Retire Early or Work Forever – Who Lives Longer?

Please note the publish date of this blog. Financial information, market conditions, and other data mentioned in this post may no longer be accurate or relevant.

When I posed a question on Facebook, asking people how they felt about “retirement” the replies ranged from “I plan on working into my 90s,” to “I retired at 55 and am loving it.” People wanted either financial freedom ASAP or to work, in some capacity, forever. Surprisingly, no one said they wanted to retire at age 65. So which route is more likely to extend our lifespan?

The Case for Retiring Early

My friend Mark ended his career at 54 and never looked back. He travels regularly with an adventurous husband, scuba dives, plays with drones, enjoys his fabulous pool and time with friends, and is involved with several charities. He makes time for naps, his health, and household tasks with ease. Not much stress there, right? When you reduce stress, you live longer.  On Facebook we “like” his posts but secretly envy him. As they say, haters gonna hate.

Whenever I ask him how it’s going, I keep waiting for him to confess that he misses work – that the novelty of so much simple pleasure is wearing off. Nope. Five years in, he’s still loving it. How can an early retiree stay so happy? Because he retired early with plenty of resources and stays fully engaged in life.  Maybe he’s lying when he tells me he’s having such a good time, but I doubt it. I’ll keep asking just to be sure.

The Case for Working Forever

My client, Manny, a therapist, refuses to let me build him a financial plan that shows him what life looks like after he’s achieved financial freedom. He simply doesn’t want to waste time planning for something he can’t imagine doing…retiring.  He enjoys the challenge, the people, the sense of purpose it gives him, and most of all, truly making others’ lives better. He absolutely loves his work and has some autonomy with his schedule, so he can easily reduce the number of patients he sees if he wishes to do so later in life.

Granted, he still needs to be prepared for the worst (an injury or medical condition that makes him unable to perform his job), but he chooses to live as if he’ll work until his last breath. In his case, with an active body and mind, he’s living his best.

Engaged

Mark has more time for health, leisure, and being charitable, while Manny has a career he loves where he controls his own hours. Both have a high level of autonomy, are keeping their stress levels down, and remain fully engaged in life in their own way.

So, according to the data, which of them will have a longer lifespan?  I have no idea, and I’m pretty sure neither of them really cares. In terms of quality of life, they’ll both win.

Happy planning,

Barrett

Disclosure

Abacus Wealth Partners, LLC is an SEC registered investment adviser. SEC registration does not constitute an endorsement of Abacus Wealth Partners, LLC by the SEC nor does it indicate that Abacus Wealth Partners, LLC has attained a particular level of skill or ability. This material prepared by Abacus Wealth Partners, LLC is for informational purposes only and is accurate as of the date it was prepared. It is not intended to serve as a substitute for personalized investment advice or as a recommendation or solicitation of any particular security, strategy or investment product. Advisory services are only offered to clients or prospective clients where Abacus Wealth Partners, LLC and its representatives are properly licensed or exempt from licensure. No advice may be rendered by Abacus Wealth Partners, LLC unless a client service agreement is in place. This material is not intended to serve as personalized tax, legal, and/or investment advice since the availability and effectiveness of any strategy is dependent upon your individual facts and circumstances. Abacus Wealth Partners, LLC is not an accounting or legal firm. Please consult with your tax and/or legal professional regarding your specific tax and/or legal situation when determining if any of the mentioned strategies are right for you.

Please Note: Abacus does not make any representations or warranties as to the accuracy, timeliness, suitability, and completeness, or relevance of any information prepared by an unaffiliated third party, whether linked to Abacus’ website or blog or incorporated herein, and takes no responsibility for any such content. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.

For more information about Abacus and this article, please read these important disclosures

Share:

What’s your financial archetype?

Simplify your life with a plan

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Ut elit tellus, luctus nec ullamcorper mattis, pulvinar dapibus leo.