In my conversations with clients about retirement, I have noticed a fascinating trend that has taken me by surprise. Rather than fretting over having enough money saved to have a fulfilling retirement, they are now concerned about whether they will actually enjoy their retirement. It is a shift in perspective that I hadn’t anticipated, and it raises thought-provoking questions about the true meaning and quality of one’s golden years.
Retirement Dating 2.0: Before You Jump, Test the Waters
Retirement conversations seem to arise just as we land our initial job. From maximizing savings in a 401(k) to yearly IRA contributions, the objective is always to amass sufficient funds for a comfortable retirement and relish the long-awaited dreams. These aspirations may include exploring exotic locales or cherished family moments, relocating to a beloved vacation spot, or dedicating time to philanthropic endeavors.
As financial planners, we often refer to your dreams and aspirations as goals, attaching a monetary value to them and setting a timeframe for their accomplishment. If you’ve been feeling concerned about the unpredictable nature of the financial market in recent years, the fear of withdrawing funds when account balances are less than their peak value is understandable. To ease these worries, it might be helpful to request your financial planner to test the strength of your retirement plan against lower market return expectations or to consider the possibility of a bear market occurring when you start making withdrawals.
As retirement approaches, the client finds herself having doubts and uncertainties about this significant life transition. It’s completely normal to experience mixed emotions and question the choices made along the way. This is a crucial time for reflection, evaluation, and reassessment. With retirement on the horizon, the client may be feeling a sense of perplexity and conflicting thoughts about what lies ahead. However, it’s important to remember that these feelings are common and part of the process. It’s an opportunity to carefully consider priorities, goals, and aspirations as one moves into the next chapter of life. By openly exploring these thoughts and seeking guidance, the client can navigate this time of uncertainty and make informed decisions that align with their individual needs and desires. It’s a time to embrace the possibilities and ensure a satisfying and fulfilling retirement experience.
While we work hard to make our retirement dreams a reality, we often neglect to consider what our actual lives will be like once we retire. I recently had a conversation with a client who expressed her desire to retire by the end of this year. We’ve been working together for a long time to secure her financial independence, and she now has enough assets to fulfill all the dreams she has shared with me. As we concluded our discussion about her financial plan, I was excited to mark the beginning of the countdown to her eagerly anticipated retirement date.
After a moment of contemplation, she expressed her uncertainty, saying, “I’m not sure if I can go through with withdrawing the money and actually feel good about it. I’ve dedicated so much time and effort to saving, investing, and making plans for the future that I can’t predict how I’ll emotionally react to the idea of starting to spend money, even if it’s for things I genuinely desire.”
In her own words, she expressed that she had always had the idea of relocating to another state in order to be closer to her extended family. However, she has now come to the realization that her family will have their own commitments and that life won’t be all fun and games like it is during her visits. Moreover, if her family won’t have the opportunity to see her multiple times a week, she questions whether she truly wants to live in that state and embrace a major lifestyle change, including enduring year-round weather conditions that she doesn’t particularly enjoy. Another aspect she weighed was the inability to walk on the beach every single day, which is something she cherishes.
She expressed her concern about not having enough time to indulge in her photography and golf hobbies, fearing they may not sufficiently occupy her days in retirement. Having already traveled far and wide, the list of destinations she still yearns to explore is dwindling. In essence, her primary apprehension about retirement revolves around how she will occupy her time once she stops working, despite frequently stating her eagerness to leave the workforce.
Want to make your retirement the best it can be? Well, buckle up because I’ve got a little retirement secret for you: the three Ps. Yep, that’s right, the three Ps are the key to a truly happy retirement. So, what are these magical Ps, you ask? Allow me to explain.
First up, we have Passion. Retirement is the perfect time to indulge in your passions and hobbies. Whether it’s painting, gardening, or even skydiving, find something that truly lights a fire in your soul. This is your chance to do those things you’ve always dreamed of but never had the time for. So, go ahead and chase your passions with all your might!
Next on our list is Planning. Now, I know planning might not sound like the most exciting thing, but trust me, it’s crucial for a successful retirement. Take the time to map out your financial situation, create a budget, and make a plan for how you want to spend your time. By being proactive and organized, you’ll have the peace of mind to enjoy your retirement to the fullest.
Last but certainly not least, we have Purpose. Retirement doesn’t mean you have to sit back and do nothing. In fact, having a sense of purpose is vital for a happy and fulfilling retirement. Maybe you want to volunteer for a cause close to your heart or start a small business. Whatever it may be, having a sense of purpose will give you a reason to get out of bed every morning and make the most out of your retirement.
So, there you have it – the three Ps that will lead you to a happy retirement: Passion, Planning, and Purpose. Embrace these pillars, and you’ll be well on your way to a retirement filled with joy, fulfillment, and excitement. So, what are you waiting for? Start building your happy retirement today!
In my experience, I’ve had conversations with doctors who express their extreme stress and desire to retire as soon as they can afford it. However, when we delve into their financial plans and demonstrate that they have more than sufficient resources to retire immediately, they find it difficult to follow through. For many individuals, stepping away from their successful careers or relinquishing their esteemed positions feels like surrendering a significant part of their hard-earned identity. It’s similar to letting go of something they’ve dedicated their time and effort to for so long.
