How to retire happy
If you’re approaching retirement, it might be either with a sense of enthusiasm or trepidation. No matter how you feel about it, you need to take some steps to make sure you have the mental preparation and financial resources to make this next phase of life as fulfilling and happy as possible. Here are some tips to help you plan.
Are you ready for it? – Many people who are eligible for retirement prefer to keep working. Sometimes it's because they need the money or want to keep their health insurance, but often it's because they like their jobs and the people they work with. So, think hard about whether you're really ready to give it up — not only the rewarding aspects of your job but also the stimulation and social interaction of your workplace.
Stay involved – Retirement can last a long time. At age 65, Australian men are now expected to live for another 19 years and women for another 22 years. If you retire at 65, you could spend many years in retirement — too long to be a couch potato. So before you retire, decide what you want to do during the years ahead. You’re now in control so pick something that matches your interests, talents and experience. It could be teaching a class at a college, coaching a soccer team or volunteering at the local hospital. Activities like these will give you personal satisfaction. And they will help you build close connections with other people — a vital need for any happy retirement. On average, happy retirees participate in almost twice as many core pursuits as their unhappy counterparts.
The importance of family – Your children, grandchildren and great-grandchildren can be sources of much happiness when you're retired, and there's a good chance they will become an ever-increasing part of your life. As you age, your kids may become a great support as well as providing transport to shops, doctors and other services. So when you plan your retirement, keep in mind the benefits of being reasonably close to where they live.
Are your finances in order? – Happy retirees are nearly four times more likely than unhappy retirees to be close to paying off their mortgage. Any retiree who’s managed to pay off their mortgage debt should be thrilled — more seniors today are carrying mortgage debt in retirement than ever before. The elimination of mortgage is really important, not just financially but also psychologically. Happy retirees are also more likely to have at least two to three sources of discrete income, and actively invest time in planning, setting up and regularly reviewing their financial plans.
Having a partner helps – Research comparing levels of satisfaction between married and unmarried people over the long term reveals married retirees are generally much happier. It’s fairly obvious why two may be better than one in this scenario — dual incomes can make a huge difference in a couple’s financial outlook. And divorce not only reduces both parties’ income but is can be expensive and often emotionally draining to go through.