The choice is yours, either have your retirement affairs in order or potentially leave the financial burden of your retirement to your children. Drift into retirement at your peril. Itâ€™s going to be a long haul exercise… so it will be better to be prepared.
On 1 January 2011 the first baby boomer will turn 65 and this generation will start itâ€™s next significant phase of life. Described as a â€œa pig in the snakeâ€ this demographic extreme will have a major impact on the world.
For a long time retirement was blissfully perceived as being a delightful transition from responsibility and the cost of children to the tranquil financial and physical freedom of retirement… to the wonderful world of life after kids at home (LAKAH)!
For many that dream is becoming a nightmare. The world has changed. Retirement is not what it was for your parents. And unfortunately hope is not a winning strategy.
So take some time out of your hectic (or procrastinating) life and start your retirement planning by considering these 6 questions:
1. What exactly does retirement mean to you? Will you continue working by choice, a â€œnevertiree,â€ or will you be an unfortunate â€œfortiree,â€ forced into retirement at the arbitrary, compulsory age with inadequate financial means. If you plan, or have to, work, what will you do? The same job or head off in a new direction?
2. What lifestyle do you plan to live and how do you plan to rebalance the various aspects of your life? Working, family, recreation and â€œgiving backâ€ by working for a charity or in a voluntary capacity.
3. Do you think you have, or will have, enough money to retire? Enough to meet all your objectives in terms of lifestyle, legacies, and contingencies for the rest of your life? Itâ€™s said that money canâ€™t buy happiness, yet not having enough money can certainly contribute to unhappiness.
4. Are you considering relocating? Will this be by choice or necessity? What are your considerations? Same town, same state, same country or a move overseas?
5. Do you have, or foresee, any potential health problems? If you donâ€™t have adequate money there will be growing stress, your health may suffer, costing you more money and youâ€™ll be in a downward health spiral.
6. If you are fortunate enough to have adequate financial resources for your retirement, have you thought about your retirement purpose? It seems pointless having lived a life of successful achievement to then drift into a meaningless existence… just waiting to die!
Hopefully through retirement planning youâ€™ll be in a position to have a â€œgoodâ€ retirement. Knowing what you want to do with your life and having sufficient financial resources. The alternate is a â€œbadâ€ retirement done for the wrong reasons like just being sick and tired of work, all the friends are retiring, youâ€™ve reached the arbitrary age, or merely the hope that you may be okay financially.
Retirement planning should be a meaningful ongoing process, one in which all the elements of retirement are considered and discussed. Then regularly updated and tweaked to account for the unexpected events that will certainly be faced.
Patrick Millerd is a baby boomer â€œnevertireeâ€ and aspiring digital nomad. Heâ€™ll help you discover how retirement planning can put you on the path to a create the retirement lifestyle you desire at www.Successful-Retirement.com.