posted
Hey Duncan, Sorry I am a little late in starting this thread but, as you requested, here goes.
I guess the start of our retirement planning occured after a meeting with my bank manager when I was around 45 years old. She asked me if I was taking advantage of the tax savings offered by RRSP's. I wasn't. So she set me up with an automatic weekly withdrawal of $100 from my business account to go into an RRSP. It seemed like a pretty hefty sum at the time and often it caused the account to go into overdraft. But she made me stick with it.
Shirley picked up on the idea at about the same time and started having automatic withdrawals from her paycheque to go into RRSP's at work.
As you can imagine, these automatic withdrawals started adding up in a hurry. Plus they saved us a pile of money at income tax time each year.
Yes, we were like virtually everyone else and had a mortgage, personal loans, credit card debt, but the retirement savings kept increasing. At some times things were quite tough.
That was the money side of the planning.
About age 53 we were introduced to the Yucatan coast of Mexico and we spent one glorious January away from the cold and snow of Canada. At the time a one month vacation seemed totally decadent to us but it was so affordable, compared to a 2 week vacation at an all-inclusive resort. We repeated the one month vacation for the next 3 years, but then we needed more so we upped it to two months and then three months.
At the beginning, the one month vacation didn't hurt business, because January was traditionally a "dead" month anyway. But once we got to three months I needed to be sure my regular customers were taken care of. I made an arrangement that they would e-mail me their requests, I would prepare the files and email the files to a fellow signmaker from Letterville. He would physically do the job and we had an agreement that he would get 90% of the price of the jobs and I kept 10% for preparing or having the files available. It worked out well for everyone concerned.
Experiencing three months away from work convinced me that I was not going to find it difficult or boring. Also, knowing a lot of people our age who were already fully and happily retired and living full-time in Mexico helped nudge me toward that path.
That was the "feeling comfortable with retirement" side of the planning.
I had been nudging Shirley, starting at age 60, to consider full-time retirement. It took until age 63 to convince her that we should go to a financial planner to get an independent opinion on whether we were going to be able to afford to retire. After reviewing our assets and liabilities, he said "go for it". So we sold our house and moved into an apartment (We wanted a place in both countries that we could lock up and walk away from without concern) Part of the proceeds from the house sale were used to make us debt-free, the rest went into investments. I also sold the business to the Letterville member who had been working with my customers for a few years.
At that point 5 years ago we bought a used vehicle and drove it down to Mexico and stayed for 6 months. (The second vehicle stays in Mexico full time). The following summer I discovered that Ontario and Alberta are the only 2 provinces that will allow residents to be away for seven months of the year and still retain full health care benefits. That convinced me to stay in Mexico for the full seven months from then on.
I am now awaiting the arrival of the Mexican licence plates for our vehicle and in September we will be obtaining our Residente Permanente Visas for the country.
We lead 2 different lives in 2 different countries now, with 2 different sets of friends and acquaintences. In Ontario we have the family and friends that we have always known. The have the "Canadian" work ethic ingrained in them and are still working, even after age 65 or they are content to be retired and shovel snow in the winter. The folks that we know in Mexico are more "free-spirited" and will do something different at the drop of the hat.
That is the how and the why of our being in the situation we are at this time. I really didn't want to quit work because I hated it or anything like that. It was just that you can't run a one man business 50% of the year. (Getting away from snow and cold was a bigger factor!)
-------------------- Dave Grundy retired in Chelem,Yucatan,Mexico/Hensall,Ontario,Canada 1-519-262-3651 Canada 011-52-1-999-102-2923 Mexico cell 1-226-785-8957 Canada/Mexico home
posted
Thanks Dave- it is great to hear your story (although I have followed you thru a lot of the retirement saga over the past few years) I am at the doorstep of my 45th birthday, love the creative side of what I do but not the biz side- have been looking at other opportunities to be able to free ups some money, put something aside for later years, etc.
-------------------- Michael Clanton Clanton Graphics/ Blackberry 19 Studio 1933 Blackberry Conway AR 72034 501-505-6794 clantongraphics@yahoo.com Posts: 1735 | From: Conway Arkansas | Registered: Oct 2001
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I would guess that 90% of the Letterhead folks are like you. They love the creative side of the work but dislike the business side.
