While retirement is a time of life that should be enjoyed, it is a major change that can bring a variety of questions, concerns and feelings that must be addressed. Retirement is often viewed as a “promised land” type of moment, filled with relaxation and excitement. Unfortunately, many individuals and families experience unneeded fear and anxiety as they make their transitions from work life to retirement life.
At Red Door, we view retirement as a three-step process.
1. Planning for it
This involves putting together a retirement road map. This plan will tell how much you need to save, what kinds of returns you need, and how soon you can reach your destination, among other information. We have discussed this at length in the past and hope you have already experienced our retirement planning process. If not and you are interested, please let us know. This is where most advisors stop their planning, but at Red Door we go to the next level in preparing you for the emotional side of retirement.
2. Understanding the psychological and emotional changes
You will experience positive emotions at retirement, such as excitement, joy, freedom, accomplishment and peace of mind. At the same time, you’ll also experience negative emotions like sadness (resulting from a loss of or change in professional identity or collegial community or other factors), anxiety, pessimism and ambivalence. Experiencing a full range of emotions is normal during any period of change, and understanding these ahead of time will mitigate stress. Being aware beforehand and mentally working through this will allow you to be better prepared.
3. Reducing stress and living a fulfilled life in retirement
Once you get past the emotional and psychological turmoil, you need to focus on creating a new you. Here are a handful of tips to help you during this transition.
- Have satisfying relationships.
- Make sure you keep your mind and body in shape – exercise both.
- Stay young at heart.
- Acts of kindness go a long way.
- Create a new vision of who you want to be and put in place good routines to support it.
- Pursue meaningful work and become active in projects you couldn’t pursue while working.
An example of creating a new stress-free routine is how to your replace your paycheck. The No. 1 concern for individuals in retirement is “Am I going to run out of money?” Everyone wants to retire comfortably and confidently without outstripping financial resources. The simplest way to achieve this is to create a cash flow analysis and make sure you get deposits into your checking account (like a paycheck) from investments on a recurring basis.
Thinking about retirement as a process rather than a single event can reduce the stress involved in this transition and help you embark successfully into the next phase of your life. Your Red Door team looks forward to working with you and helping you successfully progress through these steps.