Source: Fortune
Summary
Retiring early, typically at 62, can have severe financial consequences, including a permanently lower Social Security benefit, increased sequence-of-returns risk, and accelerated cognitive decline. The conventional wisdom of retiring at 65 is outdated, as people are living longer, with men expected to live 18 more years and women 21 more years on average. The article suggests rethinking retirement and considering a 30-year second act, staying engaged in work, and building a guaranteed income floor to last into the eighties and nineties.
Our Reading
The numbers tell one story. The concept of retiring at 65 is a relic of the past, designed for lives that no longer exist. The math, the data, and neuroscience tell a different story. The decision to retire early can lead to a quarter-million dollars in foregone lifetime income. The conventional wisdom of early retirement is the single most dangerous piece of retirement advice in circulation. The answer is not to work longer, but to re-architect retirement for a 30-year second act.
Author: Evan Null
