the stock market will never recover, then you can bet everybody will be suffering.  Most nations will encounter hardships if US is suffering, as we’re living in a global economy.  We’re so intertwined now that if a superpower like the US went down, then any country doing business with US, will see major hardships.  US is still the biggest economy in the world and we’re still the number one importer of goods in the world.  

Most FIRE movement people will have some kind of liquid asset (cash in a savings account that can be accessed fairly quickly or in money market accounts) available in the event of a prolonged stock market crash or Bear Market.  Most adherents to FIRE have either a year or two years’ worth of expenses covered so they can survive this exact scenario.  We plan for the worst but hope for the best.  
  • What happens if you get really sick?  How will you pay for insurance?
I’ve always been a firm believer in diet and exercise.  I’ve always tried to eat well by preferring whole grains, veggies, fruits, and protein.  I don’t eat sugar for the most part.  I’ve cut out cookies, cakes, ice cream, sodas, barbecue, various sweet sauces, etc. for about the past 10 years or so.  

Being healthy to prevent diseases is really the only thing I can control.  If my genes predispose me for a certain disease, then I’ll do what I can to control that.  For example, my mom and her side of the family have diabetes.  I’m trying my best to control my weight, to cut out sugars, and to exercise.  So far so good...

If something bad does happen, then I’ll deal with it.  This is why we have an emergency fund.  If that’s not enough, then one of us can get a job.  Like I said, plan for the worst, hope for the best...

There are no guarantees in life.  Just because you have a job now doesn’t mean you’ll work there forever.  Just because you’re healthy now doesn’t mean you won’t get sick.  You just have to plan for it as best you can...

I believe whatever you want to accomplish in life will require some leap of faith to accomplish.  You’ll have to take that step.  If you’re the type of person who is afraid to learn anything new or try something new, then everything (not just retiring early) will play out the same way.  You’ll always talk yourself out of doing something before doing it.  

Henry Ford said this best when he said, “Whether you think you can or think you can’t, you’re right.”  

We only have one life.  We should try to do the things we want to do.  I don’t want to be that old person who constantly regrets what could’ve been.  I read somewhere that some of the biggest regrets in life are not saving enough for retirement, not traveling enough, and not spending time with loved ones.  I want to do the things that are important to me.  
  • What if you get really bored?
It’s important to figure out things you like to do even BEFORE you retire.  Do things that doesn’t cost money.  Such things are: reading a book from a library, walking/hiking, playing with your pet, taking naps, exercising, listening to music, doing puzzles, etc.  

You’ll definitely have more time on your hands once you retire.  You’ll want to be prepared for that.  Do things you always wanted to do.  Learn a new language, exercise more, learn yoga, travel more, read more books, etc.  

These are things I’m doing since my retirement:  writing this blog, uploading videos to my YouTube channel, taking naps, walking along the beach, taking our dog to different places, spending pack time (my wife and our dog), reading more books, listening to lot more music, traveling, and spending more time with our family.

I’m a pretty laidback person.  I enjoy chilling at home on weekends.  Days of going out to party are long gone!  My wife is the same way.  We each enjoy our together time but also away time, where we each do what we want to do separately.  If we had retired early in our ‘go-go’ days when we needed to go out to meet up with friends every weekend or needed to eat out every weekend, then early retirement would’ve been next to impossible.  

We’re both enjoying this ride right now.  We are ready to change if something changes.  If we both feel this early retirement is too boring, then we’ll change.  Adapting is what we’ve been doing all our adult lives...
  • Isn’t it weird to retire at your age?  Shouldn’t you work until you’re 62 or later?

Needing to retire at 62 or later is a myth.  Everyone is different.  What works for you doesn’t work for me.  I needed to get out of the rat race and my wife as well.  This is our reason.

If you love your job, find it stimulating and you’re excited to go to work each day, then you should continue to work.  Retirement should then be at ‘normal’ age.  I’m definitely not that person.  Neither is my wife...

It’s really up to each individual to make the decision that WORKS for him/her.  We’re human beings perfectly capable of making choices on our own.  We shouldn’t let anyone tell us HOW life should be lived.  If I want to live a certain way, why should anyone care?  As long as I’m not hurting myself, hurting others, and it’s not illegal, then why does it matter?

At the end of the day, it’s your life.  Live it the way you want to.  Live with no regrets.

I hope these answers help anyone out there who are apprehensive about the whole idea of early retirement.  Remember, it’s your life.  Always decide what works FOR YOU.  Gather as much information from different sources to come up with your decision.  The answers I provided are just one person’s opinion.  I am hopeful that some of these answers help someone.

Thank you all for reading!

Jake

Wandering Money Pig 


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