6 Stages of Retirement

None financial aspects of retirement

I’d like to share some thoughts with you about retirement. When I say retirement I mean the non-financial aspects, a subject that doesn’t really get enough attention. Retirement shouldn’t just revolve around reaching a number. However traditional retirement planning focuses on just that, your age and how much money you will need.

Designing a fulfilling retirement requires different skills than it did in the past. It calls for new and soon-to-be retirees to invest first and foremost in themselves as much as they do in their pension pot. 

Traditional retirement planning was just a phase of life that was invented during the Industrial Age, designed around physical labour. Fortunately, today’s jobs and careers are less sensitive to age and more about intellectual know how, skills that often improve with age.

Life expectancy is increasing, so for every hour a person invests in traditional financial retirement planning, an equal amount should be spent on replacing their post work identity.

After working for years retirement can be a bit of a shock to the system. It can be exciting for some but equally daunting for others. Fortunately, retirement follows a fairly predictable cycle. While the specific emotional stages can vary from person to person, there are six common non-financial emotional stages of retirement:

1. Pre-retirement: This stage often occurs before retirement or during the early days of retirement. It’s characterized by a sense of excitement and anticipation for the freedom and new possibilities that retirement offers. You may feel a sense of relief from work-related stress and look forward to pursuing hobbies, spending time with loved ones, or exploring new interests.
2. The big day: Handshakes, and Farewells. By far the shortest stage in the retirement process is the actual end of employment itself. This is often marked by some sort of speech or party. Fun for some but can be an anxious time for others.
3. Honeymoon Phase: This stage typically follows the initial excitement and is characterized by a sense of euphoria. You may enjoy the newfound freedom and flexibility of retirement, savouring the absence of work-related responsibilities. You might indulge in activities you’ve always wanted to do or take trips you’ve been dreaming of. During this stage, retirement feels like a blissful break from the routines and demands of work life.
4. Disenchantment: After the honeymoon phase, some retirees may experience a period of disenchantment. The initial thrill of retirement may fade, and the reality of day-to-day life without work sets in. You might miss the social connections and sense of purpose that work provided. Feelings of boredom, restlessness, or a lack of fulfilment may arise during this stage.
5. Reorientation: In this stage, retirees start to adapt to their new life and explore different avenues to find meaning and purpose. You may engage in volunteer work, take up new hobbies, join clubs or organizations, or pursue further education. This stage involves redefining your identity and finding new ways to contribute and stay active.
6. Routine: Over time, retirees often find a sense of stability and acceptance in their retired life. They have established new routines, social networks, and activities that provide fulfilment. This stage is characterised by a greater sense of contentment and a feeling of being at peace with the retirement lifestyle.

It’s important to note that these emotional stages are not linear, and individuals may move back and forth between them or experience them in different sequences. Each person’s retirement journey is unique, and the emotional stages can vary in duration and intensity.

Wealth in retirement is not just about the amount of money you have, it’s also important to focus on the non-financial wealth.  What’s important to you beyond money. Is your new lifestyle and are your goals, aligned with your core values, so that you enjoy a retirement that is authentic to how you are.

Question to ask yourself.

• Do you want to feel intellectually stimulated and continue growing?
• What new skill or hobbies have you always wanted to learn?
• What knowledge & experience can you pass on to future generations?
• What’s going to hold you back?
• What limiting beliefs might prevent you from living your retirement life to the full.

This is where retirement coaching can help clients plan for a new phase of life, employing tools and resources to help you prepare for the non-financial aspects of retirement. Establishing a healthy and active lifestyle, staying socially connected and cognitively engaged, strengthening relationships, and finding your new identity.