Early Retirement Planning - The Critical Issues...

Early Retirement Planning Versus Conventional Retirement

If you are interested in retiring early and wealthy then I have some critical information for you…

You see, I adopted the dream for early retirement in my 20′s and made that dream a reality at age 35. I’ve walked the talk for several decades (I’m 49 as of this writing) and have learned some important distinctions between early retirement planning and conventional retirement planning that I would like to share with you.

In this new feature article I explain how the biggest difference between early retirement and conventional retirement is time – less time to build assets and more time that your assets must support you. That means you have to build your wealth faster and make it last longer than all the conventional retirement calculators and formulas claim. This may seem obvious on the surface, but it is a game changer in ways you may not expect.

For example, if you retire with good health in your 40′s or 50′s you must build an income stream large enough to support you in perpetuity – without touching principal. Traditional retirement planning allows you to spend principal over your expected lifetime but early retirement is different. The reason is because either you or your spouse are likely to survive to at least 90 years of age creating a 40-50 year time horizon that your assets must survive implying almost no amortization of principal (i.e. – you can’t spend principal, only income to support lifestyle). It is a game changer in how you plan your retirement, and it just one of six essential early retirement planning issues covered in this new article.

Similar issues exist with inflation planning that affects how you structure your portfolio, how you manage the gap between when you retire and when you qualify for Social Security and Medicare, and much, much more. All in all, I teach you six specific areas where early retirement is very different from traditional retirement planning in this new article.

It is the latest addition to the “Top 50″ articles section of this website that I’m completing this summer. I hope it helps you sort through the relevant issues so that you can retire early and wealthy with financial security.