Why I'm Maxing Out My Retirement Account Even Though I Don't Want to Retire

I have a number of friends who have already begun to count down to retirement. Seeing as how most of them are in their early or mid-40s, that’s kind of a shame.

I, on the other hand, feel very differently about work and retirement. Because I’ve chosen a career I really love, I don’t feel compelled to rush into retirement as quickly as possible. In fact, if I have it my way, I won’t ever really retire at all.

This doesn’t mean that I’ll continue to work 50 or 60 hours a week like I often do now. Rather, I’d hope to scale back to some degree.

A person on a couch using a laptop and holding a mug.

But all told, I don’t foresee myself being happy without having a job to do at all. So my plan is to technically not ever retire.

Sometimes, though, plans don’t work out. And that’s why I’m making a point to max out my retirement account year after year.

When retirement isn’t a choice

When we think of retirement, we tend to imagine a point when we actively decide that it’s time to wrap up our careers and begin a new and exciting stage of life. But in reality, many people don’t get a choice as to when they retire. I’ve heard countless stories of people who were aiming to retire in their mid- or late 60s, only to be forced out of their jobs a decade earlier.

That’s why I’m making every effort to save well for retirement. My hope is that I’m able to continue working indefinitely. But that hinges on a number of things, including good enough health and the desire of an employer to pay me for the work I do. Those are things nobody can bank on with 100% certainty.

In fact, not only do I have to prepare for the possibility of having to retire, but I also have to brace for the potential to retire early. I can’t help but fear that a situation like that would be detrimental to my mental health. But the way I see it, if I save well enough now, that scenario at least doesn’t have to be detrimental to my financial health.

Modest contributions can go a long way

I’ve always been what I’ll call a bit financially paranoid. I didn’t grow up with a lot of money, so I’m constantly worried about having enough savings to cover anticipated expenses as well as surprise ones.

It’s that mentality that drives me to max out my retirement account every year. But not everyone has to go to that extreme. And if you can’t, it’s really OK to do the best you can.

Let’s say you can only afford to part with $400 a month for retirement savings purposes. If you sock that sum away over a 30-year period, all the while generating an average annual 8% return, which is a bit below the stock market’s average, you’ll end up with about $554,000. Make it $450 a month, and you’re looking at more like $612,000.

The idea of retiring isn’t something that excites me. And if I have it my way, I won’t ever have to give up a job I love. But I’m saving aggressively to prepare for that possibility. And if you feel like I do, you may want to do the same just in case your plans don’t quite work out.

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