James M. Beenders,
CFP^®, AAMS^®, AWMA^®
Partner, President
Chief Planning Officer

Retirement planning can pay significant attention on the numbers: How much have you saved? When should you claim Social Security? How will you replace your paycheck?

Those questions matter, but financial readiness is only one part of the transition. Retirement also changes how you spend your time, relate to your spouse, and think about yourself. Those changes can be difficult to picture while you are still focused on the demands of your career.

Losing the Identity That Came with Your Career

People who have achieved financial success bring discipline and drive to their work. Their profession may become closely tied to how they see themselves and how others know them.

Once the title and responsibilities are gone, a retiree may discover that work provided more than income. It also created structure, goals, relationships, and a sense of contribution.

This is one of many reasons retirement no longer means stopping work on a specific date. Consulting, serving on a board, volunteering, or mentoring can provide a continued sense of purpose at a different pace. The key is determining what role you want work to play once income is no longer the primary reason for doing it.

Adjusting to More Time Together

Retirement can also change the rhythm of a marriage or partnership. A couple accustomed to spending much of the day apart may suddenly share the same space and schedule.

That adjustment can become more complicated when one partner retires before the other. The retiree may feel guilty about having greater freedom while the other continues working. The working spouse may have valuable healthcare benefits or a personal reason to remain employed.

One client faced this situation when their partner needed to remain at work for a few additional years to secure lifetime healthcare benefits. Although waiting made financial sense and the work was enjoyable, the retired partner was eager for them to begin enjoying new things together. Their different retirement dates affected both their finances and the life they hoped to share.

Letting Fear Drive Financial Decisions

The end of a paycheck can make even a well-prepared retiree uneasy. That discomfort may influence decisions such as when to claim Social Security or how much to withdraw from a portfolio.

Claiming Social Security earlier can feel reassuring because it restores a regular source of income. However, the decision should be considered within the broader retirement plan rather than made solely in response to fear.

Pretax retirement savings also require attention. A retiree may begin with modest withdrawals, then face higher taxable income once required minimum distributions begin. Evaluating the potential tax impact before those distributions start may provide additional planning choices.

Preparing for More Than a Retirement Date

It is difficult to imagine retirement while you are still managing deadlines, meetings, and a full schedule. Yet reaching the date without considering what follows can make the transition harder.

Before retiring, think about the parts of your career you will miss, how your household routine may change, and where you want to direct your time and energy. A financial plan can help support retirement, but a fulfilling life requires planning beyond the balance sheet.

This presentation is not an offer or a solicitation to buy or sell securities. The information contained in this presentation has been compiled from third-party sources and is believed to be reliable; however, its accuracy is not guaranteed and should not be relied upon in any way whatsoever. This presentation may not be construed as investment, tax or legal advice and does not give investment recommendations. Any opinion included in this report constitutes our judgment as of the date of this report and is subject to change without notice.

Additional information, including management fees and expenses, is provided on our Form ADV Part 2 available upon request or at the SEC’s Investment Adviser Public Disclosure website, www.adviserinfo.sec.gov. Past performance is not indicative of future results.