By Quentin Fottrell
'I don't want to end up in a nursing home on Medicare like my grandma'
&#34;I can deal with change, but not the underlying 'I'm better than you' attitude that comes with it.&#34; (Photo subject is a model.)
Dear Quentin,
I'm 61, and the stress at my job is getting worse every day as changes are happening rapidly. I can deal with change, but not the underlying &#34;I'm better than you&#34; attitude that comes with it.
I have a 401(k) that has $956,000 and stocks worth around $190,000. I make $177,000 a year, but plan on scaling back after I retire. I can get by on $65,000 a year (including some travel).
That does include money for healthcare, which should be my biggest issue. The debate in my head about moving is huge, as I love where I live, but most of my family lives across the country. My mortgage will be paid off in 4 years (the month I turn 65).
I could downsize here, but I doubt I'd save any money on a smaller house because they are so expensive. Moving to where my family lives would allow me to have no mortgage and enjoy their company. I have $450,000 in equity in my house right now.
I am not sure I have enough saved because my mom had dementia and both parents had some ailments as they aged. I still owe on my car (I could pay it off, but the interest rate is low).
I don't need a &#34;high-maintenance&#34; lifestyle, just one where I can volunteer if I choose, enjoy living in my house and travel a little bit when it is warm out. I read these articles about folks needing millions saved and I don't think I'm that much of a spender.
I don't want to end up in a nursing home on Medicare like my grandma. What do you think - should I go for it? Happy Holidays, Merry Christmas or Happy Chanukah - or Festivus.
Hopeful Retiree
You can email The Moneyist with any financial and ethical questions at qfottrell@marketwatch.com, and follow Quentin Fottrell on X, the platform formerly known as Twitter.
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Even if you gave up work immediately, you would have other sources of stress, perhaps more acute, than you have now.
Dear Hopeful,
Your letter takes into account your fiscal, physical and mental health. I believe you should proceed on that basis.
Our response to events at work or at home can be just as important as those events themselves, so I urge you to seek support for all three of your pillars of retirement. That means talking to  a financial adviser about your security, a physician about your health and a therapist about managing stress - personalities and priorities - at work. Because even if you gave up work immediately, you would have other sources of stress, perhaps more acute, than you have now.
Don't leave money on the table (or too much money on the table). You currently have total investments of $1.15 million (including stocks and 401(k), which I assume is traditional). With your $177,000 salary - if your 401(k) employer contributes 6% on your 401(k) ($10,620 a year) and/or matches 50% on your first 6% ($5,310 a year) - and a 5% annual return over the next 4 years, you could have another $316,000 if you waited until you're 65 to make this move, assuming market conditions remain stable.
Your mortgage will be paid off in four years. Can you work with a four-year plan? Would you be prepared to spend that time looking at the kind of neighborhood/home that would see you through your retirement in this new city/town where your extended family lives? By the time you reach 65, you will have Medicare and won't need to worry about workplace health insurance (or lack thereof). You will have saved more money, too. You're in great shape, with over $1 million saved for retirement.
After weighing all these issues - after paying your property taxes, house insurance, Medicare/healthcare premiums, groceries, utilities, car payments, annual vacation, etc. - you will have a clearer idea of whether you will be able to survive on $65,000 a year before your Social Security kicks in. Without Social Security, using the 4% withdrawal rule from your 401(k), you would have just $38,240 per year (or $3,187 per month). Taking it now would greatly reduce your future benefits.
You could have another $316,000 if you waited until you're 65 to make this move.
And now a caveat: The &#34;4% rule&#34; is a guideline, but it's based on average market returns, inflation, stable spending and no major unexpected costs. If markets underperform or if your costs spike due to a healthcare emergency, burst pipes or broken car, that 4% can start to feel even tighter. Even accounting for your $1.15 million total investments, a 4% withdrawal means only $46,000 a year before taxes and investment fees. You don't have much cushion. That's another form of stress.
It helps to delay Social Security, and working a few more years would help you boost your primary benefits (likely $3,000-$3,800 a month at your income). Your Social Security is based on your 35 highest-earning years. For 2025, the maximum a person can earn in the year is $176,100. Social Security taxes will not be withheld above this limit. The maximum possible monthly Social Security benefit for 2025 is $5,108 for someone who waits until 70 to claim. Someone with that same benefit who claims at 62 in 2025 would receive $2,831 a month.
If you turn 67 in 2031, you were born in 1964. For people born that year, the Social Security full retirement age is 67. That's when you get 100% of your primary benefits. The earliest you could have claimed retirement benefits was age 62, but that would have resulted in a permanently reduced benefit (by up to 30%). If you wait until after your full retirement age, you earn delayed retirement credits, which increase your benefit each month until age 70. These credits raise your payment by roughly 8% per year.
If you feel ready at any time over the next four years - and you are sure you're doing it all for the right reasons, and not feeling pushed out of a well-paid job - then by all means go for it. But this is a big decision - giving up work, moving out of your city or state and turning your entire life around - so any decision that is, for the most part, irreversible should be taken with planning and forethought. Nor do I believe you should allow the belief that a physical move in itself is the answer to your prayers.
You're on the last few miles of your worklife drive. I want you to make sure you reach your destination with enough fuel in the tank.
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The Moneyist regrets he cannot reply to questions individually.
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-Quentin Fottrell
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12-15-25 0522ET

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<p>A 61-year-old earning $177K with $1.15M in investments is considering retirement due to job stress. They plan to live on $65K annually, factoring in healthcare costs, and are debating downsizing or moving closer to family. Advice includes consulting financial, health, and stress management professionals, and considering a four-year plan until mortgage payoff and Medicare eligibility.</p>

'The stress at my job is getting worse every day': I'm 61, earn $177K, and have a 401(k) with $965K. Do I retire and downsize?