This Advisor Plays Travel Agent To Prepare Clients For Retirement

When Al Zdenek, a wealth advisor with Traust Sollus Wealth Management in Manhattan, first started offering travel arrangement as part of his advisory practice more than 20 years ago, it was to develop a deeper relationship with his high-net-worth clients so they could discuss topics beyond politics, pension plans and stock market returns.

“Why wait until you're in your 50s or 60s to see Rome and have experiences in life?” Zdenek asks. “I help them make leisure a part of their lives now.”

According to a UBS study, 57% of retirees experience an initial shock after quitting their jobs or careers. So advisors are starting to help clients explore outside interests in advance of their golden years. Zdenek’s work organizing trips for his clients is part of that trend.

“Part of my job is making them aware that there’s another part of life to enjoy and other areas to develop other than a career so that they can experience what it’s like to take it easy over time,” says Zdenek, whose clients’ net worth ranges from $5 million to $20 million.

Most individuals look forward to the day they no longer have to report to an office, but few are prepared for a direct plunge into a life with no work.

“Baby boomers have been known for 'living to work,' having been focused on their careers for so many years,” says Paula Polito, a client strategy officer with UBS Wealth Management Americas. “Even once they achieve financial security, their emotional attachment to work keeps many boomers on the job.”

Many wealthy pre-retirees say fear of missing colleagues keeps them from quitting their jobs and entering the retirement phase of their lives. A whopping 64% expect to miss their work schedule more than their salary, and 34% worry about filling the hours of free time.

“As many of them look toward retirement, they need to start working on living and figuring out how they will fill their time and find their purpose once they leave the workforce,” Polito says.

Zdenek provides his clients with lists of favorite restaurants, places to see and things to do abroad. Eventually, this extracurricular, no-fee service evolves into booking hotel rooms, making dinner reservations and organizing tours.

“Financial planning is not just about money,” he says. “It's about how a person likes to live and how they want to develop personally, which is the fun part for me when their personal interests include traveling abroad.”