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Something I am proud of is that I retired early (52) and that it is completely self-financed (we buy our own insurance, no pensions, etc.). To me it's even more amazing that my husband and I did it on making very average incomes (under $100K combined). It was a lot of living below our means, saving, and investing.
But when people usually discount this achievement by saying that it was doable for us because we don't have children. The implication is that they could have done it as well if they didn't have kids. It sort of stings that people don't see the discipline it took and the time and energy to learn about investing (some good years in the stock market a long time ago didn't hurt either, I will admit). I've wondered if it's really true---and was interested to see this article:
It says: Having children also did not appear to affect people's plans to retire early, even though raising a child to age 18 costs close to a quarter of a million dollars. Some 87 percent of those intending to retire early had children, in line with those not ready to stop working.
So, okay, I will buy that people with kids may have had $250,000 more had they not had a kid. But it's not the sole reason why they can't retire early since people without pensions need a lot more than $250K to live until and then with social security. So maybe they would have had 3.25 million had they not had a kid...but what about the remaining 3 million they don't have?
From what I can see, not every childfree person/couple can retire early and it IS possible for parents to retire early. So I think we have to acknowledge that people spend and save/invest money differently and the presence or absence of kids is far from the entire story. Does anyone agree?
I do not think it diminishes your great accomplishment.
Agree. Years ago it took something like $100 grand to raise one kid, and that did not include college, which alone can severely impact retirement. Add in unexpected costs per kid for medical conditions, braces, etc etc and it's astronomical. Out of love and concern for their kids, many adults refi their homes for college tuition, and many adults put into their kids' college fund instead of funding their retirement (not saying they should have done this, but they do),
That said, it does not diminish the accomplishments of those who didn't have kids.
I do not think it diminishes your great accomplishment.
That sums it up very nicely. I agree. JazzCat, I think you are being overly sensitive to people who may discount your achievement. To hell with what others think. If they are not impressed by what you did, so what? I am impressed by it, and so are other posters who already responded.
Location: We_tside PNW (Columbia Gorge) / CO / SA TX / Thailand
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With 2 kids, we retired at age 49 as a single income blue collar earner. No Pension, No HC
Double income would have allowed us to retire before age 40.
College expenses
We homeschooled so I 'schooled' the kids to design, build and sell their own homes when they were age 13-15. By age 16 they were in FREE College (available in WA and HI). They made $70k each on their homes, which is good, cuz I paid ZERO for anything once they turned age 12 (age of accountability). They started their ROTH IRA's @ age 12 and each had $20k by the time college came. There were not impressed that I didn't contribute to their college financial needs. They grew up FAST and didn't bother to change their major (since they were paying). They also hammered the profs that refused to give good value for the high tuition.
BUT we are VERY fortunate: Impact of Children on Early Retirement Ability We have 4 'retired' neighbors raising their grandkids. One friend just got a brand spanking new baby (at age 63)... his daughter had the baby in prison, so she sent it 'home'.
Impact w/ kids can be HUGE! especially special needs / medical coverage
Yup, I AM sensitive about this---I've had so few accomplishments that I hate this one to be discounted, but I normally don't care what other people think, so you are absolutely right, ER.
I do feel for parents paying high college tuition costs. But as Clark Howard, a consumer advocate advises people, there are no scholarships for retirement, so parents should first fund their own retirement since kids can get scholarships and loans.
Easy for me to say since I am not a parent, but I do think parents need to look out for themselves. I've seen too many parents sacrifice just so their kids can get the standard of living the kids want. A neighbor in my community had to move out of the condo she loves because her daughter got divorced and wants to remain in the big house and needs her mother there sharing expenses. Another friend's son wasn't happy in his current home, so she was going to buy and move to that home if he couldn't sell it just to enable him to be living where and how he wanted, even though she knew there were problems in son's neighborhood with neighbors and parking, etc. It's nice for parents to be loving and generous but I do think younger folks have to suck it up sometimes and not have the idea lifestyle they want, if it comes at the risk of their parents struggling financially to enable it.
I had planned to retire at 50 but didn't actually do it till I was 53. I could not have done it if I had children. Not even remotely possible. Speaking only financially, they are a huge drain on your economy. Several of my child free friends retired early but no one I knew with children was able to even come close.
I do think it is harder with kids.
I do not think it diminishes your great accomplishment.
Two thumbs up to what Stan4 said!
And $250K per kid? Well, it depends on the frugality (or lack thereof) of the parents. I raised my kids on a whole lot less, and although they were certainly not spoiled, neither were they ever "deprived."
Once again, congratulations on your achievement jazzcat!
For most people that balloon payment due at age 18: College expense prevents early retirement.
A state school can easily cost $30K per year. With 3 kids, that's $360K. Ouch
I sent our two daughters to private colleges, then one to graduate school. Now that I have 6 grandchildren, we made a pre-paid arrangement with a local community college for all 6 of them to attend their first 2 years of college there. They will each finish with an Associate's degree, get their Gen Eds out of the way, and have 2 extra years to decide on a major. It was a bargain. They can still get the "university experience" for their last 2 years, but why pay for 4 years of beer and frat parties? The oldest grandson is just starting now.
Both of my daughters have good marriages and successful families. I long ago realized that their husbands would not be able to foot the bill for their childrens' college. They did save some, but will go for the last 2 years.
None of this affected my retirement at all. I did not sell my business till age 65 because I wanted to work that long, and get the business over the '08 slump successfully. I am still young enough to enjoy many years of goofin' off (actually, it's tough for me!). I would not have been happy in retirement, if I was constantly worried about my grandkids not getting off to a good start in life!
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