3 things Jim Cramer gets wrong about early retirement
Jim Cramer has made many wrong predictions. Recently he talked about the early retirement community negatively; these are my thoughts.
If you don’t know what I am talking about, you can watch the video down here.
What makes Jim Cramer Wrong When It Comes to early retirement?
1. Jim Cramer assumes every young retiree wants to go travel the world

Jim Cramer seems to think that people that retire young want to go and spend all their money traveling around the world.
This is simply not the case. Many young retired and semi-retired people just want peace in their lives.
Jess and I are great examples. We don’t do much traveling because it’s not our thing. We like that some of our friends like to travel a lot, and there is nothing wrong with that.
Traveling is a lot of work for us. Having to pack, plan, and stay at different places.
Jess traveled throughout Europe after she finished college and really loved it, but she tells me once is enough.
I have lived in different countries. Grew up in Quito, Ecuador’s capital. I moved to New York after high school and ended up in Fort Lauderdale, where I went to school and became a professional pilot.
The point is that some people like to travel, but I see more people who want to relax at home. That’s us.
We like to watch T.V. or read books when we have free time. Go for a walk or ride our bike around the neighborhood.
Also Read: Money Lessons I Learned From Training Rich People.
2. Jim Cramer states a million dollars is not enough to retire

Jim Cramer wants you to think that a million dollars won’t be enough when it’s finally time to retire. This could be true, depending on your situation. For example:
- Do you have a sedentary lifestyle?
- Do you eat trash food every week?
- Do you feel the need to have the newest luxury cars?
- Expensive vacations?
- Going out to dinner every night?
If your answer is positive to most of those questions, you will need more than a million before you retire. In fact, early retirement may not be for you based on your expensive lifestyle.
Also Read: Daily Habits Of Self-Made Millionaires You Can Copy.
In addition, the chances of paying high medical bills based on lousy health habits are also high.
On the other hand, a million dollars is more than enough for some people. For example:
- Do you exercise regularly?
- Can you cook healthy meals at home without getting bored?
- Are you okay with driving a used car in good condition?
If you answer yes to all those questions, you can be okay with a million dollars. In fact, you can retire with much less than that.
Each dollar you have saved is much more valuable when you have a frugal lifestyle.
Your lifestyle dictates how much you really need in retirement. But if you make the right choices young, you can retire early and not worry about money.
3. Jim Cramer thinks everyone will be sick when they get older

Based on statistics, I will say that Jim Cramer is assuming correctly that most Americans will have significant medical payments later in life.
Less than 23% of people over 18 years old meet the Physical Activity Guidelines for both aerobic and muscle-strengthening activity.
Plus, those numbers are only for the minimum amount of exercise needed to make a difference in your health. The people who are fit and participate in a regular training program are even less than that.
CNBC reports that a 65-year-old couple can expect to pay an average of $315,000 in healthcare and medical expenses in their retirement in 2022.
The good news is that you can change your habits early on and reap the benefits of exercise, not just in retirement but also in your twenties or thirties.
Bonus: Money Traps To Avoid In Your Twenties.
When you exercise and eat correctly, your chances of developing a chronic condition decrease tenfold.
Also, exercising regularly helps you work harder and gives you better energy. Both are required when you first start out.
When you look at the early retirement folks, we all have good eating and exercise habits, and these habits will save hundreds of thousands in the future.
Jim Cramer is only human
Television asks a lot from their personalities, and sometimes predictions they make are wrong.
Saving for retirement can be a joy when you know the proper steps to take and when you have a goal in mind. You don’t need a million dollars.
Retirement young is a great experience. The feeling of freedom from not answering to anyone but yourself is unmatched. Plus, you can always travel if that is your thing.
Who is Jim Cramer?
Jim Cramer hosts the popular show Mad Money, which airs weeknights on CNBC. In this show, he talks about different companies and whether you should “buy, buy, buy” or sell based on the company’s performance.
A couple of years ago, he was heavily criticized for giving bad advice on the stock market. But he is a TV personality more than a money expert. And T.V. is all about creating drama to draw more viewership.
What is the F.I.R.E. movement?

F.I.R.E. stand for Financial Independence Retire Early. The F.I.R.E. movement has been around for at least 20 years. By learning the fundamental lessons of this lifestyle, we could pay for our home in less than five years.
Related: How We Paid Our Mortgage In Less Than 5 Years.
The movement advocates frugality as a way of living. It also teaches different strategies, such as living with minimal debt and saving more than half your monthly salary. Because we practiced this strategy in our life, we know they work and recommend them to our readers.
The ultimate goal of the F.I.R.E. is found in the name; to Retire Early.
How early?
Well, you see people retiring in their 40s, sometimes even in their 30s. This is all great but there is also another side to consider, what nobody tells you about when you retire young.. Especially if they worked in high-paying careers and were able to save substantially.
My wife and I did not have high-paying careers, and in fact, I didn’t even have benefits at work. But by having a frugal lifestyle and putting money where it really matters, we were able to do the same.