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I retired at the age of 50 and returned to work at the age of 53, but then lost my job due to medical problems. [retirement] money’

I always said I was going to retire when I was 50. I have been working since I was 16 years old and saved. Retiring without Medicare and Social Security is horrifying. I will retire and return to work. At the age of 53, I worked part-time for hours with a decent salary, but it was very boring. And life rang my bell.

I had a big medical problem. It was so major that when I got back to work they let me go because I thought I couldn’t keep up with the workflow. They were probably right. No one else felt comfortable enough to hire me for my health problems. I applied for a disability, but it was rejected. While at ICU, I appealed and refused to appeal. I appealed again, but I was rejected because they thought they hadn’t changed anything from my original application.

You can imagine what my savings are now. I needed income, so I retired early with a penalty. $ 4,000 a month wouldn’t have dented my prescription.

Everyone needs to know that no safe amount of money is set aside for retirement. Life can happen and in a blink of an eye your entire life and everything you worked for can be gone.

look: I am 68 years old My husband is terminally ill and his $ 3 million property is paid to his son. I want to spend the rest of the day traveling, do I have enough money?

Dear reader,

I usually only pick up letters with the questions in this column, but your notes were so important to other readers that I had to answer.

We apologize for any inconvenience. The desire to retire early is not essentially wrong. Many want to retire, especially after decades of work. But without proper planning, it can lead to despair, especially in the event of an emergency.

“Early retirement is a dream for many,” said Landontan, a certified financial planner. “But because I haven’t worked for years, I’m less likely to succeed in retirement than most other indicators I switch to when making a financial plan.”

Retiring early means more years are needed to be financially covered, which requires money — it’s a lot. If you plan to retire early, you need to consider those extra years — not only at the forefront of retirement, but also at the backend if you live longer than expected.

“Today’s retirees expect their accumulated assets to work 10 to 20 years longer than before,” said Glenn Downing, founder of Cameron Downing at CFP. “People over the age of 100 are no longer uncommon. To be successful, we need more assets — that simple.” Everyone prepares to live longer than expected, and money You need to make sure it doesn’t last long.

Those missing years may also affect your social security benefits, which so many older Americans rely on for most of their retirement income. People who retire early need to have a clear idea of ​​what they expect from future social security and how their plans affect those expectations.

Leaving the workforce also means that you may lose participation in the group’s health plan. We can be confident that the pandemic shows how important health insurance is in times of dire straits.

You are absolutely right: retire before Medicare is scared. Medical costs are high even in the absence of emergencies. Not everyone considers this cost when they dream of quitting in their 50s, but if they don’t have the right insurance at the time of retirement, they can quickly run out of their retirement budget. I have. .. For most Americans, those years can feel long when Medicare eligibility begins at age 65. It also does not take into account the completely different cost of long-term care. Think of nursing homes, home medical aids, and the medical equipment you need for your daily life.

Do not miss it: Will you retire earlier this year?Check out your plans for health insurance reform now before Saturday’s deadline

It is very difficult to know how much you can save for retirement. There is no such thing as one “safe” number before you retire, but there are some guidelines you can follow to find safety in old age.

Part of that equation comes down to a personal situation. That is, the amount you normally spend on your pre-retirement life, the amount you expect to spend on retirement, and various financial factors such as taxes, housing, and utility bills. And, as you have experienced, and as compassionately reminding others, a serious unexpected emergency can completely undermine financial security of all kinds.

Another factor is what you have available in your older years. Hope it helps you and others in similar situations and will explain it soon.

Recent research shows that retirees tend to focus on short-term changes and may not be prepared for the future. According to a survey by the Actuary Association, many retirees respond to these emergencies. The organization found that more than 7 out of 10 retirees are thinking about how their lives will change in the coming decades, but only 27% are financially ready. I feel that I am.

More than half of the retirees who participated in the survey said they couldn’t afford more than $ 25,000 in an unexpected emergency without jeopardizing their post-retirement safety. More than half of black and Latin respondents said they couldn’t afford to spend $ 10,000 on a financial shock.

“The world can change really rapidly around you, and you need to be prepared for it and deal with it,” said Anna Lapaport, a member of the Actuary Institute’s Aging and Retirement Program. rice field. The Americans didn’t often plan the shocks that life could bring before the pandemic, and she said it hasn’t changed since then. “Before, I was shocked and the landscape just changed a little.”

See the MarketWatch column “Retirement Hack” For practical advice for your own retirement savings journey

But you are not alone. Many people are in difficult times before and during retirement, with or without a pandemic. You may have already run out of all the roads, but this one retired person shared the steps he took when he lost his job at the age of 58. Until he officially retired at the age of 64. The lifestyle included accepting roommates, buying some household items at the dollar store, and planning extreme meals.This is what he says Now his retirement..

If your medical condition allows, can you find a way to work part-time or make money while working from home? Or can I shrink my place of residence or take my roommates with me?

I know you aren’t asking for suggestions. I think you’re already doing everything you can to make yourself comfortable, but if you haven’t considered it yet, there are plenty of resources to consider.

Did you investigate government interests such as housing, heating, and food aid? There are many federal and state programs available to seniors in need of financial assistance. Not only SupplementalSecurityInsurance and Medicaid, but of course they are the most famous.

AARP has been created List of resources, Classified by state, and provides unique services such as helping people in their 50s and older return to work. GoFundMe also has the following list: Financial support For older Americans. This includes housing, food, medicine, and options to return to the workforce. States and even individual cities also have departments and offices dedicated to aging issues, and you can even call them. It may be hard to find, but there is help.

Thank you.

Reader: Do you have any suggestions for this reader? Please add them to the comments below.

Do you have questions about your own retirement savings?Send us an email at HelpMeRetire@marketwatch.com

I retired at the age of 50 and returned to work at the age of 53, but then lost my job due to medical problems. [retirement] money’

http://www.marketwatch.com/news/story.asp?guid=%7B20C05575-04D4-B545-7870-4952B671ED21%7D&siteid=rss&rss=1 I retired at the age of 50 and returned to work at the age of 53, but then lost my job due to medical problems. [retirement] money’

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