So, “You” are thinking of Retirement? It can be a very scary feeling; after all, you have devoted 30+ years to your company, have gotten used to a paycheck twice a month, have a comfortable position at your work, and have a pretty large number of friends at work.

Now, retirement is approaching perhaps faster than you would like. Where will you live, will you be able to afford to retire, and what will you do with yourself during the day? Will you feel freedom, or put out to pasture? These are very real feelings that we all go through when we contemplate retirement. Your nerves are stretched thin and you feel like you are on a gangplank, walking towards…..! Many of us have identified so much of ourselves into the work that we do, that we have trouble visualizing life afterwards! So, take it from a fellow retiree, I’ve been there…and it’s not so bad! Let’s spend a few minutes discussing some ideas and options!

One: Finances

Most of us were so busy working and raising a family that we really did not spend that much time thinking about retirement, and how much it will take to live comfortably without working. So, it’s good to contact an advisor, who specializes in retirement portfolios. (It’s also useful to contact an advisor who really understands Your Company’s 401k, stock, and annuity programs), (and management bonus programs, if you are in management). A good advisor will be able to run a cash flow analysis over the rest of your expected life, using your net worth to determine if you have enough resources to retire and live at the standard of living that you are accustomed to. They can also make recommendations or suggestions if they feel that you may be a little tight on finances.

Two: Management of your Portfolio

Some of us have dabbled in stocks, bonds, and mutual fund purchases. Indeed, we may be sort of good at it. However, the reality is that although we are very good at what we did on our jobs, the vast majority of us do not have the education, the knowledge, the resources or the time to do the proper research and to really understand and follow stocks and funds and know when its time to buy or sell. I am aware of some of my colleagues who spend an enormous amount of their time watching the market and trying to determine what and who to invest their money with, indeed to the point where it’s almost like a second job. (Admittedly, some are successful with this plan.) However, do YOU want to spend that much time on managing your portfolio? And…even if you do, does your spouse or partner share the same interest and desire in the event that you get sick or no longer can do the necessary research?

I believe that a better option is to hire experts who can manage your portfolio for you! Look up and compare different companies for items like: how much do they charge you to manage your account? What is their track record on performance? Are they stuck to specific funds that are just managed by their company, or are they independent? If a firm does have a track record with retirees from your company, talk to several of them and determine how the company handled the account, what kind of communication did they have, did they return calls promptly, are they trustworthy, do they do what they say they will do? Too large a company, and you may be just a number, too small, you may be relying on the expertise of one individual.

Three: Where Will You Live?

Recent or soon to be retirees, often think about living in exotic places, where life will be easy, carefree and fun. So off they go, not realizing that they don’t know a soul in the new location, and then find out that they have nothing in common with them either. Far from being fun, they soon dream of returning back to where their friends are.

Now, I am not saying that some folks can not make the adjustments; indeed, many have made multiple moves over their career and think that it will be a snap. But, consider this; your previous moves were all tied up with your company…many of your friends in the new location came from the company, where you did have something in common. When you were younger, your kids brought you into activities with adults of children, often involving school, sports or church activities. Now, you will be moving without the benefit of the company, friends, or children. Move into a retirement development and you “may” be bored with all of the old folk. Move into a progressive development….with lots of “young” children and you may hate the noise and not have anything in common with the younger adults.

So, my advice is to plan your move cautiously; carefully check out where you think that you might live….do they have activities that you enjoy, is there a church of your faith nearby, what will “you” plan to do to fill your time? I suggest that you consider going to the location for a period of say, one to three months, lease an apt. in the area where you might move to, and live there. See if you will enjoy it there. Consider altitude (we are less tolerant of it at older ages), climate (hot, humid or just plain too cold, storms, etc), What about taxes…can you afford your retirement home? What are “you” comfortable with, an urban or country setting? How about the political climate (you would not want to be the “only” Republican with a bunch of Democrats living around you (or, vice-versa). Other alternates, once you carefully scope out the location are to consider buying a 2nd home or condo and live at both locations. Or buy into time shares, and go to many different locations. Try to be flexible…if you don’t plan carefully, you (or your spouse) may get stuck in a location that you wake up each morning dreading the day. That’s no way to live!!!

Four: Managing YOUR time

What are you going to do with yourself after retirement? Instead of fearing life without your career, look at enhancing your hobbies, or, sharing your skills and knowledge with those not so fortunate. Help others in volunteer positions, or travel to places that you have always wanted to go, but never had the time before. In fact, MOST of the retirees that I talk to are amazed at all they do and how busy they are. So, if you don’t just sit back and hide, but instead Explore Opportunities, you will find very worthwhile & rewarding activities to be involved with. (I know of a lady at my church who is 98, yet still drives to the rest home by herself, (not that I recommend that), and delivers meals and sermons to the “old folks.” My mom is 93, blind in one eye, yet is still writing poetry, and has published several books…since she was 85!) You may not feel comfortable with the above examples, but look to do things that you have an interest in!

Five: Managing YOUR Health

It’s true that when you retire, you are usually in the last third of your expected life span. So, whatever you can do to enhance your health will be beneficial in enjoying your retirement. Don’t be a Couch Potato! Get out and be Active! Do regular exercise! Sure, you are not as strong or agile as you were when you were 20, but you may be amazed at what you can achieve. Get involved with others in team activities or outings. Walking, dancing, biking, golf, tennis, even basketball or baseball are very realistic for many retirees. A huge mistake is to think that just because you are older, that exercise is just for the young. Staying active has been proven to help delay the aging process and besides, you will look better and feel better about yourself. So…plan on being ACTIVE!!

I hope that you can see that actively managing your retirement will remove the fears about life after working. Indeed, I believe that the folks who are most satisfied with retirement give of themselves to others, stay active, both physically and mentally, and aggressively search out new experiences. So, don’t fear retirement, Embrace it!

Harry Hall worked for Chevron for 33+ years. He retired in 2004 as a Manager in Marketing, and moved from California to Keller, Texas, with his wife, Wanda. He set up a small consulting company, (HLH Consulting, LLC), where he works on a part time basis, remains as a professional engineer (PE) and stays very active exercising, golfing, singing in his church choir, and is the treasurer of his Homeowner’s Association

"Harry Hall is not affiliated with Securities America."