While
having enough money to retire comfortably is an important issue, an
overlooked but just as important issue is lifestyle. Health care concerns
are very important among Canadians as well as planning where they will
retire and what they will do during retirement. According to Mike
Reed, head of retirement client strategies for RBC Financial Group, "our
research clearly shows that Canadians no longer believe money is the only
key to retirement success. A wide range of lifestyle issues including
health, home and family are crucial considerations as well."(1)
Traditionally, most Canadians looked to how much money they needed to retire
and then planned their retirement around that amount. However, a more
effective way to approach retirement may be to look at what people hope to
do during retirement and then develop a financial strategy based on their
future lifestyle. Here is the challenge most retirees face: what do they
do after they retire? Many people take the approach that life after
retirement is one big long weekend. In other words, what they would normally
do if they had free time they would spend doing during retirement. However,
after 3 years of continually playing golf or indulging in a hobby they find
they are bored with their previous weekend activities and are looking for
other things to occupy their time. Barry LaValley of the Retirement
Lifestyle Centre warns the reality of retirement is going to be very
different from what most people imagine. He talks about the theory of
continuity which means, "you are who you are; you aren't going to magically
change in retirement."(2) This means newly retired people will not
successfully pick up new hobbies or interests after retirement. If you are
not an outdoors person you will not spend your retirement years camping and
fishing. People have to look within themselves to find out who they are and
what kind of life they wish to lead after their working life is over. What
kind of person best handles this drastic change from work to retirement? Any
big change in life - moving to a new town, a death in the family, a new job
- brings much unwelcome stress and it seems the most successful retirees are
those who best handle the stress. Researchers have identified four personal
attributes of successful retirees (3) who best cope with the stress of
retiring:
- Taking and maintaining control over key elements of their lives
- Being committed to living each day to its fullest
- Challenging themselves to learn new things, create new activities, and
go new places
- Feeling "connected" to their families, friends, community, world, and
spirituality
It seems retirement is as much as organizing your life as planning your
finances. How well you know yourself, how your presently live, and how
your approach your new life will all play a big part in having a
successful retirement. Sources:
(1)"Retiring 'rich' is more than a matter of money for many Canadians, RBC
poll finds," CNW Group, February 2007.
http://www.newswire.ca/en/releases/archive/February2007/05/c4401.html
(2) "For the unprepared, retirement not always all it's cracked up to be,"
Steve Macnaull, The Canadian Press, Western Star, Canada, December 16,
2007
http://www.thewesternstar.com/index.cfm?sid=89959&sc=23
(3) "The Eight Key Factors of Retirement Success," The Retirement
Lifestyle Centre Inc.
http://www.retirementlifestyle.com/lifeplanning/lifeplanning.htm |
