Retirement is Not a Light Switch
Making the decision to retire can be complicated and emotionally charged. For most of us, the first thought we have about retirement is, “when will I be financially ready?” For some of us, that is about as far as we have gotten in the thought process. Information from the Social Security Administration states that a person who is 65 today is expected to live until approximately age 85. Most leave the workforce between the ages of 55 and 65. Many end up retiring sooner than planned due to changes with their employer, or for personal or health reasons. If we reflect on those numbers, we see that one’s time in retirement can be 20 years, or longer. That phase of life could be longer than the time spent with your last employer! While having the financial side of things covered is important, you will need to think beyond the dollars and cents to have a successful retirement.
Perhaps you have already been giving retirement some additional thought. We find that some view retirement negatively. It can be seen as facing a steady stream of empty days. Others see it as a way to escape a job that is no longer a good fit. Some have watched peers fail at retirement and are worried that they will fail too.
In the career transition business, we look at retirement in a different way. Instead of turning off the lights, closing the door and walking away, why not think about retirement as something you are moving toward?
Something that you plan for just as you might plan for an extended vacation or complicated project. While hobbies, travel and family time are probably a part of that plan, as you get closer to retirement you want to get down to the specifics. Thoughtful questioning, discussion with family members and a personal meaningful plan that addresses all aspects of your life is called for. Don’t presume that you and your partner/spouses/family are in agreement. After all, what your plan includes can look very different than theirs. Perhaps you and your partner/spouse have decided that you both want to travel. That’s great, but do you agree on the how, when, and where?
Another aspect of your move toward retirement could include your work. That might sound counterintuitive, but according to a study done by the Center for a Secure Retirement, 72% of those planning their retirement have included work as part of that plan. As many as 20% of those who are eligible to retire say they will never stop working, according to an AARP survey. While I am not implying that everyone should work in retirement, it may help you begin the planning process by considering the benefits of working that go beyond pay and health insurance.
For starters, many who continue to work find that having a job gives them a sense of purpose or usefulness. There are also a fair number of people whose identity is tied up in their job title. If that is the case for you, you may use work in retirement as a way of holding onto that identity and/or status that came with your job. Socialization also plays a big part in our working life. Retirement can be very isolating. Whether it’s interacting with co-workers or customers, many retirees miss the social interaction that can be part of working. Working even a few hours a week can provide that social outlet. Structure is also provided when you have a job. If you no longer have that structure you may have trouble creating it on your own. Having a job for even a few hours a week can provide structure or a framework for your week. It is also possible that in retirement, you underestimated your expenses, or how long your retirement phase would last. Maybe you just want a few extra dollars for travel or to spoil your grandchildren. Regardless of the reasons, many in retirement find that they need or want some sort of continued income stream.
Remember that work in retirement does not have to look anything like what you are doing today or have done in the past.
You could change employers, careers, how your work is structured, start your own business – there are numerous options! There are many books written for those who want to work in retirement. The Encore Career Handbook by Marci Alboher, Second Act Careers by Nancy Collamer, and Great Jobs for Everyone 50+ by Kerri E Hannon are just a few.
So, if you’ve been thinking that you don’t want to retire because you love what you do, want to continue contributing in your field, or want to give your week structure it is possible to do all of that and more! Retiring does not mean that you must give up any of those things! Retirement does not have to be made up of one activity. Work, travel, hobbies, and family time can all be part of your personal retirement plan.
Before the light switch is turned off and that door to your career has closed, take the time to consider what you are moving toward and how you are going to fill that time. You’ll find it is time well spent.