I liked both, but I came to dislike being cold in the winter.
Also, I guess the fact that my dad retired at age 55 AND my ex-wife retired at age 55 kinda made me think "Why can't I too?". It took me a bit longer than them, but we did it.
-------------------- Dave Grundy retired in Chelem,Yucatan,Mexico/Hensall,Ontario,Canada 1-519-262-3651 Canada 011-52-1-999-102-2923 Mexico cell 1-226-785-8957 Canada/Mexico home
posted
Thank you so much for taking the time to share with us. I too like the sign business. I have interests outside of signs like photography and woodworking. Even so I am scared of leaving the day to day commitments. On the weekends I find it hard to get motivated to do much. I am definitely a deadline driven person. As long as there's a due date, I can get 'er done. That's what scares me most about retirement. Am I going to accomplish anything or will I just putter away time. There are lots of things I'd like to do. Travel, golf, build furniture, dabble in photography and other stuff. After working at such a high level, how long will it take to unwind? How do you know you're still exhausted or just getting lazy? My health is good, so I want to get at it sooner than later. My thoughts are to start by selling the business and working part time for a year or two and gradually work my way out of it. Another thing the crosses my mind is, will I feel worthwhile when I'm retired. Right now, a lot of people depend, to some extent that I do my job. Decisions I make effect people. This sounds a little egotistic, but it's true. Dave has some great insights here. I hope some retired or semi retired folks out there weigh in with there perspectives. We just bought a motorhome, so Laurie and I will be escaping on short jaunts starting next weekend. It may not seem like much, but we are sure looking forward to seeing the city in the rear view mirror for even a few days at a time. You are a testament to the fact that it can be done Dave. Cheers mate!
posted
Duncan...I'll try and address each of your comments...
"I too like the sign business. I have interests outside of signs like photography and woodworking. Even so I am scared of leaving the day to day commitments. On the weekends I find it hard to get motivated to do much. I am definitely a deadline driven person. As long as there's a due date, I can get 'er done."
That was one of the aspects of the business I enjoyed most Duncan...Getting the job done right AND on time, deadlines were important to myself and my clients.
"Am I going to accomplish anything or will I just putter away time. There are lots of things I'd like to do. Travel, golf, build furniture, dabble in photography and other stuff."
You will have the time to pursue the things you wish to do and might discover things you never imagined that you would enjoy doing. I never imagimed myself being a volunteer/helper/supporter of a food bank in a small Mexican village...but it has been and is a very fulfilling experience for us.
"After working at such a high level, how long will it take to unwind? How do you know you're still exhausted or just getting lazy? "
Everyone is different...It took me several years of one month to three month vacations to realise I wasn't exhausted nor lazy, I was just ready to enjoy life without having to worry about anything other than should I shave today or what or where should we eat for supper tonight.
"My health is good, so I want to get at it sooner than later. "
My thinking is the same..I'd rather be walking the beaches and streets while I can without a cane or a walker.
I'll finish my replies tomorrow Duncan...It's been a busy day in paradise and I am getting tired at 11pm local time!!!
[ April 23, 2013, 12:14 AM: Message edited by: Dave Grundy ]
-------------------- Dave Grundy retired in Chelem,Yucatan,Mexico/Hensall,Ontario,Canada 1-519-262-3651 Canada 011-52-1-999-102-2923 Mexico cell 1-226-785-8957 Canada/Mexico home
posted
I'm not clear why there aren't more responses to this post. I know there are lots of us in our 50's. Do we ever plan on not retiring or just working until we die or aren't able to work anymore? I'll never lose interest in Signwriting and murals, but I don't want to have to work to have a decent living. Appy is living proof that this can be done. Is there anyone out there that has included this reality in their life plan? If you are retired, how's it going, any surprises? If you haven't yet, what are your plans? Maybe retirement is a negative thought to some of you. Everyone wants more time to do the things they like to do. What ever you want to call it, "retirement" should be a big step in your life, evolving from a "slave" to a "free man /woman".In other words, reborn. I plan on being re-born before I know longer have a choice. That won't happen over night, but I have a plan. Laurie and I just returned from a little trip in our new motorhome and this is our idea of starting sooner than later. Making signs can be a fun hobby. The business of making signs is very serious and a lot of the time, not much fun. I'm looking forward to the hobby of making signs. I'd love to hear some comments.
posted
Well Duncan, I'll respond. I'm a few months younger than you but I'm just starting to think about retiring. Like you, I don't want to ever give it up completely but I would like to slow down a bit. I suspect my job is more fun than most ( about 75% dimensional) & I really do enjoy the business part of it. I no longer have employees, so my stress level is pretty low.
