What Age Would You Like to Retire?

The State retirement age in Ireland is 66 years, which is when you’ll receive the Irish State Pension if you have enough PRSI contributions.

But what if you could shave five or even ten years off that?

Why retire early?

I’m sure I don’t need to tell you all the benefits of retiring early. Most of my clients that have retired when they want to on their terms get the opportunity to spend more time with their families and friends. This brings immense freedom. If you aim to retire at 60, you’ll still be young and healthy enough to enjoy travelling, sports, and enjoying leisure activities.

It’s worth recognising that we live longer thanks to the advancement in medicines and taking control of our health and wellbeing. A 65 year old man has a 50% more chance of living to 87, and a female of the same age has a 50% more chance of living to 90 (source: Central Statistics Office Office for National Statistics).

Add a number to your retirement goal right now. Commit to it and then take the action steps necessary to make it happen. Answer this simple question – what age would you like to retire?

Now you’ve committed, let’s think about the practicalities of retiring early.

How much money will you need to retire early?

Let’s assume you want to retire at 60. The basic guidelines would be to have 20/25 times your retirement expenses. That could look something like this:

• Expenditure per annum = €30,000

• Investment/Pension Funds needed = €600,000+

Most people will have several pots of money to utilise, including their State Pension, an employer’s pension scheme, savings, or other income sources.

Your expenses will change over time as your money is spent on hobbies and travel rather than work expenses. All of this would need to factor into your retirement budgeting.

Clearing any outstanding debt will give you more financial freedom as you embark on a new way of life. If you’re unsure how to budget and focus on your debt management, please book a call with us today, and we can help you put this into place.

How can you achieve that early retirement?

Our financial life planning service helps you understand what is most important to you in life and why. We help you identify what needs to be put in place to retire early and maintain the lifestyle you and your family dream about.