{"id":1917,"date":"2012-07-02T12:38:55","date_gmt":"2012-07-02T17:38:55","guid":{"rendered":"http:\/\/www.billlosey.com\/?p=1917"},"modified":"2012-07-02T12:38:55","modified_gmt":"2012-07-02T17:38:55","slug":"5-things-to-keep-in-mind-for-life-after-work","status":"publish","type":"post","link":"https:\/\/billlosey.com\/knowledge-center\/5-things-to-keep-in-mind-for-life-after-work\/","title":{"rendered":"5 Things To Keep In Mind For Life After Work"},"content":{"rendered":"

Decades ago, there was a popular book entitled What They Don\u2019t Teach You at <\/em>Harvard<\/em> <\/em>Business<\/em> <\/em>School<\/em>.<\/em> Perhaps someday, another book will appear to discuss certain aspects of the retirement experience that go unrecognized – the \u201cfine print\u201d, if you will. Here are some little things that can be frequently overlooked.<\/p>\n

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How will you save in<\/em> retirement? <\/strong>More and more baby boomers are retiring with the hope that they can become centenarians. That may prove true thanks to healthcare advances and generally healthier lifestyles. <\/strong><\/p>\n

We all save for retirement; with our increasing longevity, we will also need to save in<\/em> retirement for the (presumed) decades ahead. That means more than budgeting; it means investing with growth and tax efficiency in mind year after year.<\/p>\n

Could your cash flow be more important than your savings? <\/strong>While the #1 retirement fear is someday running out of money, your income stream may actually prove more important than your retirement nest egg. How great will the income stream be from your accumulated wealth?<\/p>\n

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There\u2019s a longstanding belief that retirees should withdraw about 4% of their savings annually. This \u201c4% rule\u201d became popular back in the 1990s, thanks to an influential article written by a financial advisor named Bill Bengen in the Journal of Financial Planning.<\/em> While the \u201c4% rule\u201d has its followers, the respected economist William Sharpe (one of the minds behind Modern Portfolio Theory) dismissed it as simplistic and an open door to retirement income shortfalls in a widely cited 2009 essay in the Journal of Investment Management.<\/em><\/p>\n

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Volatility is pronounced in today\u2019s financial markets, and the relative calm we knew prior to the last recession may take years to return. Because of this volatility, it is hard to imagine sticking to a hard-and-fast withdrawal rate in retirement \u2013 your annual withdrawal percentage may need to vary due to life and market factors.<\/p>\n

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What will you begin doing in retirement?<\/strong> In the classic retirement dream, every day feels like a Saturday. Your reward for decades of work is 24\/7 freedom. But might all that freedom leave you bored?<\/p>\n

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Impossible, you say? It happens. Some people retire with only a vague idea of \u201cwhat\u2019s next\u201d. After a few months or years, they find themselves in the doldrums. Shouldn\u2019t they be doing something with all that time on their hands?<\/p>\n

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A goal-oriented retirement has its virtues. Purpose leads to objectives, objectives lead to plans, and plans can impart some structure and order to your days and weeks \u2013 and that can help cure retirement listlessness.<\/p>\n

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Will your spouse want to live the way that you live? <\/strong>Many couples retire with shared goals, but they find that their ambitions and day-to-day routines differ. Over time, this dissonance can be aggravating. A conversation or two may help you iron out potential conflicts. While your spouse\u2019s \u201cpicture\u201d of retirement will not simply be a mental photocopy of your own, the variance in retirement visions may surprise you.<\/p>\n

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When should you (and your spouse) claim Social Security benefits? <\/strong>\u201cAs soon as possible\u201d may not be the wisest answer. An analysis is needed. Talk with the financial professional you trust and run the numbers. If you can wait and apply for Social Security strategically, you might realize as much as hundreds of thousands of dollars more in benefits over your lifetimes.<\/p>\n","protected":false},"excerpt":{"rendered":"

Decades ago, there was a popular book entitled What They Don\u2019t Teach You at Harvard Business School. Perhaps someday, another book will appear to discuss certain aspects of the retirement experience that go unrecognized – the \u201cfine print\u201d, if you […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18],"tags":[],"class_list":["post-1917","post","type-post","status-publish","format-standard","hentry","category-blog"],"_links":{"self":[{"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/posts\/1917","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/comments?post=1917"}],"version-history":[{"count":0,"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/posts\/1917\/revisions"}],"wp:attachment":[{"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/media?parent=1917"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/categories?post=1917"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/billlosey.com\/knowledge-center\/wp-json\/wp\/v2\/tags?post=1917"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}