I like your interpretation, but that's not how I see it. I've always seen this song as more personal for Jerry. I heard that his uncle committed suicide and that influenced this song.
"His hands are clenched - his knuckles white -
he got a gun, and gave up the fight."
This is about someone about to kill himself. His hands are clenching a gun, and when you clench your hands tightly that naturally makes your knuckles white - the phrase "white knuckle ride" refers to a fast ride where you'll be holding on to something for dear life.
"When I found out, I couldn't even cry.
Well I am now, and I'm tryin' to figure out why."
The speaker of the song heard about the person who'd killed himself and was so shocked that he couldn't show his emotions right away. Later, it hit him really hard, and he wasn't sure why, but he found it was that he could actually relate to the situation...
"I'll save it for you; you save me from me...
and the hole in my head - I can see."
I see this as a statement to a significant other: he'll save his own life for her which means that she'll effectively save him from himself. However, it's only a temporary salvation, as he can still see the day come when he'll do it.
"Tell her I love her, tell the kids that I loved them."
Yeah, he's going to eventually do it, so this is his plea to whoever is listening to comfort the family he leaves behind.
"Oh, it's a bad dream."
He's trying to tell himself that it's just a bad dream; the fact that he's going to kill himself can't be real, can it? (This becomes more obvious when he finally says "I wish it was a bad dream.")
Now, "I've got only time" can be confusing. I don't see it as saying that he's got "all the time in the world," but instead that it's only a matter of time until he does it. This fits with what I said earlier.
"He lies awake with saddened eyes;
sleeping babies keeping him alive."
He saved it for her, and they had children, and those children are keeping him alive, but eventually they won't need him to be responsible for them and then he's going to "get on with dying."
That's my take on it.
I like your interpretation, but that's not how I see it. I've always seen this song as more personal for Jerry. I heard that his uncle committed suicide and that influenced this song. "His hands are clenched - his knuckles white - he got a gun, and gave up the fight." This is about someone about to kill himself. His hands are clenching a gun, and when you clench your hands tightly that naturally makes your knuckles white - the phrase "white knuckle ride" refers to a fast ride where you'll be holding on to something for dear life. "When I found out, I couldn't even cry. Well I am now, and I'm tryin' to figure out why." The speaker of the song heard about the person who'd killed himself and was so shocked that he couldn't show his emotions right away. Later, it hit him really hard, and he wasn't sure why, but he found it was that he could actually relate to the situation... "I'll save it for you; you save me from me... and the hole in my head - I can see." I see this as a statement to a significant other: he'll save his own life for her which means that she'll effectively save him from himself. However, it's only a temporary salvation, as he can still see the day come when he'll do it. "Tell her I love her, tell the kids that I loved them." Yeah, he's going to eventually do it, so this is his plea to whoever is listening to comfort the family he leaves behind. "Oh, it's a bad dream." He's trying to tell himself that it's just a bad dream; the fact that he's going to kill himself can't be real, can it? (This becomes more obvious when he finally says "I wish it was a bad dream.") Now, "I've got only time" can be confusing. I don't see it as saying that he's got "all the time in the world," but instead that it's only a matter of time until he does it. This fits with what I said earlier. "He lies awake with saddened eyes; sleeping babies keeping him alive." He saved it for her, and they had children, and those children are keeping him alive, but eventually they won't need him to be responsible for them and then he's going to "get on with dying." That's my take on it.