A Quick Look at the Pros & Cons of Early Retirement

Before saying yes to the offer of your employer to take advantage of early retirement benefit, you should take a look at the pros and cons of it first. There are several good points about retiring early. You will be in a better state of health upon retirement so you can do the things that youve always wanted to do, like travel the world or pursue a newfound passion. You can also spend more time with your grandkids, other family and friends.

The downside is that as compared to someone who retires at the age of 62, you would have lesser years to save up for the funds that youd need post-retirement. The pension and early retirement benefit from your employer or Social Security might not be available right away, so make sure that you have spare funds for that as well.

Top 3 Things to Consider before Opting for Early Retirement

Based from the pros and cons, how can you really make that decision whether you should retire early or not? Here are a few more things that you need to take into consideration:

Can you afford to retire early?

Finances should actually be your number one consideration when retiring early, there are many dagpenge, which is the Danish term for unemployment benefit. If you cant picture yourself working for another five or ten years, there are a few things that you can do to support your decision of taking an early retirement benefit package. Downsize your car and your home; create a bank account which you can dip into for any type of emergency; reduce or eliminate any credit card debt that you may have; and practice living within your means.

Do you have appropriate protection or insurance in case something happens to your health?

As mentioned earlier, employers usually offer well-compensated efterln, which is another term for early retirement benefit packages for those who wish to leave the company earlier than usual. There is absolutely nothing wrong in going for this decision, as long as you determine whether you have proper insurance in case something happens with your health. Check on your life and health insurance packages before considering early retirement.

What do you plan to do after you retire?

Finally, make sure that youd know what to do with yourself after you retire! For most people, going to work everyday has become so embedded in their routine that they have no idea what to do once they stop working.

Have a flexible plan which you can follow after you retire live on a yacht, travel the world, retire in a tropical location the possibilities of what you can do are practically endless. By taking these things into consideration, you can decide whether retiring early is suitable or not for you.