In “Answers to retirement questions,” we looked at the kinds of questions you should be asking in regard to Who, What, and Where of your retirement. This post explores more answers to retirement questions and the remaining time-tested questions to apply to difficult decisions: When, How, and Why.
The “When” Of Retirement
When will you retire? Will you wait until you have more financial security for retirement? Are there changes you could make in your financial retirement plans to feel more confident about When you will retire? How will retiring to a second career, part-time employment, volunteering, or entrepreneurial pursuits affect the timing of your retirement?
Will you or your spouse/partner’s retirement be affected by health issues that may influence When you retire? This is an important question because you should retire while you still have the health and energy and the desire to do some different things with your life. I remember hearing someone say, “Don’t work so long that you run out of juice.”
The “How” Of Retirement
Many people are looking for more answers to this retirement question. Financial planning for retirement is a big consideration but not the only one.
How have you planned financially to afford a comfortable retirement lifestyle? Do you have sufficient funds to lead the kind of lifestyle that you’ve always dreamed of after you leave work? If not, How could you consider working part-time or re-careering and staying in the job market to secure more financial stability? How could you readjust your retirement mindset even while you are still working full-time or part-time? Twenty-first century Americans are living 20 to 30 years beyond traditional retirement. With good health, you will have a lot more productive years ahead of you. This will require more thoughtful financing.
How do you and your spouse/partner plan to retire? Timing is everything. There are several options depending on your situation.
Simultaneous retirement: in this plan, each spouse would retire at the same time. This requires a lot of planning because you don’t want to become entrapped in the myth of blissful togetherness which some couples believe will happen. It’s important to have a balance of autonomy as well as togetherness in a relationship and this is even more important in retirement with fewer distractions like children and careers.
Consecutive retirement: in this retirement plan, spouses retire at different times. One spouse may retire a year or two before the other spouse retires. In my experience, when couples retire consecutively, one has time to adjust before the other joins them. Again, this requires a lot of planning so the spouse/partner Who is home knows What they want to do with their free time to bring purpose and meaning to their lives. Otherwise, the spouse Who is still working will worry about How their retired spouse/partner is doing home alone. He/she may feel pressure to be home earlier and more often than before, which may impact their employment. When you are single, you will have the freedom to choose the timing that’s best for you, depending on your situation.
Phased retirement: in a phased retirement, each spouse would work fewer hours per week over time. Some employers support their employees phasing out over a 1-to-3-year time period. Those who are self-employed can begin to reduce their schedule by hours each week/month or perhaps one day per week and then two days and so on. Unfortunately, there are still many, including county and government employees, who don’t have the phased retirement option.
The “Why” Of Retirement
Why are you continuing to work instead of retiring? Is it because you love your work and you want to keep going? Is it because you don’t know what you’ll do after you leave work and that scares you into staying? Is your health and/or health care coverage an issue you need to address? Why are all these issues so important to consider?
Planning is the single most important element of retirement and provides more just-right-for-you answers to retirement questions than the best search engines. Without a plan, most people will drift into idle busyness and wonder where their day and their life goals went. Or, you may end up making mistakes that could derail your retirement expectations. Why planning for retirement is so crucial becomes more apparent as you wrestle with questions like –
• Why retire? And Why not?
• Who will retire first?
• What will you do with your time and talents?
• When will you retire?
• Where will you retire to if you move or buy a second home?
• How will you financially afford to retire?
These are generic questions. I want to encourage you to create questions unique to you and your situation and then arrange them by priority. My book Ready To Retire?* also has multiple questions at the end of each chapter to consider individually or as a couple. You will be amazed at the clarity your answers reveal. This simple exercise will help you to begin to navigate your retirement transition more successfully.
As you consider the Who, What, Where, When, How, and Why regarding your retirement, do it well, then go make the best of your life for the rest of your life.
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