Investor Column | You could have 8,000 days of retirement living. Are you ready?
According to the MIT AgeLab American’s can expect to live about 8,000 days in retirement. That’s about 22 years!
If you are ready to leave the 9 to 5 behind, congratulations! This is where the road opens up for many. Each person’s retirement is unique. Playing golf, RV’s, traveling and playing with the grandchildren are the sort of stereotypical retirement we picture.
But with 22 years of retirement facing you, even if you could, who would want to do the same thing for all those years?
From my personal experience with clients over many years I find that above all else too much time on one’s hands without anything to do is a sure path to an early grave. How to fill that time is of the utmost importance in my opinion.
According to researcher Robert Atchley, there are six steps of retirement. The first two involve planning and saving, then heading out the door of your work for the last time. Then comes the honeymoon phase. Following comes the disenchantment phase followed by the readjustment and moving on phase.
The disenchantment phase is important. The emotional “high” of the newly retired wears off. Is this it? What else is there to do? How will I fill all this time each day? Filling this void is extremely important as I have mentioned. From my experience those who do not find a way to fill the time head down the wrong path to an unsuccessful and often shortened retirement.
One needs to get down to planning a new life. Retirement is not a holiday. In the process of planning one may feel removed from the many things and people that once occupied their life. In addition to that, and I have seen this with clients and friends as well, some retirees find it difficult to start spending the money they have saved over so many years. I have said to both that in the end none of us are getting out of here alive. A little harsh, but to the point. A little motivation that seems to click.
Fortunately, for many this phase passes. Unfortunately, for some it never passes. We all know the bitter retiree. For whatever reason they wallow in this phase for the rest of their lives.
In the readjusting phase you create a new identity, separate from the professional you once were. A commercial pilot client whom recently took early retirement told me the biggest change for a colleague that had already retired was that no one will call you “captain” anymore. This change may be as simple as a shift in mindset.
The final step is the “moving on” step. It is settling into a new daily routine on your terms.
One psychologist suggests focusing on ten key areas to help find the life you want to live in retirement.
Get a job. Maybe, branching out from your old career and pursue a long-held passion is for you. I know of a golf course manager who is contemplating retirement but wants to keep busy. Loves the challenge of plants and such but doesn’t want the physical aspect of the job. Becoming a gardener, helping with plants, garden design and such is something he is considering, at least on a part time basis when he does retire.
Get social. An active social life for many reasons leads to a longer life. We are social creatures. It’s so important for us to stay connected. Caveat here. Socializing at the local pub is certainly a good way for many to socialize. But, be careful of the suds. Too much of a good thing is never good.
Exercise. If nothing else walk, walk, walk. If you want to live a long retirement exercise.
Stay young at heart. Learn. Take up an old hobby or start a new one. Learn a new language, or a musical instrument.
Find a furry friend.
Gather. Places of worship can connect you to others with similar values.
Explore.
Be kind. Acts of kindness makes everyone feel good.
Entering retirement is a big deal. A very big deal. Planning for it is important. From experience, I have seen very happy retirees and not so very happy ones. All of the happy ones followed many of the steps above. The unhappy ones did not.
Manage that time well and retirement can be some of the best days of our lives.
Remember, none of us are getting out of here alive. Live accordingly!
Much of this article was sourced from Raymond James’ Spring 2020 Worthwhile magazine. If you would like to receive the digital version of this quarterly magazine please contact me via email. Michael T. Doll, A.A.M.S. is an investment planner with Harbor Financial Services, can be reached at 941.896.2473 or at mtdoll@harborfs.com. This is the view and / or opinion of Michael T. Doll and not necessarily the views and/or opinion of Harbor Financial Services, LLC an SEC Registered Investment Advisor, whose main office is located in the state of Alabama. Medicare plans offered through Advocate Health.