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Ten Things That Surprised Me About Early Retirement
- mikestew 9y agoMost surprising to me was that he was a "high power executive" and only had $3 million in retirement savings to show for it. One should live quite comfortably on that, but I just figured someone who is of age similar to mine, who worked at a higher level than I, to have more than that.
- ed312 9y agoRaising two kids (and probably helping them significantly with college) will do that to you. $3m is pretty impressive to me.
- patrickg_zill 9y agoTaxation (do the math on 15+ years at 40% taxation, then add compound interest), plus living expenses often increase in lockstep with your income (as anyone who has ever been married will tell you).
- brianwawok 9y agoCompound interest? What? Most of his money would be tax advantaged.
- patrickg_zill 9y agoSorry for not being clear. I am referring to the period when he is earning money at a job, not the retirement earnings. Compound how much more you would have if the income taxes could be deferred or avoided. For someone working and raising kids etc. it is like "eating your seed corn" as the saying goes.
- brianwawok 9y agoAh yes that makes sense. Not sure what the right word for this is either. Maybe there isn't a good one.