When people think about retirement, their first and often only thought is money in the bank.
Becoming a certified coach at 56 was a significant shift from my corporate career – one of several new skills I’ve developed “post-retirement.” Recently, my vision as a coach has come into focus: I work with individuals in midlife and beyond who are preparing for retirement – not in terms of financial planning, as that’s not my expertise, but in a different, equally important way.
My next few posts will look at things to consider in retirement, with a focus on living with intention, finding joy, and planning for a meaningful future.
Money Matters, But It’s Not Everything
Most of us make retirement decisions based on a combination of age and financial health. As a retirement coach, I’d be remiss if I didn’t acknowledge the role of money so let’s address it upfront.
Traditional retirement planning emphasizes one thing: save, save, save. You may have heard of the “4% rule,” which suggests withdrawing 4% of your nest egg annually, or the recommendation that you’ll need 50–70% of your pre-retirement income to live comfortably. There are others. Which strategy is best? I don’t have that answer. By the time I speak with most clients, they’re much closer to retirement than to their first job. At that stage, savings habits (or the lack thereof) have already played out, and life events like divorce or illness can complicate financial stability.
Finances are critical. And they are just one piece of the retirement puzzle. In my work, they’re not the primary factor in decision-making. And, keep in mind, that money has nothing to do with your value as a human being.
Yet, despite its importance, money remains a taboo topic. Many people avoid discussing it, even though they may need to fund 20–30 years of retirement.
The good news? There are excellent financial resources available. Do your homework. At the end of the day, no one will care about your money as much as you do.
Lessons From My Own Retirement Journey
When I left my secure corporate job in 2019, there wasn’t a perfectly mapped-out financial plan. I called it retirement, but in reality, it wasn’t. My goal was to find another source of income for a few years to cover expenses – and that was accomplished.
Fortunately, at 55, I was in a position to make that choice. The advice received in my twenties was solid: save, save, save. (The David Chilton book ” The Wealthy Barber” springs to mind as being an important part of my financial education.) Rather than tapping into the nest egg right away, I decided to leave it untouched until after I reached my 60th birthday.
For most of my adult life, I operated like a squirrel, tucking away small amounts in RRSPs (some in GICs, some in mutual funds), a TFSA, a savings account, and a chequing account. You get the picture. Once I stepped away from full-time work, a newly-hired financial advisor consolidated everything to make my money work harder. It was a great decision – my nest egg has grown considerably over the past five years.
That said, the focus was never on reaching a magic number. Worrying about it wouldn’t change the balance sheet. There’s enough to be comfortable, and happiness has never been tied to acquiring “stuff.” Well, except maybe my Spyder!
A Few Things I’ve Learned About Money and Retirement:
- Most people believe they don’t have enough.
- When it comes to life’s most meaningful decisions, money is rarely the deciding factor.
- Many people haven’t taken the time to plan what they’ll do in retirement, making it hard to define how much they actually need.
- “I wish I had made more money” did not make the cut in Bronnie Ware’s “The Top Five Regrets of the Dying”.
Planning for Retirement: Facts and Figures
A report titled “Profiles of Retirement,” published by the Ontario Securities Commission on January 10, 2024, offers a snapshot of how retirees and pre-retirees in Canada view their lives, with a focus on financial health and well-being.
You can read the full report here: Profiles of Retirement.
The report found that 59% of Canadians aged 50 and over consider themselves retired, while 41% see themselves as pre-retirees. Of those who consider themselves retired, only 12% believe their financial health is very strong, and confidence is even lower (6%) among pre-retirees. It’s an interesting report that could offer some inspiration as you map out your own retirement plans.
Even more striking, the report shows that only 30% of retirees say they’re enjoying their retirement years to the fullest, while 11% report not enjoying it at all. These figures are surprising and as I see it, joy needs to be intentionally built into every day. As a coach, my role is to help people find direction and purpose beyond just the financials.
Resource
You may also find value in the Government of Canada’s Retirement Checklist, which provides helpful guidelines for planning ahead: Retirement Checklist. Your bank likely has one as well.
As a coach, I do not provide advice – and that includes financial advice. If you’re feeling uncertain about your financial future, I highly recommend working with a certified financial planner to figure out what you need to do.
Next Steps
Ready to take control of your retirement journey? If you’re looking for guidance in finding meaning, joy, and purpose in your retirement years, I’m here to help. As a certified coach, I specialize in working with individuals like you to create a vision for your future that goes beyond just financial security. Together, we can build a plan that brings you both peace of mind and fulfillment.
Contact me today to start the next chapter of your life with intention and clarity. Let’s make your retirement years the best years yet!