Owning a small business is no easy feat. And there may come a point when you’re ready to close it up and retire, or even retire from any other career that sustained you throughout your life.
Of course, that doesn’t mean it’s always easy to walk away. And that’s certainly not the case for Mike Kaage, who owns a beloved newsstand in Chicago’s Edison Park neighborhood. But as CBS News reports, Kaage has finally decided he’s had enough and will be closing shop at the end of June.
“I’ve been doing this way too long,” Kaage told CBS News. “It’s time to end the era."
Don’t miss
- I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
- Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
- Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10
A neighborhood staple customers will be sad to see go
Kaage intends to close down his newsstand at the end of the month.
Kaage’s Newsstand first opened its doors on March 8, 1943 and has served Chicago patrons for 82 years where it’s located, at the corner of Northwest Highway and Oliphant Avenue (right near the Edison Park Station).
Mike Kaage has been around for 64 of those 82 long years, working from 4-9:00 a.m. in the morning every day. No illness, vacation or death in the family kept him from his work. He started working there in 1961 at just five years old for his father, Irv Kaage, earning $0.25 per hour.
At the time, newsstands like his peppered every corner. But Mike understood that it was important to keep the tradition alive even as they slowly disappeared, taking over his father’s business in the 1990s.
Kaage recalls fond memories as well as some challenges. He recalls working at the newsstand in frigid temperatures (seven degrees below zero), but also remembers joyous events, like the day after the Cubs won the 2016 World Series.
Kaage treats his 75 daily customers like family. He remembers all of their names and knows which newspaper each customer gets. But now, it’s time to say goodbye so he can dedicate more time to his family — specifically, his grandchildren.
"My wife passed away in February and previous to that, for three years we were babysitting our granddaughter two days a week," Kaage told CBS News. "Now with her gone, it’s really up to me."
Kaage’s customers, meanwhile, are shocked and saddened by the news. "I thought he would just die here one day," said customer John Evanoff.
Kaage said the newsstand should have closed decades ago, but his loyalty to his community and father drove him to keep it open. "I’ve paid my dues," Kaage told CBS News. "I know I’m going to miss it, but it’s a new chapter in my life."
Kaage told CBS News he doesn’t plan to sell or give away the newsstand, so its future is unclear, but what is certain is that holding on to a single job for this long is uncommon these days. Kaage is talking to the local chamber of commerce to discuss options.
Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it
Factors that can impact the timing of retirement
Pew Research reports that in 1987, 11% of Americans ages 65 and older were working. As of 2023, 19% of those 65 and over were still employed.
Several reasons could explain this trend. First, many Americans might not have the option to stop working by 65 because they lack sufficient savings to retire comfortably. The Federal Reserve put median retirement savings among Americans ages 65 to 74 at just $200,000 as of 2022, the last year for which data is available.
More recently, in 2024, Vanguard put the median 401(k) balance among Americans 65 and over at $88,488 (by contrast, the average amount is $272,588).
While the Fed’s data may be more applicable broadly (since Vanguard is only looking at its own retirement plan data), the end result is the same. With the new “magic number” to retire comfortably being $1.26 million, many older Americans just don’t have enough saved and need to work longer to make up the difference.
However, working longer can also be advantageous from a Social Security perspective. People born in 1960 or later reach full retirement age at 67, which is when they can claim their monthly benefits without a reduction.
Those who choose to delay Social Security past full retirement age can grow their monthly benefits by 8% per year until they turn 70. Here too, many people need to keep working in the preceding years to make this strategy work.
Then there’s also the fact that some people derive a lot of personal purpose and meaning through their work and just plain love their jobs. And we now know having that routine can be good for mental and physical health.
In a February 225 University of Michigan National Poll on Healthy Aging, those who continued to work past 65 were more likely to say that having a job had a positive effect on their wellbeing and health.
How to know when it’s time to retire
So when is it time to call it quits? Dreading going into work is definitely one sign. Another is if work starts to be tough on your body and contributes to health problems instead of staving them off.
You might also reach the point where you feel you’ve saved enough money to be able to retire without worrying about how to pay the bills, month to month. This might especially hold true if you’re able to delay Social Security for larger monthly benefits.
Finally, if your job starts to get in the way of doing the things you want to do, that’s a good reason to retire.
In Kaage’s case, he wanted to be there for his grandchildren. You may decide you want to retire to spend more time with loved ones or help out with childcare if you’re able, like Kaage.
But if you’ve worked hard all your life, there should be no guilt in acknowledging that you’re done and ready for that next chapter.
What to read next
- JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
- This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
- Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
- How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement
Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
