Use Downtime to Think About Retirement
17 June 20  /  Covid-19

The coronavirus pandemic has forced many older workers to reassess their careers and how they view retirement. Those who are fortunate enough to be working from home might be coping with a mix of technological hurdles, while also enjoying more family time and more flexible hours. Too many others nearing retirement are facing real financial worries due to reduced income, job losses, and volatility in their investment accounts.  
Under ideal circumstances, there are three broad choices about how to transition away from your full-time job: phased retirement, full retirement, and continuing to work in retirement. Let us consider how the pandemic has affected each of these options and which path could be the most fulfilling for you.  
Phased retirement
Working from home during the pandemic might be giving some workers a small taste of what phased retirement is like. Reducing the hours that you are in the office can help you ease into a new routine where you will be spending more of your time at home.  
Moreover, the pandemic has forced all of us to reassess the people, experiences, and goals that mean the most. Phasing into retirement can help you fine-tune your work-life balance as you continue to process how social distancing has affected you professionally and personally.  
Full retirement
That same spirit of introspection is leading many to think about jumping into full retirement sooner. Perhaps being away from your job is making you realise you are too used to doing unfulfilling work for a salary that’s not making your life better. Or, if you have been putting off retirement, the experience of social distancing might have motivated you to stop waiting and start doing as soon as life gets back to normal.  
Social distancing has created a separation between our sense of self and our jobs that some people find a little unnerving. That feeling is very common among new full retirees, even those who are following a long-established plan and retiring wholly on their terms. If you’re leaning towards a full retirement right now, think about how you would like to reframe your identity and start living a freer and more fulfilling life after work.  
Working in retirement
Even before the coronavirus pandemic, more and more were choosing to work after retiring. Today’s retirees are healthier and more active. Some are working past traditional retirement ages because they love what they do. Others transition to part-time jobs that let them explore other interests while still earning. Many working retirees also want to top off their retirement and savings accounts while they are still able so that their nest eggs keep pace with increased life expectancy.
Could the coronavirus pandemic accelerate this trend? While social distancing, many people have gained greater proficiency with technologies like Zoom, Skype and Slack. Those skills could open up a whole new world of remote jobs, including teaching and consulting positions. Entrepreneurial individuals might be looking at the shifting landscape of global business and spotting a new route for starting their own dream companies. And still others might be so sick of being locked down that, when conditions are safe, they’ll seek out part-time jobs as a way to reconnect with their communities.  
If retirement is a transition you saw fast approaching over the next couple of years, let’s talk about how the coronavirus has affected your thinking and sync those changes to your financial plan.


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Use the Pandemic as a Catalyst for Change
19 June 20  /  Covid-19