Thinking About Retirement?
People frequently worry about and agonize over what will come next in their careers or personal lives, but a lot of this energy is lost when it comes to planning for retirement. Retirement is oftentimes just regarded as the end of one’s career and a time for leisure activities to begin, but in reality, retirement is a period that should be associated with the opportunity for continued service, intellectual stimulation, and personal growth. Although a life of leisure sounds very appealing when you are overwhelmed with work or parenthood responsibilities, there is only so much you can do to fill your time once retired. A Merrill Lynch study found that 66 percent of retirees who do not work say they feel their physical and mental abilities decline more rapidly. In fact, many retirees who did not plan to work in retirement desire to return to work, but this move back to the workplace can be very difficult to accomplish. In addition to leisure, it is crucial that you carefully plan for a full life in retirement, which may include part-time work, volunteer work and other philanthropy, mentorship opportunities, and the ability to perform board work.
At first glance, it is easy to think that having a part-time job directly conflicts with the idea of retirement. Even the Oxford Languages dictionary defines retirement as “the action or fact of leaving one's job and ceasing to work.” However, in practice, retirement should be recognized as a period defined by performing activities that you love at a more relaxing pace, which for many people may include part-time work. For instance, the same Merrill Lynch study mentioned above found that 83 percent of working retirees found their work to be some kind of anti-aging remedy. Additionally, most retirees (80 percent) who go back to work do so because they love what they are doing, not because they necessarily need the money. Taking on a part-time job is a great way for someone to continue working in a field they loved or experiment in a new field they always wanted to pursue. Lastly, if you choose to take on a part-time job during retirement, know that you are not alone. A United Income report from February 2019, found that 20 percent of over 65-year-olds choose to continue working, which is nearly double what it was in 1985. As you plan for retirement, definitely consider taking on a part-time job.
In addition to part-time work, volunteering or joining a non-profit or corporate board can be a great way to fill time with rewarding work. As we grow older, we typically seek more ways to give back to and connect with our communities. At the age of retirement, a person is most likely an expert in their field and is well-qualified to mentor and educate prospective and/or inexperienced members. Additionally, one can put his or her expertise to use by joining a non-profit or corporate board related to his or her previous work; however, some may opt to break away from their old field and choose instead to volunteer their time in support of a passion project by joining an established or forming a new charity organization. Kelly Corley, the former General Counsel at Discover Financial, was able to combine her professional expertise with her passion for service to give back to communities in need. Corley says,
“When I retired from my corporate General Counsel job in 2019, I knew I wanted to increase my time and commitment to helping organizations focused on ‘lifting up’ youth from underserved and low-income communities. I took on a leadership role on the boards of three organizations and have been able to apply the professional expertise I developed over 36 years and leverage my network to support work that is literally changing lives. The pandemic has presented challenges across the board, but non-profits and the people they serve have been particularly hard hit. This time to focus my efforts on helping others has been a blessing and a gift!”
Volunteering is also a great way to connect with family and friends. Consider volunteering at a grandchild’s school or another family member’s workplace. Retirement is a great time to combine your professional skills with your passions to give back to your community.
As you think about your impending retirement, make sure you create a realistic plan for it. While having nothing to do can seem ideal, for most people, the lack of fulfilling work will get boring and stressful very quickly. Unfortunately, many employers do not emphasize the importance of retirement planning. The Transamerica Center For Retirement Studies even reported that two out of three retirees say their most recent employers did not help them transition into retirement. Since the majority of us will have to figure out our retirement plans on our own, Group 360 has three tips for you to keep in mind as you plan your retirement:
Consider thoughtfully your ‘retirement’ messaging to your colleagues, professional network, and community members about what types of engagement and exploration you are considering after leaving.
As you contemplate retirement, the months leading up to your official last day present a terrific opportunity to share your plans with suppliers, board members, and former colleagues; plan on following up on these interactions with a personal business card and/or your resume and background information so they can consider future introductions or opportunities for you and know how to connect with you after you retire.
Many organizations have informal or formal retiree networks. Accessing these connections can contribute to a collegial sharing of information and peer mentoring.
No matter what you decide to do during your retirement, just make sure that your plan is detailed, thorough and offers the opportunity to achieve sustained personal growth and satisfaction. Now let me ask, what is your retirement plan?