Retirement - is it over-rated?

Preparing for life after work. RRSPs, RRIFs, TFSAs, annuities and meeting future financial and psychological needs.

Retirement - is it over-rated?

I'm retired. I'm glad. I'll never work again.
98
38%
I'm retired. I'm glad, I'm working to make ends meet.
4
2%
I'm retired. I'm glad. I'm working because I choose to.
30
12%
I'm retired. I'm sorry. I would have kept on working.
5
2%
I'm working. When I retire I'll never work again.
44
17%
I'm working. When I retire I'll need another job
5
2%
I'm working. When I retire I'll do something else.
54
21%
I'm working. I'll never retire.
8
3%
I don't work. I'm a gentleman (lady) of leisure.
8
3%
 
Total votes: 256

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scomac
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Re: Retirement - is it over-rated?

Post by scomac »

kcowan wrote:
Davis wrote:On Linked In, "retired" seemed weird, so I put "Private Investment Manager", which is true.
I put Independently Wealthy as my career (which is what it really is) but got some negative reaction to it so I changed it to Retired. Now it says Formerly Independently Wealthy! :rofl:
Yah, the passive brag rarely goes over well... :lol:
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Re: Retirement - is it over-rated?

Post by dsred »

I have a funny one for you. I just turned 55 and I'm still working. I am eligible to retire but I can't do so yet as I would be subject to penalty as I don't have 30 years service.

Anyway, I'm at my family doctor repeatedly lately as well as a cardiologist as I'm having stress related heart issues due to my job. The Doc asked me when I can retire and I told him early in 2018. He said to me I'm too young to retire and he sees a lot of bad things happen when people retire young. I looked at him with a puzzled look and said "you remember why I'm here right? Call it quitting or whatever you want but I'm leaving my employer. Maybe I'll do something else".

Strange.
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Re: Retirement - is it over-rated?

Post by tedster »

dsred wrote
Anyway, I'm at my family doctor repeatedly lately as well as a cardiologist as I'm having stress related heart issues due to my job. The Doc asked me when I can retire and I told him early in 2018. He said to me I'm too young to retire and he sees a lot of bad things happen when people retire young. I looked at him with a puzzled look and said "you remember why I'm here right? Call it quitting or whatever you want but I'm leaving my employer. Maybe I'll do something else".
Better to die doing something you like than to die from something you do not enjoy.
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Re: Retirement - is it over-rated?

Post by Shakespeare »

Hard on the lady, though. :wink:
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Re: Retirement - is it over-rated?

Post by tedster »

better hard than soft?
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Re: Retirement - is it over-rated?

Post by ghariton »

dsred wrote:Call it quitting or whatever you want but I'm leaving my employer. Maybe I'll do something else".
Good for you.

I went through the same thing when I was 52, some 18 years ago.

I went back to law school and have been very happy in my new career. It's a big world, with lots of things to try. Definitely not worth being miserable in your present job and putting your health at risk.

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Re: Retirement - is it over-rated?

Post by Wallace »

I can't believe it's been 8 years since I started this thread! Since then I retired from Family Practice (2011) but continued working part-time in Long Term Care, responsible for a specialty unit treating people with dementia. I found it rewarding work but decided to retire full-time at the end of 2015. So I've been fully retired for almost a year.

I followed Scomac's link to Lyndsay Green's interview (thanks Scomac) and am relieved to report to Mrs W that I am in the "neutral zone" rather than "doing nothing" :thumbsup: I can certainly identify with the lack of structure as being a major issue, and I'm still working on it. I have a lot of interests but unfortunately most physical activities, such as golf, certain aspects of travelling and even walking, are out the window since a major spinal op for spinal stenosis in 2013. This was also a definite factor in my decision to retire completely last year. Fortunately the brain is still active. I play chess online, read the G&M online every day and dash off grumpy responses in the comments section, am studying jazz theory with a local musician to improve my chord structure, still do my own investing, and try to keep up with the grandchildren. It's all a little haphazard, but it's beginning to work out.

One of the things I've come to realise, unfortunately by experiencing it, is that one of the "Ds" described by Green (depression) is more likely to be an issue if you think of retirement as the destination. It is not. Death is the destination, but retirement is still part of the journey. It's all about finding the proper path.
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Re: Retirement - is it over-rated?

