Is retirement quickly approaching? It’s a big milestone for many Americans. It’s your time to finally take control of your schedule and spend your time the way you wish.
While retirement should be a happy time, it can also be a challenging transition for some. Some retirees find that they miss having the challenge that comes with a busy career. Others may feel that they lack purpose or direction. And some simply have trouble adjusting to a wide open schedule every day.
It’s important to identify your priorities and goals in retirement. After all, your retirement could last decades. Retirement shouldn’t be the end of your journey. Rather, it’s the beginning of a new chapter.
Without a primary mission or motivation, you could fall into the spending trap that plagues many retirees. They fill their free time with activities they may not be able to afford. That leaves them in a difficult financial position in the later years of retirement.
What is your motivation in retirement? What will serve as your purpose? Below are a few common activities and goals that retirees pursue. Think about how you can pursue these goals - and others - in a way that fits your budget.
Is your family the center of your world? Perhaps you are excited to use retirement as a time to spoil your children and grandchildren. Or maybe you want to reconnect with distant siblings and other relatives.
If spending time with your family is a top priority, the good news is that it may be a cost-effective activity, especially if they live nearby. If your family is on the other side of the country, or the world, consider how you can supplement costly travel with technology. Perhaps you could invest in a camera so you can have video calls and chats in between in-person visits.
Maybe you want to do more than just visit with family. In fact, perhaps you want to help them financially. For example, you might want to contribute to your grandchildren’s education or support your grown child’s business venture. If so, you may want to consult with a financial professional so you can develop a gifting strategy that fits your budget and meets your needs.
Many retirees use their newfound free time to learn a new skill or hobby. For example, former President George W. Bush has used his retirement to become an artist.1
Do you have a lifelong interest that you never got the chance to pursue? Perhaps art, golf, writing or some other skill? Retirement is a great time to take up that new hobby. In fact, your new interest could even help keep you in strong mental and physical condition, reducing potential health care and long-term care costs in the future.
Your local college may offer low-cost adult education classes to help you get started. Or you may consider a part-time job in your favorite hobby. For instance, your local golf course may offer jobs working as a ranger or a starter on the course. Or if art is your passion, you might consider working or volunteering at a local gallery or museum. Be creative and think of ways to enjoy your hobby in a cost-efficient way.
Travel is a top priority for many retirees. Whether you want to travel the world or simply hit your favorite beach a few times a year, travel is likely to be a part of your plans if you’re like many other retirees.
While travel can be a thrilling experience, it can also be costly. It may be wise to write out your travel plans. What locations would you like to visit? How often would you like to travel? Do you want to stay in five-star hotels? Or can you travel on a budget?
Once you have answers to those questions, you can plug your travel plans into your budget and determine how to make your dreams a reality. Also, be sure to look for low-cost travel opportunities. For example, churches and other nonprofit groups sometimes combine group travel with volunteer work. Or you may be able to pool together with other retired friends to enjoy a trip together.
Ready to develop your strategy to fund your dream retirement? Let’s talk about it. Contact us at Fenton Financial Services. We can help you identify your retirement inspiration and create your funding plan. Let’s connect and start the conversation.
Licensed Insurance Professional. This information is designed to provide a general overview with regard to the subject matter covered and is not state specific. The authors, publisher and host are not providing legal, accounting or specific advice for your situation. By providing your information, you give consent to be contacted about the possible sale of an insurance or annuity product. This information has been provided by a Licensed Insurance Professional and does not necessarily represent the views of the presenting insurance professional. The statements and opinions expressed are those of the author and are subject to change at any time. All information is believed to be from reliable sources; however, presenting insurance professional makes no representation as to its completeness or accuracy. This material has been prepared for informational and educational purposes only. It is not intended to provide, and should not be relied upon for, accounting, legal, tax or investment advice.
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