Retirement is sometimes defined as what one leaves behind – a career, demanding clients, job stress, the daily commute, and the grind. But for retirement to be fully satisfying, according to many experts, one needs to retire to something, not just from something. Defining that “to” and giving it a tryout is what we mean by “test-driving” your retirement. Here are 3 potential options for doing so.
Donate your time and expertise. An attorney acquaintance of ours spent most of their career as in-house counsel for a major oil company. As they approached their retirement, they arranged to be allowed to do pro bono legal work for immigrants. They found the experience so rewarding that after they began drawing their pension, they founded a law firm specializing in such pro bono work.
The “soft launch” of a retirement consultancy. Another acquaintance thought their years of experience in the banking business might be valuable in creating a marketing consultancy for financial services firms. Before they retired, this person tried out some of his ideas with the advertising agency that their bank used. Both sides found the experience valuable, creating a basis for the individual’s new marketing firm. They had a clear path to follow once their regular full-time employment ended.
Try a month’s vacation. It would be a shame to retire to a quiet, secluded lifestyle only to find it boring after a few months. Many retirees report missing the camaraderie of their working lives after they retire. Before deciding upon retirement relocation, it can be helpful to spend an extended period in the possible new location to see what day-to-day life would be like there.
As you conduct these tryouts, you should monitor your finances, noting any adjustments that may be required. Your spending needs may change or vary from your expectations, which may influence your choice of a retirement start date.
Testing the water can head off unpleasant surprises after one enters retirement. By then, many decisions have become irreversible. If you’d like to learn more about how to adequately plan for your retirement, please do not hesitate to contact us or visit our Retirement Planning page: https://www.lptrust.com/our-services/retirement-planning/.
If you are a Legacy client and have questions, please do not hesitate to contact your Legacy advisor. If you are not a Legacy client and are interested in learning more about our approach to personalized wealth management, please contact us at 920.967.5020 or firstname.lastname@example.org.
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Any developments occurring after July 1, 2022, are not reflected in this article.
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It is not intended as legal, accounting, or financial planning advice.