Personally, I couldn't do what Dave does. Although I tire of winter, I really don't like the heat of summer either. I admit to giving thought to spending my summers in the Yukon ...... perhaps painting "vintage signs" for extra $$$
My wife works 4 days a week now & will probably start cutting back by a half-day a year before too long. Although she'd love to retire now, she's already frustrated with people wanting her to do all this other crap when she's not working. Most of it is less fun than her job.
I don't look forward to much of that "other stuff" either. My neighbour has been retired for 15 years now & he doesn't have a moment's peace. Mind you, he's on municipal council, which he enjoys, but besides that, everyone wants his time for everything else you can think of. I'm not that social, nor do I care to be.
We don't have a lot of debt & although we couldn't retire yet anyway, 5 years from now should be a different story. I just don't ever want to wake up in the morning & have absolutely nothing to do that day, or to be more specific, nothing that I'm looking forward to doing. I truly believe that some people retire & just die of boredom.
For years, I've admired how Bill Riedel retired. However, my kids aren't interested in the business, nor was Erin. To me, Bill has the retirement I'd like to have someday.
-------------------- Rodger MacMunn T.R. MacMunn & Sons C.P.207, Sharbot Lake, ON 613-279-1230 trmac@frontenac.net Posts: 472 | From: Sharbot Lake, Ontario | Registered: Nov 2003
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posted
I did an online retirement calculator that tells you at what age you can retire. You plug in some basic information such as your age, location, how much money you have in savings, etc. and you get your retirement age. Mine came up at age 115. I'm glad I love my job. But seriously, I don't see retirement any time soon although I just turned 60. Our plan was to sell the sign business and use that money to fund our retirement along with social security. That's not a likely plan now given the state of the sign industry in our area currently. I've thought about not having a sign job and like Roger said I think I would die of boredom. Without the pressure of deadlines I can get real lazy, so I don't think the "hobby" idea will work for me. Besides, with the health care crisis in this country, affording health insurance is one of my major concerns. I'm thankful that my health is good and work is coming in.
-------------------- Jean Shimp Shimp Sign & Design Co. Jacksonville Beach, Fl Posts: 1265 | From: Jacksonville Beach, Fl. USA | Registered: Nov 1998
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posted
I've been waiting all my life to retire so I took early retirement at 62...it's a reduced rate but so what...seems like the genetics are such in my family that the males don't have much time left on this earth after they retire...my brother left us at age 56, my father at 67, and so it goes...all heart related...I guess it's genetic because I also have heart related issues...but I do keep to a strict diet so maybe I'll make it into the 70's...people still want me to make signs and I'll enjoy that as long as I'm able...I've got 7 or 8 nice apartment signs to make this year...we work with rescued animals and that too gives us a sense of purpose...we bought kayaks last summer and when we want to go...we just go...health care is the only thing we have no control over...both Donna and I are uninsurable so that remains a variable in our lives...but come Jan...under the new health care law we will have insurance for the first time in 8 years...then at 65 we sign up for Medicare...we've been very lucky and look forward to each day...realizing that at any moment things could change keeps us ever mindful of the present.
That's my camera in a water tight container strapped on top of the yak
posted
Duncan, and others, I didn't finish my reply to your questions because I got the feeling that most folks were not interested in the topic.
We are currently at a great hotel in Cancun, on our way back to canada for the summer.
When we get back to Canada, I'll finish up my previous replies.
-------------------- Dave Grundy retired in Chelem,Yucatan,Mexico/Hensall,Ontario,Canada 1-519-262-3651 Canada 011-52-1-999-102-2923 Mexico cell 1-226-785-8957 Canada/Mexico home
posted
Rodger...We wake up every morning in a warm environment, summer or winter, and that is what we desire.