Post by optionable68 »

Am currently in my late 40s. Started planning for retirement while in my 30s and experienced many weird looks when I brought up the topic with friends of a similar age at dinner conversations.

I currently have a job that pays in the low 6 figures. That guaranteed income will be the hardest thing for me to give up. Goal has always been to retire in the mid 50s and (aside from managing my investment account) do non-income producing activities. I've always been intrigued by discussions about "how much $ to you need in your investments to comfortably retire" since I've concluded there is no perfectly right answer for any mass group of people. For me I have concluded, contingent on my health, that I should be able to comfortably retire at 55 if I can amass a minimum of $4 Million plus a mortgage-free detached home in the GTA. I've also accepted that those figures may change between now and 55. I guess I will wait and see.
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Re: Retirement - is it over-rated?

Post by StuBee »

optionable68 wrote: For me I have concluded, contingent on my health, that I should be able to comfortably retire at 55 if I can amass a minimum of $4 Million plus a mortgage-free detached home in the GTA. I've also accepted that those figures may change between now and 55. I guess I will wait and see.
I am married with two other dependants (age 16 and 20) with investable assets currently a little less than half of your minimum. I am 55. I am more or less certain that I no longer need to work though I am still working part time in long term care. To each his own I guess...
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Re: Retirement - is it over-rated?

Post by SQRT »

StuBee wrote:
optionable68 wrote: For me I have concluded, contingent on my health, that I should be able to comfortably retire at 55 if I can amass a minimum of $4 Million plus a mortgage-free detached home in the GTA. I've also accepted that those figures may change between now and 55. I guess I will wait and see.
To each his own I guess...
Yes, really depends on how much you want to spend in retirement and the various sources of other income. No one size fits all.
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Re: Retirement - is it over-rated?

Post by izzy »

If you truly enjoy your work like many of us in the medical field then the prospect of full retirement holds little appeal-but it is important to remember "to leave the stage whilst they are still crying "encore" and before they start to leave the theater". Physicians are often guilty of this.
It is "impolite" to overstay one's welcome!!
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Re: Retirement - is it over-rated?

Post by kcowan »

Our former-GP was that way. He was happy working and his wife worked part-time in his office. He died of a heart attack at 68. Still in the saddle.
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Re: Retirement - is it over-rated?

Post by Jo Anne »

optionable68 wrote: For me I have concluded, contingent on my health, that I should be able to comfortably retire at 55 if I can amass a minimum of $4 Million plus a mortgage-free detached home in the GTA. I've also accepted that those figures may change between now and 55. I guess I will wait and see.
Well, I semi-retired 14 years ago at age 49, and we currently are fully retired (and very happily, I might add) on about 10% of what you say you need.

Starting one year from now, when we are both collecting CPP + OAS, those government pensions plus our investment income will come to right around $50K/year. Our retirement income is supplemented by the $20/week I make teaching a fitness class on Saturday mornings.

My budget for annual expenses is $41,500, plus whatever we spend on vacations. We just got home from a very expensive Rhine cruise, and while we had a wonderful time, we both agreed afterwards that we probably won't do that kind of thing again. We'll maybe buy a nice little trailer next spring, and do some North American camping.

Retirement, to me, is definitely NOT over-rated. I hated working and getting up at 6:00 am every day. I love being able to pick up and do whatever I please, whenever I please.
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Re: Retirement - is it over-rated?

Post by SQRT »

Jo Anne wrote:
Retirement, to me, is definitely NOT over-rated. ............ I love being able to pick up and do whatever I please, whenever I please.
I think this is the key, at least for me. Thing is, the resources required to feel this way vary by person. Many are very satisfied on $50,000 per year(or less), while others want more and don't mind working a little longer to achieve this. For most people, when the hassle of working gets greater than the benefits of a larger nestegg, retirement becomes significantly more desireable. This happens at different times for different people. For some it may never happen. I love the freedom my retirement affords.
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Re: Retirement - is it over-rated?

