"When you've saved a lot of money, early retirement becomes a possibility. That's the situation this Reddit poster is in. The poster has a net worth of $8.1 million at 48 years old and is ready to stop working. They set their son up with enough money for college and grad school, as well as a $250,000 stock account. The poster feels guilty about leaving the workforce during their prime earning years, though."
"I have a baseline amount of income I need to earn to cover my household expenses and fund my retirement savings. Money I earn beyond that point usually goes toward my kids' college fund. I call it a college fund, but in reality, my kids can use that money however they want. If they decide not to go to college, they can use the money I'm saving to start a business or do something else that's reasonably responsible."
A 48-year-old has a net worth of $8.1 million and is prepared to retire early after establishing sufficient funds for a son's college, graduate school, and a $250,000 stock account. The person feels guilty about leaving the workforce during peak earning years because continuing to work could increase the son's eventual inheritance. A parent balances earning to fund children's futures with personal well-being by defining a baseline income to cover household and retirement needs and limiting extra projects. Excess earnings are directed into a flexible college fund that can be used for education, business startups, or other responsible purposes under parental control.
Read at 24/7 Wall St.
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