|
To
Your Wealth Column The
New Retirementality BY
MICHAEL P. HAUBRICH, CFP February
6, 2003 |
|
|
|
Are you a baby-boomer worried
about your retirement? All the predictions that Social Security will fail
just when you are ready to collect got you down? And what about the
predictions that you will not have enough money because you failed to save
and invest? How about a different perspective on traditional ideas about
retirement? Mitch Anthony’s book, "The New Retirementality"
might be just what you need to complete a paradigm shift on retirement
beliefs. Anthony lists six
"retire-myths" that have shaped many of our current attitudes about
retirement. Once we debunk these ideas, a new mentality sets
in which redefines our expectations on aging. Age 65 is old. When FDR settled on age 65 as
the age for full Social Security benefits, life expectancy was 63. 65 was old – less than ten percent were expected to collect.
Using that same relative age to life expectancy, today’s Social Security
retirement age would be 83. Age 65 is no longer old. Today we
have examples of people in their seventies doing activities that old people
just never did. Triathlons, sky diving (former President George Bush) and
even space travel (John Glenn) are reshaping our views of what and when old
is. Retirement means not working. More Americans over 65 are
staying connected to a vocation since they can now collect full Social
Security no matter how much they earn. Because of the tight labor supply
projected when baby boomers leave the workforce, employers will provide
flexible working arrangements to keep this asset engaged and productive.
Working part-time and entering and exiting the job market will become the norm
for older Americans. Retirement with no work is over. You Have to Be 62 to Do What You
Want to Do.
Anthony asks the philosophical question, "Is your life about making
money or is your money about making a life?" If you choose the career
path with the highest monetary payoff at the expense of vocational
satisfaction, then all you have to look forward to is retirement – when you
can finally pursue your passions. What good is the money if you put your
passions on hold? Why not find that vocation that provides you with juice for
life, even if it means accepting lower pay? Start living today by doing what
you really enjoy and retirement no longer becomes your escape. Retirement Is an Economic Event. Sadly, too many people accept
this as gospel. All focus is on finances while lifestyle is ignored or if
considered it looks like golf courses, martinis and vacations. The financial
services industry, for self-interest purposes, has successfully promoted this
image for years. Retirement is a life event, not an economic event –
requiring a holistic approach integrating an individual’s family and personal
goals. A Life of Ease is the Ultimate
Retirement Goal.
Ease and leisure are a needed break from the drive of a satisfying vocation
and not healthy as a full time job. "Ill at ease" is what many
retirees are suffering from when all they have is leisure to look forward to
for the next twenty years. Geriatric health professionals advocate activity
as we age to keep the mind, body and spirit young. I Can Do This by Myself. Just because you can drive your
finances on the information superhighway with online brokerage accounts and
self directed retirement plans, doesn’t mean you shouldn’t use a travel agent
or a trip navigator to make sure you are on the right road. A financial
planner can assist you in planning that trip. Look for an advisor who will
listen, coach, and be a guide. I recommend "The New Retirementality" for anyone who is planning not
only their retirement, but is willing to do some self-examination of their
goals and aspirations in light of societal trends towards aging. Michael Haubrich, CFP, is president of Financial Service Group,
Inc., a registered investment advisory firm in |