In a region like the Outaouais, where many commute between Quebec, Ontario, and the federal public service, decisions are sometimes even more sensitive because Retirement income comes from several sources and do not always synchronize perfectly.

Here are 5 common mistakes, and more importantly, how to avoid them without getting lost in the technical details.

1

Deciding too quickly when to start government pensions

Many people start with a simple idea: "I'm going to collect my pensions as soon as I can." The problem is that The moment you start the QPP/CPP and the OAS (OAS) changes the amount you will receive… for life.

At the federal level, starting the Canada Pension Plan (CPP) before age 65 reduces the amount, while waiting until after age 65 increases it, up to age 70. Old Age Security (OAS) benefits can be delayed until after age 65 to increase the payment. In Quebec, age also has a major impact on the pension, and it is possible to defer it until the age at which it reaches its maximum.

How to avoid it

Before choosing a "default" date, ask yourself a simple question: How will I live between my retirement and the start of my pension payments? The right choice often depends on your financial bridge — savings, investments, part-time work.

2

Underestimating taxes in the early years

In early retirement, the classic pitfall is to withdraw funds "as needed" without a strategy. The result: Some years become very taxed. (large withdrawals, severance payments, pension fund payments), then other years are leaner.

How to avoid it

Plan withdrawals in blocks (for example, every 3 to 5 years), and consider the order of sources (non-registered investments, TFSA, RRSP/RRIF, annuities). And if you are in a relationship, don't forget that pension income splitting can reduce household taxes — but the rules vary between Quebec and the federal government.

3

To think that "spending will automatically decrease"

Yes, some expenses are decreasing (transportation, lunches, work clothes). But others are rising quickly: leisure activities, renovations, pending projects, childcare, health, insurance.

How to avoid it

Create a realistic retirement budget in two phases:

Phase 1

Beginning of retirement — Often more expensive, because we "profit".

Phase 2

Later — Sometimes more stable, sometimes more expensive (health, support).

4

Neglecting the protections you lose when you leave work

When you retire before the age of 65, you often lose some of your protections: drug insurance, disability insurance, dental care insurance, life insurance, etc. For employees of the federal government or large organizations, this is a common blind spot: they calculate the pension, but they forget the benefits.

How to avoid it

Before giving your departure date, Make a list of what was "invisible". on your budget because the employer paid part of it. Then, assess what you are keeping, what you are replacing, and what you are willing to forgo covering.

5

Taking more risk than planned with investments

The most costly risk in early retirement isn't just "the stock market falling." It's... having to sell at the wrong time to finance daily life, especially in the early years.

How to avoid it

Having a planned cash reserve (often 12 to 24 months of expenses), and a simple strategy: What to sell when markets are doing well, what to use when they are doing badly. It prevents you from improvising under pressure.

Early retirement is often possible… but it works much better when it is decided like a management, not like a date.