E79 5 Unexpected Consequences of Retiring Early [REPOST]

<p>We’ve <a href= "https://anthonyspark.com/7-things-to-know-about-financial-independence-and-retiring-early-fire/"> previously talked about the “F.I.R.E.” movement</a> (Financial Independence and Retire Early). Most people assume that early retirement is a universally good thing. But what are some of the unexpected drawbacks of leaving the workforce early?</p> <h2>1. Not as Happy as You Expected</h2> <p>Generally, retirement makes you happy, but the increase in happiness was already priced in. It’s not like an instant happiness from winning the lottery. Retiring early is a process that you’ve been building up. Perhaps it’s better to say that the process toward early retirement may cause a gradual increase in happiness. People have said that the initial happiness of retiring early tends to fade in three to six months. As humans, we adapt to our circumstances quickly. Your way of living eventually becomes your normal.</p> <h2>2. Identity Crisis</h2> <p>Many people don’t realize how much of their identity is connected to their job and only after you leave your job do you truly realize how wound up you were in your profession. This identity crisis may last as little as three months or even up to a few years.</p> <p>When people ask what you do for a living and you tell them you don't do anything, it could pull at your sense of self-worth. It’s hard to tell people that you are not working when you used to do something. You may feel like you now have a void that needs to be filled.</p> <h2>3. Loss of Power/Influence</h2> <p>This affects more of corporate America. When you work for a company, regardless of your actual salary, you may have a fancy executive title. You make decisions that have potentially million-dollar impacts. You have people reporting to you, depending on you, and seeking your permission. It is extremely hard to shift from having all of that power and influence to having none of it. Going from a job like that to fishing every day may sound heavenly, but people report that it is hard to deal with the lo