At the age of 66 I recently retired from full-time employment, with 43 years of continuous involvement in the manufacturing sector. My father had retired in the late 60s at the age of 62, having lived through the Depression and spending the World War II years in support of the war effort in a Naval Shipyard. Although Dad only had a formal eighth grade education, he had a mechanical "gift" and was able to learn first the Automobile Mechanic's trade and then the Machinist trade. With the eventual shutdown of the shipyard during the early 60s Cold War, he was able to find employment at a prominent engineering school which had the assignment of building rocket guidance systems for the Apollo program. Despite the lack of a "formal" diploma he earned this job as a Machinist with this prestigious institution through a colleague who vouched for his abilities.
Dad was the breadwinner and Mom was a homemaker. We lived a comfortable suburban life in a community with public transportation, so the family managed nicely with just one car, which was the norm for our neighbors as well. Our parents had NO credit cards, having lived through the Depression, they viewed having debt as very bad. Not only did they have a nice little house, they had a nice summer camp as well. The only debt my parents ever had was mortgage debt which is something they made every effort to pay off as soon as possible.
I was the first person in the family to attend college, obtaining an engineering degree from a local university while living at home to save on housing costs. Having a technical degree and work experience enabled me to navigate through two employment changes while in my 50s when the plants I worked at were shut down. I saw these challenges in light of my Dad's ability to go through his change in employment when he was in his 50s when the shipyard shut down.
To Relocate or not?
My parents moved twice after retirement, first to a neighboring state with a lower tax structure, and finally following the sun to Florida. Both times his brother and sister and families followed them in their relocation. On the contrary, I have no plans to relocate as friends and family are nearby and, second, property is difficult to sell today.
Having worked for both the Federal Government and private enterprise, my parents were able to collect both Social Security and a Federal Pension. Today this would not be possible as you can collect only one or the other. My former employers had eliminated the defined benefit pensions with the advent of the 401(k) so my small pension will never be indexed up for inflation. Social Security is an important leg of our pension plan, as current market volatility takes its toll on 401(k) balances. There never seemed to be a concern that SS or Medicare would not be around for my parent's generation, but the current school of thought underscores the unsustainability of current programs. Instead of strengthening the support of these programs, it seems as if they will be dismantled for succeeding generations. It's looking like our children's retirement will not resemble our retirement either. I retired at an older age than my father and no doubt succeeding generations will retire at even an older age.
Lessons from our parent's generation
First, carry NO debt. Debt is bad, and that includes mortgage debt if you are retired. Second, live within your means; perhaps this means having only one automobile. Last and most important, having a strong faith foundation will give you the strength to overcome adversity.
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