Do you ever feel uncertain or hesitant about retiring? Don’t worry, you’re not alone! Many people experience what is commonly known as “cold feet” when it comes to leaving the workforce. But fear not, because there are ways to cope with these feelings and make the transition into retirement smoother. Let’s dive into some strategies that can help you overcome any anxiety and embrace this new chapter in your life.
How do you tackle the challenge of retiring when it’s actually the toughest part of the whole retirement process? Based on my experience assisting clients, the key to a successful transition into retirement is to start preparing years in advance or incorporate elements that facilitate the decision-making process. Let’s explore a few ideas to make retirement a stepping stone on your journey, rather than the ultimate destination.
Why not take a breather at work instead of abruptly coming to a halt? Opting for a part-time schedule gives you the perfect balance of a steady flow of income and a daily sense of fulfillment, while still allowing you ample time to indulge in your passions, explore new destinations, and enjoy life’s little pleasures.
Imagine a doctor who once wanted to quit their job but now only works three days a week. They are thrilled to continue helping patients while also having time to attend their teenager’s school events and sports activities. Isn’t it amazing how they have found the perfect balance between their professional and personal life?
Are you considering relocating after retiring? If so, it’s essential to ensure that you thoroughly understand and enjoy your new location before committing to it indefinitely. To help you make an informed decision, I suggest taking a test drive of sorts. For example, if you’re torn between moving closer to your family or staying in your beloved current home, I recommend renting a house in the new state for a year. By doing so, you can experience the weather, get a feel for your extended family’s lifestyle, and determine if the new location is truly the right fit for you. This way, you can confidently sell your current home knowing that you’re making a well-informed choice.
One option she has is to generate some extra income by renting out her current home, allowing her to make the most of her investment. Alternatively, she could choose to return home for some rest and relaxation during the sweltering summer months or bitterly cold winters in the new location. The choice is hers, but either way, she has the flexibility to adapt to different situations and make the most of her living arrangements.
Are you ready to embark on new adventures? Retirement is the perfect time to discover uncharted territories and delve into exciting activities. While you may already have a few cherished pastimes you would like to continue in your retired life, don’t be afraid to seize the opportunity to explore new horizons. By immersing yourself in fresh experiences, you can infuse your daily routine with a sense of novelty and vibrancy. So, why not embrace the unknown and add a little spice to your retirement? Venture into unexplored territories and make each day captivating and full of surprises.
A lot of individuals discover that engaging in volunteer work fulfills them in the same way their jobs used to, but without all the stress. Additionally, it presents an opportunity to finally try out those activities that have always intrigued them, such as painting, ballroom dancing, pickleball, participating in triathlons, or even taking a series of cooking classes. These are the things they’ve always wanted to do but never found the time for.
Many of my clients often express the sentiment that they are actually busier now in retirement than they were during their working years. It may sound contradictory, but the activities they engage in now are the very ones they have been longing to pursue. It’s as if they have built up a repertoire of hobbies and interests over time and are finally able to indulge in them fully. The phrase “I am busier now that I am retired than I was when I was working” has become a recurring theme in my conversations with clients, portraying the newfound zeal and energy they have for the activities they had to put on hold while they were in the workforce. It’s fascinating to witness how retirement has unlocked a whole new world of possibilities for them.
Are you still stuck in the daily grind? Have you ever wondered why you’re still working and if there’s a way out? It’s time to break free from the monotony and explore why you’re still pushing through each day. Let’s dig deep and uncover the reasons behind your continued dedication. Are you seeking fulfillment, financial stability, or simply afraid to let go? Don’t let perplexity and uncertainty hold you back. It’s time to burst the bubble and embrace a life filled with passion and purpose. So, why are you still working? Let’s embark on this journey together and find the answers that will shape your future.
When you team up with your financial advisor to map out your retirement and financial plans, you set yourself up for a contented and satisfying next chapter of life. By collaborating closely and discussing your goals, aspirations, and concerns, your advisor can guide you towards a smooth transition that meets your needs and brings you joy. Taking this proactive approach not only secures your financial future but also sets the stage for a fulfilling retirement experience. So, why not bring your advisor on board and embark on this exciting journey together?
Did you know that Mercer Advisors Inc. is the big boss of Mercer Global Advisors Inc.? Don’t worry, I won’t bog you down with investment jargon. Mercer Global Advisors Inc., also known as Mercer Advisors, is the real deal when it comes to investment services. They’ve got that fancy registration with the SEC to prove it. So, when it comes to managing your investments, Mercer Advisors has got you covered, while Mercer Advisors Inc. focuses on other things.
When it comes to sharing our thoughts, opinions, and advice, it’s important to keep in mind that they are always evolving. Just like a river flowing, our perspectives can change over time. So, take what you read here as a snapshot of the author’s viewpoint at the time of publication. But remember, advice about financial planning should always be tailored to your unique circumstances. That’s why it’s a good idea to consult with a qualified professional at Mercer Advisors who can provide you with personalized guidance. They’ll be able to analyze your situation and offer advice that’s specifically tailored to your needs. After all, when it comes to your financial future, it’s important to have the support and expertise of someone who can guide you in the right direction.