Why do so many assume that retirement means settling for less income?

Discussion in 'Finance' started by pjohns, Apr 30, 2020.

  1. pjohns

    pjohns Well-Known Member

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    t truly does seem odd to me that so many people appear to assume that retirement automatically means less income. (The widow living on nothing but a Social Security check--and with "more month than money," as the old saying goes--is the prototype for this.)

    I retired over 15 years ago; and I am currently far better off, financially, than I ever was previously.

    Of course, my particular case should not be viewed as emblematic of everyone else.

    But neither should that widow, living on "nothing but a Social Security check," be seen as typical of all.

    Comments?
     
  2. cristiansoldier

    cristiansoldier Well-Known Member

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    I would assume that for most people. If you just told me that you retired 15 years ago, I would assume that your income would be higher 16 years ago than now. The only way that wouldn't be true is if your investments are performing much better now than they were 16 years ago to the level it exceeded your income 16 years ago. Usually when people retire they move a large percentage of their investments to low risk investments which have much smaller returns.
     
  3. Daniel Light

    Daniel Light Well-Known Member

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    Generalization usually break down when applied to individuals, that said, statistically you would be in the minority.
    Right now, I'm sitting at home making more than my average day rate at work by playing the stock market ... but I know that the present market swings
    are not normal, and this is not the norm.
     
  4. pjohns

    pjohns Well-Known Member

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    That is a good post.

    However, the only "investments" that I have are two IRAs--one originally mine, and one my late wife's--plus, of course, I have several annuities.

    The bumper sticker that reads, "No boss, no job, no income"--although rather humorous--is not at all accurate, in my opinion.
     
  5. pjohns

    pjohns Well-Known Member

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    I know that the first part of this sentence is correct.

    As for the last part, I am really unsure.
     

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