What to Consider if You Want to Retire

“Choose a job you love and you’ll never have to work a day in your life” ~ Confucius.

As you approach retirement age, the first step to set yourself on a path for a successful retirement is to envision what that successful retirement will look like. Being able to visualize what you want for your golden years can help turn retirement from a distant dream to a bright future. Whether retirement is 12 months or 12 years from now, if you know the destination, it will be much easier to map the journey.

What we do for a living is often tied to our self-identity, so think about who you want to be once you have “vocational freedom.” Will you want to take on a new purpose? Do you have hobbies you’d like to pursue, or would you consider starting a bonus career? Or maybe you want to spend your time volunteering for a cause that is dear to your heart. Do you crave daily interaction with people to fuel your mind? Have you built a network beyond your work friends?

Consider what you want your days to look like in your retirement years. Do you desire the peacefulness and solitude of a cabin by a mountain stream, or the energy of a condo in the city within walking distance of cultural activities? Will you finally tackle the stack of books you have been meaning to read, or perhaps start the book you’ve been composing in your head? Maybe you are interested in practicing yoga, training for a marathon, or taking up pickleball. Perhaps you dream of traveling the world and experiencing new cuisines and cultures, or maybe you just can’t wait to “do nothing!” Find ways that you can do “practice runs” to help you try out and then refine your retirement lifestyle goals as you learn what feels most meaningful and fulfilling to you.

Consider who your support people are, and who depends on you for support. Will you stay in your current home, downsize, or perhaps upgrade your views or location now that you don’t have a daily commute or kids in school? Will you have new income streams you plan to generate, or will you rely on your savings?

Your unique vision will determine the answer to the question, “How soon can I retire?”

Even with good planning, the act of retiring requires a giant leap of faith. Working with a financial advisor can help you build the foundation needed to make your vision a reality and provide the confidence and peace of mind that your plan will support your desired lifestyle for the remainder of your days. The earlier you begin this planning process, the more likely you are to reach your goal.

Achieving ‘vocational freedom’ is a huge accomplishment – one that brings relief and opportunity but is also a major and disruptive life change. The decision to step away from work is both a financial and an emotional one. Your Coldstream team is here to help you think through both the financial and the non-financial aspects of the transition, and to assist you with building a long-term plan that includes running a sustainability analysis to provide the peace of mind that comes with the confidence of knowing that you have enough to make it all work.

Whether your retirement future is years off or just around the corner, here is a Retirement Checklist of things to consider in your preparations.