Why it pays to retire early

Sound financial planning is not only good for your bank account – it could actually improve your life expectancy.

If you’re reading this then you probably don’t need to be convinced of the benefits of looking after your money, but here’s another reason to add to the list.

The idea of retiring early can be most appealing. For some, it will already be a reality, while wise saving and investment may mean it’s perfectly achievable for those at the consideration stage. Research now suggests that an early retirement can actually also lengthen your life. Economists from the University of Amsterdam published a 2017 study in the Journal of Health and Economics which confirmed that male Dutch civil servants over the age of 54 who retired early were 42% less likely to die over the subsequent five years, compared to those who continued working.

Researchers put this life-extending phenomenon down to two main factors. First, when you retire you have more time to invest in your health. Whether that means you find more time to sleep, more time to exercise or simply more time to visit a doctor when an issue arises, you’ll see the benefit.

Secondly, work can be a great contributor to stress, creating hypertension which is in turn a huge risk factor for potentially fatal conditions. In the study, retirees were shown to be significantly less likely to fall victim to cardiovascular diseases or strokes.

Of course, there can be benefits to staying in work too. Participating in a work environment is a good way of keeping your mind and body active. On top of that, being part of a team helps develop and maintain a sense of purpose and belonging that is essential to cognitive health and development.

That’s not to say that all these benefits can’t be achieved outside of work; the key is to find a hobby, interest or cause to involve yourself in. As is so often the case, there’s no single solution. It’s important to find the best path for you, whether that’s staying in work, retiring early or going part-time. Whatever you choose, spend your time wisely as it could have a major impact on how long your retirement turns out to be.
01803 60 67 66    Send Online Message
Privacy Policy
PFS Logo
© Copyright 2018 Browning Financial Planning Ltd, Morar, Brooklands Lane, Torquay, TQ2 6PH. Telephone: 01803 60 67 66. Browning Financial Planning Limited, company number 8448809, is registered in England and Wales and is authorised and regulated by the Financial Conduct Authority (607455). Will writing is not regulated by the FCA.
 
Your local financial adviser for Torbay, Torquay, Paignton, Brixham and South Devon including Heathfield, Teignmouth, Plainmoor, Abbotskerswell, Dawlish, Goodrington, Berry Pomeroy, Bovey Tracey, Paignton, Maidencombe, Blagdon, Chelston, Shiphay, Newton Abbot, Marldon, Hay Tor, Shaldon, Ipplepen, Kingskerswell, Buckfastleigh, Brixham, Torquay, Stokeinteignhead, Broadsands, Totnes, St Marychurch and more!