How plausible is reverse retirement?

Can you really take your retirement in your youth and then work a bit later to make up the shortfall?

An interesting idea has sprung up recently in the press, taking time out in your early 30s rather than treading water until you’ve paid your dues at 65, or possibly later.

Those taken with the idea argue that it makes more sense to enjoy life when you’re fit and healthy, and then work later into your 70s. But how practical is this? Particularly when more and more people are finding they can’t afford to retire even after working their whole lives.

Jason Bird has set up website Escape Adulthood, an online magazine all about how he and his partner have tried to look at their work/life balance differently.

As business owners, they can manage their own work loads but they admit they may have to work longer later in life, forego luxuries and manage their money more effectively.

“Working extra to give our kids nicer homes to live in, better clothes to wear, and more presents to open on Christmas is very, very admirable,” says Bird. “But not worth it if it comes at the expense of the time we can spend with our kids. Food, clothing, and shelter are the basics we need to provide for our kids. You’ve just got to be money savvy. The rest is gravy.”

But what if you don’t own your own business? While it’s true that none of our stories are ever the same, every single day, we are all presented with choices. The “more money vs. more time” choice is one we all get on a regular basis. Bird argues that if you have kids, maybe you want to choose more time more often, even if that means less money in the bank account or looking at your finances with a fresh pair of eyes.

Find out how to manage your money more effectively to get the most out of your funds by speaking with an independent financial adviser. It might not be as unlikely as you think to take your own mini retirement.