#2 Uneven Retirement spending - Joyful side

On to the joyful side of retirement, or what one coins as financial freedom today.

According to a study done, Retirement or financial freedom is divided into 3 sections, as accordance to vigor or energy levels.

These three levels are namely: Go-Go years, Slow-Go years, and No-Go years.

As the names suggest, it shows the differences in expenses over time, assuming a healthy life which is a slow down as one ages due to reducing of energy level to explore activities and travel more widely.

the number 73 is the estimated last age of Go-go years, some think it is up to 75 of age before slow-go years begin.

In the local context, this may mean not much time to enjoy ;

currently in Singapore, the retirement age is 63, and the reemployment age to be raised to 68.

Assuming one retires at age 65, a significant age which is explained in subsequent articles, that means only 8 years to enjoy fully from 40 years of work.

A thought to consider, how about instead of 20% ratio of options to work (8 years of full options to 40 years of work assuming 25 years to 65 years old of employment and career),

Why not one instead have a more even ratio (30 years of work to 18 years of options aka 60% ratio) aka retiring at age 55 or being free financially. A Food for thought to consider.

This is 1 concern to justify why retirement/freedom spending is more tapered down over time, and a possibility to break away to achieve this milestone earlier when one has more energy and vigor given the limited time.

Note also, one has not considered the not so pleasant side of retirement and freedom, which is often overlooked and will be elaborated more next.

So let me know, what is your Start of Go-Go years? #go-go #retirement