There are three key secrets to a successful retirement, according to a new white paper released by Global Partnerships Financial Planning (GPFC).
The white paper was developed after in-depth research conducted with GPFC clients.
GPFC Managing Director Charmaine Curtain said retirement is still viewed as an emotional and confronting time and everyone’s experience of it is different.
“But that doesn’t mean successful retirement planning should be considered a grey area,” Ms Curtain said. “Speaking to our clients, we’ve found that there are some common factors to achieving success in retirement.”
The key theme that emerged for a successful retirement, according to the research, was an early approach to financial planning.
“This makes sense, as retirement can be a very challenging and confusing time for many people and the peace of mind that comes from financial security is invaluable,” said Ms Curtain.
Another success factor highlighted by the research included an early transition to discover ‘self and purpose’ beyond a person’s work identity.
“Clients who made the decision to become involved in hobbies, pleasurable activities and friendship networks outside work, long before their retirement deadline, seemed to transition with minimal distress,” Ms Curtain said.
Other themes of success included having an active mind and body, with an emphasis on health so that people can make the most of their retirement opportunities.
“One of my clients called retirement his extended gap years, and saw it as a time to live his dreams,” Ms Curtain said.
“Having a bucket list seemed to be a very common theme with clients who participated in the research, many of them viewing retirement as a time to realise their long-held personal goals like learning to tango or to paint, or even writing a book or walking the Kokoda Trail.”
With retirement lasting longer, on average 30 years, there is an increasing need to ensure that lifestyles and goals are sustainable. A holistic approach to planning for retirement is no longer a luxury, but a necessity.
“There are a few secrets of success,” Ms Curtain said. “Those who plan early for financial security, start making the social transition as soon as possible, who approach retirement with an active mind and body, and who embrace their retirement as an opportunity, will have an excellent chance of a fulfilling and satisfying experience.”