Many people dream of retiring early, whether it's to avoid a hard job or to take advantage of opportunities like travelling while they're still relatively young.
If you had planned on retiring early in the next year or two, you might be unsure if you can still do so given the current stock market downturn.
However, even if your portfolio just experienced a big loss, there are some situations when retiring early is more than conceivable.
If you're thinking twice about taking early retirement in light of the recent stock market decline, you're probably not the only one.
However, if your portfolio is set up properly, you might be able to move through with your short-term early retirement objectives without any issues.
People are typically urged to switch to safer investments as retirement draws near and to keep one to two years' worth of living expenses on hand.
In this way, even if the stock market crashes, they would still be able to pay their bills. If you took that advice to heart and are sitting on bonds in your portfolio
that haven't lost much value and a tonne of cash, you might be in a strong position to start early retirement even though your portfolio is down.
Despite the current decline in the stock market, the residential real estate industry is still booming. As a result, while you wait for the value of your IRA or
401(k) plan to rise, you might be able to sell an income property for a healthy profit and use the proceeds as a short-term savings account.
Another option is to decide to keep the rental home and use the monthly rent payments as income. Of course, you'll need to ensure that the rent you seek pays for
both your personal expenses and the cost of owning and maintaining the property. But if that's the situation, you're in a good position to stick to your early retirement objectives.
If your portfolio has suffered a significant loss in value and you don't have any cash on hand, early retirement could have to wait. Even if you plan to retire early soon,
you might be able to do so if you have the money to meet your responsibilities for a few years without having to sell investments that aren't doing well.
However, there are risks involved with early retiring, such as prematurely depleting your funds, needing to pay for healthcare since you are still young enough
to want to remain active, and just getting bored. However, if you are aware of the risks, it is possible to quit your job when the stock market is making a lot of people unhappy.
Your retirement savings are a few years (or more) behind if you're like the majority of Americans. However, there are a few mysterious "Social Security secrets"
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