Retirement? What do you think of when you hear the word? The notion of retirement is changing rapidly yet many people have not adapted to the new reality. What you need to know as your first career winds down.
LIVING LONGER. Men who will turn 65 in 2030 can expect to live six years longer than those who turned 65 in 1970. Live expectancy for women will increase by 4 years over the same time span. The longer lifespan means that we will have to save more or work longer in order to enjoy our retirement years.
BETTER HEALTH? The proportion of adults ages 51 to 54 reporting fair or poor health increased from 17 in 1992 to 22 percent in 2010. Chronic, non-communicable disease, such as diabetes, autoimmune deficiencies, cancer are increasing. The cost of health care, in terms of premiums and deductibles is increasing
WORKING LONGER. More men and women, over the age 62, are working or looking for work. What is different is that we are looking to escape our career world and enter into something different.
MORE DEBT? Baby boomers are increasingly entering their retirement years with debt. The share of adults age 65 and older with debt increased from 30 percent in 1998 to 44 percent in 2012.
SOCIAL SECURITY CHANGES. Beginning this year, the Social Security Administration begins to increase the Retirement Age. For those born in 1955 there are two important implications. First, is that you will have a wait a little longer before you can collect full benefits. Second, there will be a larger reduction in benefit payment by filing early.
dialing down your career?
There is a dilemma that many of us face as we transition from one phase of life into another. What do we do next? How can we afford it? Is there a viable solution? “Flexible careers” are on the rise. By 2020, more than 50% will be working less than full time in one job. We will either supplement with a second or third job, a business, or earnings from other sources. “Flexible careers” are attractive to millennials and seniors alike. The key to a flexible career, as a second career, is the same as our first career. Find something the provides meaning, purpose and a reason to get up. Don’t simply settle for a job in order to pay the bills. Do something that is meaningful to you, that makes an impact on others. Find a niche, network with others and learn how to market yourself.
Are you beginning to think about how you’re going to spend your time in retirement? Would you like to work with a trusted partner to brainstorm ideas, come up with a plan and move forward with greater clarity about the future? If you’ve been thinking about ways to repurpose your skills, experiences and interests into a flexible semi-retirement career, or meaningful volunteer work, we should talk. I have years of experience in helping others make these decisions and move forward in life. Life live as it was meant to be lived.