Adjustments in First Decade of Retirement

Our last post discussed how critical the first decade of retirement is. This post is focusing on the adjustment in the first decade of retirement. We all have to think about as we make the transition from working/career to a life of retirement. For some, it is not easy. While for others who were looking forward to retirement they make the transition with ease. What will your transition be like? What adjustments will you make in the first decade of retirement?

The adjustments must occur on many different levels. There is the financial one of course. Learning to live on your pension and savings may be difficult for some who experience less money as a result of lower earnings.  With more hours in the day to fill since you are not working, some will turn to volunteer work, others will get a job and many will focus on grandchildren and family. There is the emotional side of the adjustments saga. You may miss your colleagues at work, your family may have a tough time having you around so much and underfoot.

Adjustments in First Decade of Retirement

Even after you have been retired for a few years, adjustments may still be needed. Your finances have settled down, you have fallen into a routine and you’re enjoying life.  Health issues may creep into the picture. you may decide to downsize your home and you will have expenses that were not planned for.

The stock market is up and down and the worry is that you may lose money in a down market. Remember that you only lock in your losses when you sell. For many consumers who are invested in quality stocks and mutual funds, this will be just a phase and the markets will recover. Withdrawing money in a down market from your savings can change your financial plan significantly. Timing your withdrawals in times when the markets are at their highest point can make a huge difference in how long your savings will last.

Many consumers will work with a reputable financial adviser to help them through these adjustments to ensure that their savings outlast them and provide the type of lifestyle they are looking for.

Save