Remember my discussion from the other day? The one I had with my buddy Bill about his early retirement?

I happened to run into him yesterday while I was out and about. I asked him what he was thinking about his early retirement offer. His reply:

It's just not in the cards for me. I figure I'll have to work at least another ten years before I can think about retiring. I'm going to pass on the offer.

I'm sure Bill's done his homework. If he says he can't afford to take the early retirement package his company is offering then I believe him.

I was sad for Bill though. He's in his mid-50's. His kids are grown and out of the house. I'm fairly certain his house is paid for because he's a conservative guy. Bill and his wife live a simple life. They don't drive fancy cars. Their house is adequate, maybe even a bit large for just the two of them now that the kids are gone. It's certainly no McMansion. It's not new by any stretch; and it's nothing special by today's standards.

What I'm thinking here - and I could be completely wrong about this - is that Bill is financially well prepared for an early retirement. I think he just doesn't know it yet. I think he can't convince himself that his nest egg will outlive him and his wife.

If you were offered an early retirement package today, would you take it? Would you be able to cut the strings and pick up life elsewhere - either in a continuation of your current career or in some form of "retirement"? Bill made me realize it's more than having enough money. It's about retaining a willingness to take on risk - to take a risk.

Another good friend of mine always liked to quip: "Life don't give you no guarantees." Bad grammar, I know; but they're words to live by.

Relying on yourself and your own wits is risky. Putting your money in stocks is too. As is burying it cans in the back yard.

Sometimes doing nothing and hoping things stay the same is risky too. I think Bill risks depriving himself and his family of the rewards from a life of hard work, earning and saving.