We also wake up to having "something to do", it might be a maintenence thing at the house in Mexico or it might be our self made promise of assistance to a food bank here.
I find I do get kinda bored being retired in Ontario, when we are back in the summer, so we sometimes attend WallDog meets just to document and visit and have something to do.
I thank god and the Ontario government that they allow us to be in Mexico for 7 months of the year and still retain our OHIP coverage.
Bottom line for me is...I have never been happier nor more relaxed than I am now....no deadlines, no worries, no debts, NADA!!!! (And no commitments)
[ April 30, 2013, 10:59 PM: Message edited by: Dave Grundy ]
-------------------- Dave Grundy retired in Chelem,Yucatan,Mexico/Hensall,Ontario,Canada 1-519-262-3651 Canada 011-52-1-999-102-2923 Mexico cell 1-226-785-8957 Canada/Mexico home
posted
We all definitely need to think about our retirement plans and then implement that plan in a meaningful fashion. Comfortable retirement does not often happen by fluke.
We seriously considered beginning a downsize and slowdown at age 50 but instead decided to build my dream shop. We also invested heavily in quality (and expensive) equipment and tools. I decided I would be most happy working with my hands rather than doing design alone. Part of our plan was to reduce our staff and purposely do high end work that tickles my fancy alone. I get to do the exact work I want and love to do each day.
This year (age 59) we invested heavily in a new (larger) house on the same property. The house is extremely green with the purpose of being much less expensive to operate in the decades to come. It is also very comfortable and will be extremely low maintenance both inside and out. The house has wide hallways and is wheelchair accessible throughout. This means we should be able to live there until we are old and won't be forced out by mobility issues should they happen.
Traveling south for months at a time to be where it is warm does not appeal to us as we love to be close to family. We live in a beautiful spot that does not get too hot or cold. The scenery is spectacular right from our back yard.
We hope to continue to travel extensively (short trips) in the future but rather than having to pay our own way we will hook our trips to teaching gigs we are working on, hopefully around the world.
Retirement date? Already done. I retired at age 23 when I quit my day job.
-grampa dan
[ May 01, 2013, 01:02 AM: Message edited by: Dan Sawatzky ]
-------------------- Dan Sawatzky Imagination Corporation Yarrow, British Columbia dan@imaginationcorporation.com http://www.imaginationcorporation.com
Being a grampa is one of the the most wonderful things in the world!!! Posts: 8738 | From: Yarrow, B.C. Canada | Registered: Nov 1998
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posted
Dave, you're doing what is "right" for you & most here are happy for you ..... the rest are jealous .. LOL
I was just pointing out that I couldn't do it, although my wife likely could. She's cold most of the time. I find the summer heat here in southeastern Ontario oppressive. I'm OK up to 80*F ( I like it a lot better in the 60s) but that's it ........ above that, I'm just staying somewhere cool.
Then again, I'm not fond of -20 and a howling wind either.
Like Dan, I sort of "retired" at 41.
-------------------- Rodger MacMunn T.R. MacMunn & Sons C.P.207, Sharbot Lake, ON 613-279-1230 trmac@frontenac.net Posts: 472 | From: Sharbot Lake, Ontario | Registered: Nov 2003
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posted
This is exactly what I hoped to see. Different people with different dreams and realities. I'm really enjoying all this input.
I think we all need to document our dreams and share them. It makes us think and plan. Hopefully our spouses are of like mind, but that may not be the case. I think couples are often totally unprepared for this big change, and struggle to get it together after the fact. Often by then it's too late.
Our education system focuses on career planning, but financial and life planning are barely touched on. I think our governments might be wise in providing mandatory continuing education in the area of personal fiscal responsibility. I know most of us don't want more government meddling, and no one knows less about fiscal responsibility than those folks. That said, most of us need to be prodded into things as boring and depressing as money management. Maybe it could be tied to Income tax returns. Before submitting your on-line or mailed in return, you need to first complete a learning component and questionnaire. If this was done once a year, maybe the population would be better prepared for the financial realities of life. The course content would change depending on what stage of life and health you're in. Not a perfect plan, but food for thought.