Early retirement planning is identical to conventional retirement planning with one big exception – time.
You have less time to achieve your financial goals, and more time that your money must last after retiring.
What this means is you have a shortened, accelerated financial preparation phase, and an extended, post-retirement spending phase when you retire early.
Changing the time-frame will also change many other aspects of retirement planning – but not everything. It’s important to understand the differences.
In other words, think of how to retire early as conventional retirement planning on steroids.
All of the conventional information about retirement planning throughout this site still applies to early retirement planning. You still need to learn all the other stuff first. It is the foundation on which your financial security stands.
However, certain aspects of retirement planning are magnified by the compressed time-frame, and the purpose of this article is to focus exclusively on those factors affected by accelerating time.
So get the foundational principles of retirement planning right first so that when you step on the accelerator pedal with the ideas in this article you won’t incur excessive risk.
Remember, the unique twist to early retirement is all about time – less time to build wealth, and more time to enjoy it. With that said, let’s begin…