Post by Davis »

Optionable, I retired with husband earlier this year at 50. At that point, we had a mortgage-free downtown Toronto condo, $2.3 million in dividend stocks, and I will get a pension starting at 65 of about $35,000 a year indexed. We're earning 5-6% yield on our portfolio, so I have no doubt that we will be able to finance a very comfortable standard of living with a sizeable travel budget. You can figure out what 5% of $2.3M is, and add in some draw-down because we're not planning to leave a lot of money behind.

$4 million? Sounds like a heck of a lot of money, or you're not planning to make it work very hard for you. But if you enjoy working and don't want to retire earlier, go right ahead. We just got back from two months in Europe, and are really enjoying having seven-day weeks instead of just weekends.
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Re: Retirement - is it over-rated?

Post by izzy »

"You've got to know when to hold 'em
Know when to fold 'em
Know when to walk away
And know when to run
You never count your money
When you're sittin' at the table
There'll be time enough for countin'
When the dealin's done"

Songwriters: DON SCHLITZ
© Sony/ATV Music Publishing LLC
For non-commercial use only.
Data from: LyricFind
The Gambler Lyrics - Kenny Rogers
www.lyricsfreak.com › Kenny Rogers

Lyrics to The Gambler by Kenny Rogers: ... You've got to know when to hold 'em Know when to fold 'em Know when to walk away And know when to run You never …
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Re: Retirement - is it over-rated?

Post by fundamental »

The earlier you retire, any "magic number" you can think of using today's dollars should consider inflation and gradually be halved in purchasing power if you expect to live another 30-40 years.
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Re: Retirement - is it over-rated?

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Jo Anne wrote: Retirement, to me, is definitely NOT over-rated. I hated working and getting up at 6:00 am every day. I love being able to pick up and do whatever I please, whenever I please.
I know what you mean. I get up at 5:30am every day and love the idea you just described. Hopefully in 5-10 years, I can cut the cord.
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Re: Retirement - is it over-rated?

Post by SQRT »

fundamental wrote:The earlier you retire, any "magic number" you can think of using today's dollars should consider inflation and gradually be halved in purchasing power if you expect to live another 30-40 years.
Agree for fixed streams of income. But I view my dividend income stream as a hedge against inflation. Divs now exceed my non cola pension and are growing by about 7% per year. So, in total, my total income is growing by almost 4% per year. Beating inflation.
Last edited by SQRT on 08 Nov 2016 16:59, edited 1 time in total.
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Re: Retirement - is it over-rated?

Post by daryls »

My wife went part-time for a few years to raise our kids, so that will put our retirement off even longer. Plus, we still have post-secondary education coming up to pay for. That being said - retirement will be welcomed after that's all taken care of!
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Re: Retirement - is it over-rated?

Post by Flaccidsteele »

For those who may need it. Hopefully this article provides some help.

Retirement and Depression: 6 Ways to Overcome It
Retirement and depression aren’t inextricably linked. But for much of the population, the reality of life after work doesn’t live up to its promise. Many older workers look forward to finally being able to focus on the things that give them greatest pleasure. Yet, according to a study by the London-based Institute of Economic Affairs, the likelihood that someone will suffer from clinical depression actually goes up by about 40% after retiring.
When I first retired it wasn't very fun. I had no plan. I had no schedule. I learned that this was a big mistake. Being social was also challenging because the only people with whom I could socialize were my parents and their peers.
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Re: Retirement - is it over-rated?

Post by izzy »

I agree,reality rarely is as rosy as our dreams,especially in the presence of illness,self or spouse!
The number of my colleagues who have contracted serious health problems,been bereaved or have shaken off this mortal coil in the three years since I retired would depress anyone.But then I was 72 when I finally quit work.
The secret for me has been to be willing to get involved in things completely outside my previous experience.
For just one example- I have joined a couple of senior choirs.I can't read music and my voice is not that great so its an enjoyable challenge (they are always looking for new voices especially male ones) and that is what I find I need. And because of that experience I find myself open to other opportunities as they arise.
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Re: Retirement - is it over-rated?

Post by SkaSka »

Flaccidsteele wrote:For those who may need it. Hopefully this article provides some help.

