The Freedom Years

So many people I know have retired early, eight, nine or even ten years before the official state pension age.  For some, maybe that’s not something they ever want to do, but for me and a lot of others who do want that option, it seems like a distant dream. And no matter how many times I crunch the numbers, I can’t make that a reality. 

To be fair, and I have beaten myself up many times over this, I could have consistently saved more into a pension in the early years, though pensions were certainly not the hot topic they are now.  

In my 20s and even 30s, pensions were slightly mystifying, and largely belonged to senior managers who could afford the deductions each month, rather than those in the lower-paid roles.  

I remember many staff discussions where we talked about the merits of whether the monthly financial sacrifice was worth it – it was.  And some lucky few I know were automatically enrolled into their work pension schemes, and are now reaping the benefits of that. 

But recently I’ve read more and more about the ‘bridge years,’ and finding a way at least to semi-retire, giving you back more time and flexibility, before the state pension etc., kicks in.  

This is a very personal decision, and first you need to decide if that’s actually what you want. There are lots out there who are fortunate to love their job.  Unfortunately I’m not one of them. 

After 30-plus years in an often stressful career, I absolutely want that freedom to travel, see more of my family and friends, and spend time doing more of the stuff I enjoy. I definitely don’t want to be one of those colleagues who is sitting in a job they no longer enjoy, steadily counting down the years to when they finally receive their work pension. 

However, the need to build a solid foundation first is critical, because you absolutely don’t want that bridge to collapse halfway across.  I’m calling this my runway phase.  

Beyond minimum living standards, what is ‘enough’ of course massively depends on your personal circumstances, and what you can ‘happily’ live on.

What did surprise me, though, was that when I started doing the maths, the ‘pot’ needed to get you safely across that bridge and onward is a lot less than I realised.

A combination of my retirement pot and part-time work actually looks achievable in a year or two, with careful planning and some proper financial advice.

Of course, this is not financial advice or anything close, but like me, you may find you’re not as tied to your current situation as you thought you were. 

I believe your fifties and early sixties are your freedom years, where, if you’re lucky, you still have good health and a zest for life.  It doesn’t mean you no longer have commitments, but personally, the regular 9-5 grind and slippery career ladder no longer appeal. And until recently, the road to freedom seemed long and beyond reach.

Whilst still very much in the planning stages (more of which I will post later), semi-retirement now seems a real possibility, giving me a much-needed boost of optimism as we move into the autumn.