Startup Guides > How To Plan For An Early Retirement Now

As startup entrepreneurs and business managers, many of us dream of leaving the workplace while in our 40's or 50's instead of sticking it out until age 65. Early retirement is a tempting goal, but it can be tough to achieve.

There are four major obstacles to early retirement:

1) You have less time to earn money. If you start working at age 20 and retire at 65, you have 45 years to produce income. If you retire at 45 instead, you have only 25 years to achieve the same results.

2) Your investments have less time to compound. Just as early retirement gives you less time to earn money, it also gives that money less time to grow. That means a smaller nest egg when you call it quits.

3) You'll be drawing on your savings longer. The average American lives to be nearly 80. If you retire at 65, your savings need to last 10 to 20 years; if you retire at 45, they need to last more than twice as long...