Saving for retirement is a big challenge. In order to be able to live without a job, a person needs to accumulate a significant nest egg of assets that can be turned into cash flow. To do this requires them to keep control of their personal finances while aggressively funding their future.
Getting to this goal requires so much planning and discipline that it’s no wonder people often don’t give much thought to what they’ll do once they achieve it. They reach retirement and never really consider how significantly different their life will be when they no longer have to work—and how things will change as their age begins to catch up with them.
Unfortunately, many retirees struggle to adapt to this new phase.
According to the American Association for Geriatric Psychiatry, anxiety is a common condition among older adults, affecting 10-20 percent of that population.1 In a study published in the National Library of Medicine, 28% of retirees admitted to “feeling depressed.”2 (Note: This is different from clinical depression.)
Financial writer Christy Bieber has identified three major areas where retirees struggle which are not related to money.
Health problems
According to the National Council on Aging, the majority of older adults are dealing with more than one chronic health problem. And while some of these conditions are not preventable, many are. It pays to work closely with your health care professional to make wellness a priority as you age.
Social isolation
Research by BMC Public Health has found that roughly half of individuals over the age of 60 are likely to experience isolation. One major cause can be the loss of relationships when leaving the workforce. To combat this you must purposely work to begin new relationships through other activities and organizations.
Lack of purpose
Many retirees, who for years looked forward to quitting their job, are surprised to feel a lack of purpose when they finally do quit. Part of this malaise may be simply missing the routine. But another part is likely the loss of feeling needed. The antidote is to find a new purpose. Whether it’s a new hobby or a second career, this next chapter should be carefully thought through, researched, and planned.
Retirement offers so many new opportunities for enjoying life. But being satisfied in this new phase doesn’t come automatically. Simply treating every day like it’s the weekend soon gets old.
Make sure your retirement planning includes thinking what you’ll be doing with your day after you’ve reached your financial goal. Your trusted fiduciary financial advisor is happy to share their insights as you consider the details of your next chapter in life.
If you ever have any questions about your investments or retirement plans, please feel free to give me a call at 801-545-0696.
Regards,
Mark Lund
Stonecreek Wealth Advisors, Inc.
10421 South Jordan Gateway, Suite 600
South Jordan, UT 84095
Sources:
1. http://go.pardot.com/e/91522/lts-overcoming-worry-and-fear-/95ygss/2538525050/h/YcM-wvxdu6a26YamlUE0eUdhw19UcrTyr1uqR7uAq7w
2. http://go.pardot.com/e/91522/ericans-struggle-in-retirement/95ygsw/2538525050/h/YcM-wvxdu6a26YamlUE0eUdhw19UcrTyr1uqR7uAq7w
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