Which is exactly where the problem comes in with retirement. There are not specific, well-known or easily recognizable earmarks that define when they are “there.” No big marquee, welcome center, or ocean that signifies they have arrived and it’s time to unpack. That nebulous nature of retirement can be one of the factors that holds people back from retirement.
Which means advisors have to be the ones providing those guideposts—the familiar stops along the way, list of things to see and do, where to stay, and what to look out for.
So, advisors can start by telling clients that being nervous or anxious about the transition is a good first sign. It suggests that they are thinking things through and not just assuming it will all magically work out.
But that alone can feel cliché, sort of like, “The first thing in recognizing you have a problem is admitting to it.” Which makes the next step of validating those concerns so important. Fact is, retirement is one of the top 10 most stressful events in life. Simply acknowledging that with a client provides credence to their feelings and enables them to see the benefits of developing a retirement plan that goes beyond just the numbers.
One easy way to engage clients on their non-financial topic is to provide a monthly blog or newsletter on the topic. Each month I send clients a newsletter that contains both a stock market summary as well as a more personal aspect of life in retirement. To be honest, people read and appreciate that portion of the newsletter more than my market recap and overview. I know this because a majority of my clients want to talk about those articles when they come in rather than portfolio performance. If you’re interested in seeing a sample newsletter, just let me know.
The benefit of the monthly articles is that I can provide guideposts for them along the way by hitting on topics that are important to them and their well being. For example, what to do when you’re bored in retirement, how to avoid the dark side of retirement, saying “no” to adult children, starting a retirement business, why part-time work doesn’t always work and the list goes on. In a nutshell, anything a client may be thinking or wondering about serves as an ideal topic.
In addition to this, I have a staple of books and articles I use as resources when clients come in. While some clients may not read the article or book right away, it’s the act of giving them a source, solution or tool that adds value, especially when they finally decide to go through it.
Overall, what we have to realize as a financial professional is that we are one of the most trusted people in our client’s lives. They have given us almost everything they have worked for from a financial perspective and are not only interested in your opinion on that but also other aspects of life after work. Therefore, we have to be prepared with more than numbers or simple words when clients ask, “Can I retire yet?”
One thing I forgot to share about the travel survey I mentioned earlier, is that it found that 78% of those surveyed revealed they have very fond memories of family road trips over the years. As financial professionals, we should be seeking to hit similar or even higher numbers in helping clients have fond memories of their transition.
Robert Laura is a best-selling author, nationally syndicated columnist, and president of Wealth & Wellness Group. He is a seasoned conference speaker, corporate trainer, and pioneer in “The New Era Of Retirement” which focuses on the non-financial aspects of life after work. He can be reached at [email protected].