Three Things to Tell Your Clients About Retirement

Many people also find it challenging to perpetuate important relationships and continue them in a meaningful way when the tie-in to work is no longer there. Probably the single best piece of advice is to help clients create a sample weekly schedule detailing what a typical week is going to look like. The more specific you can be the better. As they are creating their model week, pay special attention to not just what they want to do, but who they might want to do it with. This will help them clearly define how they want to spend their time and will also help them concentrate on which relationships they will want to work on cultivating.

Deal with all of your “stuff”

Meet Marie and Doug Condo. These two empty nesters just got off the phone with their youngest daughter as she stepped onto the airplane for her honeymoon. Tears still in Marie’s eye she looks over at Doug and says, “I can’t believe she’s gone.” He smiles back and says, “Yeah, sure feels different around here doesn’t it?” As Marie sets the phone down on the table, she starts walking out to the living room and shouts back to Doug, “Maybe now you can finally get around to dealing with the basement!” Doug winces and doesn’t respond, pretending not to hear her. He heads out to the garage to continue working on his wooden chest, a hobby he finally picked up after retiring two years ago. “What does she expect me to do with all of that stuff?” he muses to himself.

Throughout our working and family years we accumulate an entire house full of things. Some of it is conscious, like baby clothes and toys, school supplies and books. Much of it can be subconscious too, like all the little vacation trinkets we never knew quite where to put. However, once we step into the “empty nester” years all the “stuff” we piled up to this point in life is suddenly a nuisance, or at least begs the question, “do we really need all this anymore?”

Advisors can help clients out tremendously by applying the one-year test: If you have not used it or worn it in the last year, then it should go. For those who are philanthropically inclined, this can be a great opportunity to support local organizations through donations while also having a cathartic experience revisiting the memories tied to these items. Helping your clients realize that they can give these treasured things to people in need gives them new life and purpose and is a positive experience.

Demystify the permanent vacation idea

Meet Jeff and Sally Cruise. Two avid vacationers who are three years out from retirement and beginning to look at moving away to a tropical place to live out the rest of their days. The last few years they have begun to idealize retiring to the beach, sipping cocktails and just sunbathing themselves into oblivion. I mean, what’s not to like about that, right? However, something hasn’t been sitting right in Sally’s stomach when they start trying to talk about logistics, yet she can’t quite put her finger on it. Jeff just chalks it up to nerves and plans to excitedly plot ahead.

Many Americans envision retirement as a life of 24/7 golf, unlimited vacationing around the world, or all kinds of activities we had to forgo or put off during our working years. While that sounds nice in theory and was fun to dream about while working, that kind of life may not be what we expect. For many, retiring to a permanent vacation isn’t all it’s cracked up to be and ends up not being what we really wanted either. Why, you may ask?

It starts with the simple truth that vacations are so enjoyable and rewarding because they are…well, vacations! They are an escape. They are a temporary rush or relaxing escapade. However, when the escape becomes permanent it loses its luster. Think about it, a rollercoaster was fun growing up, but no one in their right mind would ride one all day long every day for a week, much less a month or a year. The same may be true when it comes to retiring to a beach community. When the beach is a regular part of your everyday life, it isn’t so special anymore. All the other activities you enjoyed when you weren’t on vacation may not be available as well, depending on the kind of location or community you were considering. Plus, spending all day in the sun turns you into a raisin.

What about your family? If you’ve always enjoyed being close to your children, then moving far away may rob you of some of the most significant parts of their young adult lives, including grandchildren! Advisors need to help curb clients’ enthusiasm at times to make sure they keep the bigger picture in mind of what is truly important. While for some, a beach house may be just the ticket, it’s important that they step back and fully consider all of the impacts such a change would entail before they pull the trigger.

Help clients consider their lifestyle

The word that pulls all these things together is lifestyle. Ask them, “what do you want to do, who do you want to be able to see regularly, and how convenient would you like certain things to be.” Effective lifestyle management is the critical component to an enjoyable retirement. When we carefully consider what we want and need in this new season of life, we’re able to maintain meaning and purpose. When we don’t think it through and just “pull the rip cord,” we find the transition to be far more difficult. This is one of the biggest reasons why so many Americans find it hard to let go and fully retire, why others are coming back to work, and why many experience a variety of emotional issues during retirement.

When an advisor identifies the lifestyle clients want to live, it not only makes their retirement dreams more tangible, but it becomes the most effective framework to prepare them emotionally, relationally, and financially. Here’s to sailing off into the proverbial sunset!

Brian Haney is a certified income specialist who loves helping clients put the retirement puzzle together. Brian is a registered representative of Coastal Equities, Inc. and an investment advisory representative of Coastal Investment Advisors, Inc. Investment Advisory Services are offered through Coastal Investment Advisors, Inc., and securities are offered through Coastal Equities, Inc., Member FINRA/SIPC, 1201 N. Orange St., Suite 729, Wilmington, DE 19801.

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