By Matt Ward, CFP®, CRPC®
The Four Pillars of Retirement
The transition to retirement can be both exciting and daunting. You are no longer working, but this isn’t the end of your financial journey! In my blog on Why I Became A Financial Planner (find it here), we discussed how vital planning for future needs is during our golden years so that they don’t take away from what makes them great – enjoying life’s finer things – like family & friends alongside some good, old-fashioned relaxation time.
The key thing when thinking about changing aspects in regards towards relationships friendships, routines etc., is that it is vital to have a plan. It can be challenging to adjust and find your feet again in a new stage of life, but if you have some goals and ideas of what you would like to achieve, it can make the journey simpler and more exciting.
One way to do this is by considering the four pillars of retirement: (1) health, (2) family, (3) purpose, and (4) finances. By taking stock of these areas of our lives, we can develop a more holistic approach to retirement planning that will help us stay healthy, happy, and engaged throughout our golden years.
The first pillar, health, is perhaps the most important. As we age, our health needs will change and it’s important to have a plan in place to meet those needs. This may include things like making sure we have adequate health insurance coverage, staying active and healthy through exercise and diet, and keeping up with preventive screenings and doctor’s appointments.
The second pillar, family, is also important to consider as we plan for retirement. For many of us, our families are our support system and source of joy. As we age, we may need more help from our loved ones. Planning for this by staying in touch regularly, having difficult conversations about end-of-life care, and getting our financial affairs in order can help make the transition to retirement smoother for both us and our loved ones.
The third pillar, purpose, is also key to a happy and fulfilling retirement. For many of us, work has been a central part of our lives for decades. Retirement can be a time to finally pursue long-held passions or find new meaning in volunteering, hobbies, or other pursuits. Having a sense of purpose can help us stay engaged and active in retirement, which is good for our mental and physical health.
The fourth and final pillar, finances, is perhaps the most complex. There are a number of factors to consider when it comes to financial planning for retirement, including things like Social Security benefits, pensions, investments, and income taxes. Working with a financial advisor can help make sure that all of these pieces come together in a way that meets your unique needs and goals.
The four pillars of retirement planning are health, family, purpose, and finances. The four pillars can help you prepare for retirement. If you take these into account, then you will be in a better position to make decisions that will keep you healthy and active.
Take the Next Step
Please feel free to schedule a meeting with me here by phone, virtual, or in-person. I’m available to help you feel confident throughout your retirement.
Matt Ward, CFP®