How to Retire Early

Shelley HumphreysShelley Humphreys07/10/20193min
For those who wish to work hard to enjoy family time and travel the idea of early retirement can be appealing but what steps do you have to take to retire early to enjoy the freedom of your life?

Define What Retirement is to You

Some wish to never work again whereas others define retirement as not living from paycheck to paycheck. Others would like to leave secular work so they can pursue a hobby or creative line of work which allows them to set their own schedule.

Establish Your Goal

Once you have decided what your ideal retirement is it is now time to calculate how much money you would need to achieve it. In the book Financial Freedom: A Proven Path to All the Money You Will Ever Need, it is recommended to have 25 to 30 times your annual expenses and also a years’ worth of expenses available in cash.

Cost of Living

To be able to reach your goal figure, you must ensure you do not spend more than you earn. When you are working towards your goal, it is vital to live well below your means focusing on your investments. Those who are successful in doing this, say that even small cuts to the expenditure on transportations and food can go a long way in the long run.

Eliminate Debt

Eliminating consumer debt is essential whether it’s a car on finance or your mortgage, its best to enter retirement with as little outgoings as possible. Many also enjoy the peace of mind that no debt brings.

Health Insurance

For those that live in countries that require insurance, once your employment ends, most likely so will your health cover. For those that have the option, it is possible to join a working spouse’s health plan. For those that do not have this option, factoring in the cost of insurance is required with research into potential subsidies proving beneficial.

Plan B

Even if you plan every detail, not everything will be in your control. Due to this, it can be beneficial to plan what you can do if things go wrong. If you have more than one property, would you consider putting it up for rent or do you have assets of value that you could sell? These may not be nice thoughts but it is beneficial to plan for worse case scenarios.


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Shelley Humphreys

Shelley Humphreys

Shelley started her education in Legal Studies followed by employment in a UK energy Firm. In recent years attention has been turned to content writing specifically on the subjects of investment and real estate. Alongside this she has also worked with UK based Travel Agency, this diverse background makes her well equipped to write on a range of subjects. Contact Shelley at +357-22029786 ext: 6126 or by email at for editorial related questions.

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