What time is it in your life?
A number of recent conversations have centered on this topic. Is it time to transition to retirement, to relocate, to downsize, or to sell a business? All of these decisions–well-conceived and executed—can make a difference in the quality of your retirement. From an advisor’s perspective, it is beautiful to watch a life change unfold when inspired by wisdom, insight, and purpose.
Why is planning ahead so difficult? We tend to live within an illusion of stability. We underestimate how much we will change in the future… when we look ahead we expect to stay the same —an illusion that can lead to unrealistic expectations. It’s easier to assume the future will look like the present …envisioning the future requires more mental energy than simply recalling the past…the ways in which we misunderstand our future selves are bound to be consequential…one of the ways in which we can make better decisions is to acknowledge our limited capacity to imagine change and how our lives will be different moving forward.
Aging and its Financial Implications. Most people don’t think through advanced retirement, where they will live and what it will cost in their 70s 80s and 90s. Housing is both a major financial asset on the balance sheet and a significant expense in the household budget. The time for planning is in advance of a major health event and before advanced age takes its toll. Where to live should be proactively thought through in advance of a health crisis, even if the intent is to age in place. A catastrophic health crisis may reshape the best-laid plans and disrupt financial preparedness. Learn more from The Center for Innovative Care in Aging at the Johns Hopkins University School of Nursing.
Finding a New Identity. One of the greatest tasks, especially for men, is discovering a new identity that formerly was wrapped up in a work-related structure. More than one retired professional has told me “retirement isn’t all it’s cracked up to be.” This article explores how to replace that sense of importance that comes from a job with things that inspire creativity, create new challenges, and contribute to organizations whose goals match internal passions. The Wall Street Journal (subscription model)
And in case you missed it, click here to read last week’s blog post which discusses how you can plan to lower your tax bill.
We hope you enjoy reading these articles along with us and hope you find them informative. Please forward this to your family and friends.
J. Mark Nickell & Co.
Disclosure – The articles mentioned in This Week with J. Mark Nickell & Co. are for information and educational purposes only. They represent a sample of the numerous articles that the firm reads each week to stay current on financial and economic topics. The articles are linked to websites separate from the J. Mark Nickell & Co. website. The opinions expressed in these articles are the opinions of the author and not J. Mark Nickell & Co. This is not an offer to buy or sell any security. J. Mark Nickell & Co. is under no obligation to update any of the information in these articles. We cannot attest to the accuracy of the data in the articles.