Retirement should be a happy experience. It’s time to figure out how to worry less and plan better for a secure and satisfying future.
According to the Gallup-Healthways Well-Being Index, people start off happy in life, only to see their sense of well-being decline as they grow older. Working long hours, raising a family and saving for the future topped the stress-list. If you want to have a good retirement, you need to figure out what that means to you. Here are three proven strategies to ensure your retirement is everything you ever hoped for.
1. Money Can’t Buy You Happiness
No doubt about it: More money makes you happier. However, once you amass a comfortable nest egg, the effect weakens. According to a survey conducted by Wes Moss, Author of ‘You Can Retire Sooner Than You Think: The 5 Money Secrets of the Happiest Retirees‘, 1,400 retirees surveyed found the happiest ones had the highest net worths, but found that money’s power to boost your mood diminished after $550,000.
“Once you reach a certain level, more money doesn’t buy a lot more happiness,” says Moss. Further research by the University of Michigan Health and Retirement Study found a drop-off in happiness with extreme wealth; after you’ve amassed some $3.5 million in riches, more money doesn’t increase your happiness as much.
When planning for retirement, you shouldn’t assume money alone will make the other problems in your life disappear. Retirement planning involves running the numbers. But it also requires you to think about what’s going to make you happy in the next phase of your life.
2. The Power of Financial Planning
All clichés aside, while money might not be everything, a steady source of retirement income can go a long way to reducing retirement stress. Retirees with a predictable income (such as a pension, or property rentals) get more enjoyment from spending those dollars than they do using money from a 401(k) or an IRA. A survey by Towers Watson found people with consistent sources of retirement income were more financially confident and less likely to feel pressure to cut spending than those who relied on money from their investments.
You want to spend this time of your life doing what you want to do and you want to make sure you have the finances and wherewithal to achieve what is important.
3. Think Health Before Wealth
There’s no point in setting up your perfect retirement if you won’t be well enough to reap the benefits! Keeping physically and mentally fit is the best way to ensure you enjoy your golden years. For a happy mind: keep social, do yoga, take up a new class, meditate and keep a journal. For a fit body: walk, garden, eat well, drink water – all proven ways to stay physically healthy.
More than 80% of today’s retirees say health is the most important ingredient for a happy retirement, meaning that the majority value good health even over financial security. So, the best retirement plan involves not just your finances but also ways to stay mentally and physically healthy.
How can you prepare for a successful retirement? It’s easy to worry about getting older; but that doesn’t have to mean spending your golden years in misery.
In today′s world, the importance of a well-executed retirement plan cannot be underestimated. If the thought of retiring is keeping you up at night, talking to a financial advisor could help bring you peace of mind.
Click here to set up a complimentary strategy session with a retirement income specialist at CKS Summit Group; because asking the right questions enables us to offer the best retirement income options for you. We look forward to hearing from you.