Retirement and Depression: 6 Ways to Overcome It
Retirement and depression aren’t inextricably linked. But for much of the population, the reality of life after work doesn’t live up to its promise. Many older workers look forward to finally being able to focus on the things that give them greatest pleasure. Yet, according to a study by the London-based Institute of Economic Affairs, the likelihood that someone will suffer from clinical depression actually goes up by about 40% after retiring.
When I first retired it wasn't very fun. I had no plan. I had no schedule. I learned that this was a big mistake. Being social was also challenging because the only people with whom I could socialize were my parents and their peers.
What were the steps you took to fix this? Not asking for specifics of your situation, but some general concepts of what you did and how. Thanks!
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Re: Retirement - is it over-rated?

Post by kukucanuck »

Retirement does not mean just sitting on the couch, watching TV and doing nothing.One may retires from a job or a business but should not retire from life.

Financial independence is only one component of retirement. One does not need as much in retirement as during working life - this however is subjective. It is only one part of retirement planning - likely over emphasized.

To me retirement means being able to do things for which I did not have enough time in my working life, away from the daily rush hour commute, being able to pursue hobbies and interests, travel, volunteering and giving back to my profession and society, socializing, spending time with grandchildren, staying active, etc.

I am 70 years old, have been fully retired for more than four years and sometimes I am busier than I was during my working years. I have decided not to work for money any more. There is enough to meet my needs and what inheritance I want to leave. In short, I am comfortable as a retired person

I have friends who are in their eighties and still are working full time, though financial considerations are not an issue. They love their careers, are well respected in their fields and typically have no other interests or hobbies and enjoy reasonably good health. This is what they like to do -so all the power to them. These individuals will never retire.

Retirement is very subjective and one size does not fit all.
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Re: Retirement - is it over-rated?

Post by Flaccidsteele »

SkaSka wrote:What were the steps you took to fix this? Not asking for specifics of your situation, but some general concepts of what you did and how. Thanks!
A good question. Don't think I have the best answer. I did a few things to fill my time.

I had to accept that I couldn't hang out with my friends as often as I would have liked. They're all still working. I can only see them for lunch or the occasional movie. We all have young kids so that adds to the challenge.

Vacations still need to be scheduled around my kid's schooling. We travel, but we can't just go anywhere anytime we want.

I forced myself to exercise. I wish I could say that it was my passion to work out or that I had a dozen hobbies to fall back on. I didn't. To this day, I continue to force myself to exercise. But this activity only eats up 30-45 minutes.

I read a lot more and watch a number of shows including Westworld, This Is Us, Designated Survivor, Ray Donovan, House of Cards. I'm enjoying the stories.

I hang out with my parents and their peers. But there's a generational gap there. We chat about current events, but outside of taking care of regular grocery shopping, banking and doctor/pharmacist visits there's little in common. There's only so many times where I'll find the stories from my past to be interesting. And my parents are always critical of something or another. I imagine they think that they're "helping". If I wanted to hear criticism, I'd go back to work. I imagine my kid and myself being like this one day.

I picked up Instagramming. I have over 5000 followers. It's starting to get boring. But I keep doing it anyway.

There's also a difference between my spouse and I. I never wanted to be an employee any longer than necessary. My spouse likes working for the routine and social connections. I can see the value of that now. I didn't before. I think she'll work until 65. If not longer. Time will tell.

Some have suggested volunteer work. I tried that. It's ok. Kinda feels like work. I didn't take to it. I might try it again in the future. Never say never.
kukucanuck wrote:Retirement does not mean just sitting on the couch, watching TV and doing nothing.One may retires from a job or a business but should not retire from life.

Financial independence is only one component of retirement. One does not need as much in retirement as during working life - this however is subjective. It is only one part of retirement planning - likely over emphasized.
I agree. But nobody told me this. And if they told me, I'm not sure that I would have understood. I hadn't thought too far past "not being an employee". I'm glad I made the mistake earlier rather than later.

I can't speak for others, but retirement is more challenging than I expected. A likely contributor is the societal indoctrination to go to school/get good grades/get a good job/retire after 4 decades. Even though I know it's all hog wash, the indoctrination is hard to break.

Ongoing learning experience.
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