Planning Early Retirement
by Geoffrey L. Scanlon, CPA

oes the thought of retiring before the traditional age of 65 sound enticing? While the goal is attractive to many, achieving it can be quite challenging-you'll rely on your retirement savings for a longer time while accumulating those savings over a shorter period. If you're interested in pursuing this goal, consider the following:

• Work through your numbers carefully. Retiring before age 65 may mean that you'll be supporting yourself for 30 to 50 years. You want to be sure that your retirement savings and other income sources, such as Social Security and pension benefits, are sufficient to support you for that lengthy period. You don't want to find out late in life, when you aren't able to return to work, that you've run out of retirement funds.

• Save and invest aggressively during your working years. Even with a generous pension plan at work, the key to early retirement is a significant personal saving. Those serious about retiring at an early age usually start planning and saving in their 20s or early 30s.

• Make sure you know how you'll spend your time. When you're working full time, you feel that you have enough hobbies and odd jobs to fill the rest of your days. But many retirees find themselves bored after a year or two of retirement. You may want to first take an extended leave from work to make sure you'll enjoy having all that time on your hands.

• Consider at least part-time employment after retirement. What many people are seeking through early retirement is not so much total leisure as some time to pursue other interests. That can mean working at a less stressful job, starting your own business, or turning hobbies into paying jobs. This can give you time to pursue travel and other interests, while helping fund a long retirement.

• Relocate to a less expensive city. You may be able to reduce your living expenses substantially by moving to a locale with lower living costs.

• Review any early retirement packages carefully. Even those not thinking about early retirement may be tempted if presented with an early retirement package. Before accepting an offer, make sure you understand what additional benefits you will obtain. Analyze what your retirement benefits would be at normal retirement versus the current offer, how early retirement will affect your other retirement investments, and how you should handle any pension distributions. Find out whether your employer will pay for health insurance, at least until you qualify for Medicare at age 65.

While thoughts of early retirement can be enticing, first make sure you have adequate funds for that long retirement. Please call if you'd like help developing a plan for early retirement.

Geoffrey L. Scanlon, CPA Scanlon & Associates, Inc.
Insurance & Retirement Planning · 859-655-9600

ASK DR. STEVE

Dr. Steve: I understand that you ran two marathons last year. What do you recommend for runners to help prevent injuries and pain? Greg C.

Greg: Although the topic of injury prevention and pain is extremely complex, there are several key items that you should consider:

1. Cross training. I lift weights 4 times per week, but the important point is that you do a different activity besides running at least 2 times per week.
   

2. Stretching. I highly recommend stretching before and after your runs. Try to learn one good stretch for each muscle group. Stretch prior to the run for injury prevention and after for muscle memory and injury prevention.

3. Supplementation. As a minimum I recommend a high quality multivitamin/mineral, vitamin C with bioflavanoids, magnesium, omega 3 fatty acids and glucosamine sulfate. Purchase supplements that are guaranteed all natural and organic (not synthetic).

4. Shoes. Make sure you have good running shoes AND work/play shoes. Remember your non running shoes need to be comfortable too.

5. Posture. Try to run with good posture (i.e., head level, back straight, chest out, etc.). This will help oxygen exchange to the lungs/tissues and reduce stress on your neck and low back.

6. Pain. Don't ignore early warning signs of pain. If you are experiencing extended periods of pain, get checked out before it leads to something serious or chronic.

7. Function/Alignment. If you are presently experiencing pain, it could be due to abnormal spinal or extremity joint function/alignment. Abnormal spinal and extremity joint function causes pain, muscle spasm and joint inflammation and can lead to conditions such as, plantar fascitis, patellar tendinitis, iliotibial band syndrome, piriformis syndrome, sciatica, low back pain, neck pain, headaches, rotator cuff tendinitis, tennis elbow, carpal tunnel syndrome and many more. Abnormal joint function also makes you more susceptible to acute joint sprains and muscle strains. Chiropractic treatment can help with these types of injuries. In addition, regular chiropractic care ensures early detection of abnormal joint function and, if corrected, can help prevent injury.

8. Diet. Your diet should consist of fresh fruits and vegetables, nuts, whole grains, lean protein and cold water fish. Avoid "pro-inflammatory" foods such as caffeine, soda, fried foods and processed foods. Drink lots of water.

Dr. Steve is a chiropractic physician at Mt. Lookout Chiropractic & Sports Injury Center. He can be reached at 321-8484 or Drsteve@mtlookout.com.

Developing a High-Impact Marketing Profile
Moving Your Business to a Higher Level
Attend this powerful three-session evening workshop on August 22-24, 2000
Call us for more information and registration

EDOCService, Inc.
(513) 829-7101