“All roads lead to Rome”
In the South, we say, ‘There’s more than one way to skin a cat.’
Many people think that you work, then retire, and then you do everything you wanted to do before you die.
That’s fine, but there are many roads to Rome.
By the time you reach 50, you are approaching your peak earning years and, not coincidentally, your peak economic value.
This can give you options for many types of retirement.
You could semi-retire, or, as I like to call it, ‘Retire with training wheels.’ You go from full-time work to part-time. You make some money, which can significantly reduce the amount you need to save to retire fully. There are added benefits. You are mentally engaged, which can keep you mentally stimulated. You keep your work relationships. This would allow you to ease into it, like stepping into a hot tub.
You can take extended leave from work, or what the fancy people call a sabbatical.
Retire early or F.I.R.E, which is Financial Independence Retire Early. You can get there by drastically reducing your retirement needs or substantially increasing your savings rate. You can get there by living off of VERY little money and saving a lot or saving a little and moving to a different country where the retirement needs are minimal.
For business owners, replacing yourself can free up time. This can be a double benefit: You get your time back, and it helps increase the sale price of your business. If a business can run without you, the value goes up!
Our next YouTube video shows you how to withdraw money from the various retirement accounts to be tax efficient.
Which Funds Should You Use First in Retirement
