The Psychology Of Facing Retirement

Recognizing that this topic can be volatile and hasresults in a change of lifestyle, i.e. where you will live,
been addressed by many qualified professionals in theyour activities, etc. Or you can consider a second
counseling field, I decided to present my personalcareer or small business, home business, etc. to
experience regardless. I am not attempting to giveincrease your post retirement income,
advice as each person has unique circumstances3) At home relationship concerns. Some spouses or
when facing retirement. A persons' personality &live in home relatives may have an emotional reaction
family relationships are a major consideration, andto you being around the home 24/7. Maybe your
obviously are unique to each person.spouse will still be working. Either way it will be a
First there is the preretirement planning. If you havemajor change in relationships that many people
worked for a large corporation there is usually someunderestimate from an emotional standpoint. All
assistance available to deal with some of the financialfamily members involved should have some input on
considerations. I would recommend taking advantageyour decision to retire, if it is optional on your part.
of any assistance your employer may offer. If youSometimes retirement is forced upon people &
are self employed or work in a small business orthey have no choice,
work in an hourly wage type job then you most4) And lastly, you need to address how you plan to
probably will either have to do the pre-planningspend your time. Often people say they're going to
yourself or hire someone in the accounting, legal orplay golf every day, or go fishing every few days, or
financial planning field to assist you.I'm going to read a book a week, etc. They don't
Regardless of how you go about it you will need torealize that sooner or later that type activity if done
consider these factors as a minimum:in excess will become tiresome. You may need to
1) Your present annual income from all sources andconsider a second career or a home based business
your post retirement annual income from all sourceswhether you need the extra income or not.
(and the difference between the two annualIn relation to number four above there are two
incomes),major points that need to be made. First, you need
2) Your estimate of the minimum expenses that youto stay physically active unless health considerations
can comfortably live on. This budget should includeprevent it. Secondly, you need to keep your mind
every expense that you have, i.e. debtactive for your general health & an emotional
service(interest & principle) on loans &/orstability standpoint. The last thing you need is to
mortgages, taxes, utilities, insurance, transportation,retire & then through inactivity develop some
food, clothing & rent(if applicable). These arehealth issue or become depressed.
referred to as your fixed expenses & thereWhatever you decide to do when that time comes,
may be other expenses in this category for a givento retire or not to retire, please face the decision as
individual. Then you need to address the controllablewell as retirement itself with an open mind
expenses such as entertainment, vacations, homeconsidering all the issues and with a good attitude.
car repairs, health care, etc. If your post retirementAfter all, those retirement years are supposed to be
budget exceeds your post retirement income thenthe happy, carefree days of your life. You worked
you have a major problem. You can reduce thelong & hard for this time in your life so enjoy,
deficit by reducing your expenses which usuallyenjoy, whatever your situation!