The Post-Pandemic Retirement Survival Guide - Part 2

<< Read Part 1: The Post-Pandemic Retirement Survival Guide 

Consider the post-pandemic retirement survival guide as the catalyst for renewal.

At the least, I hope it serves as a reminder of how a retirement planning strategy may require change when conditions warrant. Turbulent periods can lead to great self-awareness, a sense of inner fulfillment that no amount of money can purchase.

Perhaps you’re confident in your current strategy. Market prognosticators believe that economic ‘normal’ is mere months away (normal is yet to be defined). They may help to validate your hope for financial recovery in your household.

Ostensibly, experts go so far as to say the pandemic and its after-effects will disappear by late this year. It’ll be like the global economies never experienced economically devastating lockdowns, a spike in mental health obstacles, and substance abuse. Also, let’s not forget the mind-blowing increase in extreme poverty.

I mean, just like that, the world’s economies will recover from the odd global quarantine of healthy people (never happened before). Oh, the lofty, idealistic haze of markets and its prognosticators tipsy on the never-empty punchbowls of fiscal and monetary stimulus. Their rosy outlooks make me smile. I hope they’re correct.

 

What does post-pandemic financial recovery mean to you?

Keep in mind, many retirees or those looking to retire soon perceive economic recovery through a darker lens. In other words, a post-pandemic retirement may be ‘no retirement.’ More lower-income workers than ever believe that working much longer is in the cards for them due to COVID financial setbacks.

“With the present economy due to Covid, I am afraid it will take several years to recover and for our retirement savings and investments to be enough for us to retire the way we originally set it up.”

National Institute of Retirement Security, February 2021.

Pew Research, a bipartisan research think tank, conducted a study of 10,334 adults in January 2021 and discovered that a quarter of adults 50 and older who have not yet retired expect the coronavirus outbreak to affect their ability to retire.  This data includes 7% who say they have already delayed their retirement, and an additional 17% think they might have to wait for it.

Retirement Survival Guide, The Post-Pandemic Retirement Survival Guide. Part 2.

We can work together to make sense of it all.

Part 2 of the Post-Pandemic Survival Guide is qualitative because planning isn’t exclusively about numbers. Sometimes it’s messy and emotional. No matter how diligent one may be about saving and investing, life can get in the way of even the most perfect of formal plans. 

I request you dig deep and consider how the pandemic may have changed your habits. Maybe the time in quarantine served as a catalyst, a  mental reshuffle of what you define as important. Retirement doesn’t have to be some fantasy or a magic number. It merely requires a tincture of self-reflection mixed with reality. Define what’s truly important outside the borders of the financials and within your own heart. Then go back and worry about numbers.

This begs me to ask:

Action #1: What will be your ‘Grand Reset?’

Do you have what it mentally takes to get over yet another hurdle to retirement? Has the pandemic been the catalyst to search inward for a revised vision of a secure retirement? A personal definition of security has only partly to do with money. I know people with retirement coffers in low six-figures that experience more secure retirements than some with eight-figure balances.

Maybe an open-minded approach based more on qualitative elements of retirement can enhance your thinking. Can one adjust expectations and, at the same time, not give up on the idea of a fruitful, productive retirement? I know so as I witness people accomplish this all the time.

Giving up on planning for retirement isn’t an option. Throwing in the towel isn’t a strategy. Resetting how you think about retirement can be. Hey, when the computer freezes up, what’s the first thing we do? We restart it! 

REINVENT – that’s what matters. Use the lessons learned during the pandemic. And if they’re not your lessons, steal them from what others have experienced! Walk a path, form a voice specific to you. Design a retirement formula that isn’t dictated by what financial media says it should be. 

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Disclosure: Real Investment Advice is powered by RIA Advisors, an investment advisory firm located in Houston, Texas with more than $800 million under management. As a team of certified and ...

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