One of the biggest financial changes in retirement isn’t your money—it’s your relationship with it.
One of the most surprising things I’ve noticed over the years—whether I’m meeting with clients in Milwaukee, Brookfield, Oconomowoc, or throughout Southeast Wisconsin—is that many retirees experience the opposite problem of what they expected.
It isn’t that they spend too much.
It’s that they’re often afraid to spend it.
After spending decades working hard, saving consistently, and preparing for retirement, many people find it surprisingly difficult to shift from accumulating wealth to actually enjoying it.
I can’t tell you how many times I’ve laughed with clients during a review meeting after reminding them, “It’s okay to spend a little more.” They’ll leave the meeting saying, “You’re right…that makes perfect sense.”
Then they get home, and before long, they’re back to their old habits—hesitant to spend and worried they’ll run out of money.
Sometimes I just shake my head and smile because I’ve seen this happen with many wonderful clients over the years.
One conclusion I’ve come to over the years is this: while something may make sense intellectually, people often need to believe it emotionally before they’re willing to change.
Retirement Planning Doesn’t End When You Retire
One of the biggest misconceptions I see is that retirement planning ends the day you stop working.
But in my experience, that’s often when some of the most important planning begins. Retirement isn’t static: markets change, life changes, your spending changes, and sometimes, your goals may even change too.
That’s why I believe retirement planning should be an ongoing process—not simply a plan that’s created once and then placed on a shelf. (By the way… that’s a big no-no).
For those who enjoy the technical side of retirement planning, here’s one way I think about it: None of us knows exactly what the future holds. That’s why I don’t believe retirement planning is about creating a perfect plan on day one.
I believe it’s about creating a thoughtful plan, reviewing it regularly, and making adjustments along the way.
In my experience, that’s one of the best ways to help people move through retirement with greater confidence.
A Good Retirement Plan Should Give You Confidence
One of the things I appreciate most about retirement planning today is that it allows us to revisit your plan over time instead of making assumptions on the day you retire.
Sometimes those reviews tell us it’s time to be a little more cautious.
But just as importantly, there are times when the plan tells us something much more encouraging: “You’re doing just fine.” Those are some of my favorite conversations.
Even better are those times when I get to tell a client, “It’s okay to spend a little more.”
Maybe that’s finally taking the trip you’ve always wanted or helping a grandchild who might have special needs. It might be giving more generously or creating a legacy that impacts your family for generations to come.
Retirement isn’t supposed to be a season of constant worry.
It’s supposed to be a season of enjoying the life you’ve worked so hard to build.
A Different Question to Consider
Instead of asking,
“Can I afford to spend this money?”
you may want to ask:
“Do I have a retirement plan that gives me the confidence to know when it’s okay to enjoy more of the life I’ve worked so hard to create?”
To me, that’s one of the greatest gifts a coordinated retirement plan can provide.
Continue Your Retirement Journey
If today’s article gave you a different perspective on retirement, we’d love to help you take the next step.
Watch our Complimentary Presentation, “The Retirement Confidence Roadmap”
Discover how retirement income, investments, taxes, healthcare planning, and other important financial decisions work together to help create greater retirement confidence
OR
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