Are you ready to lose these 5 things when you retire?
Moneywise published an article recently about things that go away when you retire in America.
Normally, when something you are used to goes away you need to figure out how to replace it or get it somewhere else. Sometimes we can plan really well for this. Other times, like the recent events where my family and so many others lost their home and belongings, you aren’t quite ready to replace things you thought were just always going to be there.
Retirement presents many of us with the question of what gets lost that we need to replace and the article does a great job highlighting these.
Are you ready>
The financial safety of your paycheck - this is the central concern of The Future Poor situation and the delicate and expensive job of selling off your assets in order to have income to live on.
Your risk tolerance - most older folks have no stomach for market volatility for obvious reasons. To see your nest egg drop 10, 20 or 50% overnight is a type of old age horror. You simply cannot afford to lose and you cannot afford to have no risk based on the way we have built the retirement system.
Frivolous spending - this probably seems obvious and many people experience situations where the income is tight and therefore you buckle down. This is the byproduct of a harsh income adjustment most retirees face. Most go from a more normal life to one of drastic lifestyle reduction.
Employee benefits - income, medical, savings and friends. These are the 4 things the work place offers and why many are opting for work. Most do not understand how dramatic each of those can change after crossing the threshold of retirement.
Purpose - this can be closely connected with #4. You must have something meaningful to engage in on a daily basis or overall human decline occurs. We think hobbies and travel are the remedy and generate purpose but they are only short lived. Meaning is derived from being with people and accomplishing something larger than ourselves - even in our senior years - no, ESPECIALLY in our senior years.
I encourage everyone to take a look at the article and ask yourself how you have prepared to lose the items on this list.
https://apple.news/AmmrgCGVpR0S2akJYS4cg-w
As always, if you come across a financially related article you’d like to send my way please do!
Best place to send them is to me.
More next time!
Jonathan