That’s not the most politically correct way to start a retirement article but I’m sick of being nice about it. I’ve often said that your health is your real wealth and that one of the best ways to make a smooth transition into the next phase of life is to be mentally and physically prepared. However, time and time again I get calls from clients or comments from readers and they all point back to one basic concept: belief: I don’t care how much money you have, if you’re not healthy (in body, mind, and spirit) it won’t matter.
I recently received a call from a retiree who needed to adjust his withdrawals to help cover a new set of prescriptions. Turns out, he was cutting his pills in half to save money and as result will now be paying twice as much as the original script to manage his health risks.
Another client was in need of funds to help cover co-payments for a hip and knee replacement. Her added weight in retirement combined with years of inactivity leading up to that point left her feeling like there was with no other option than surgery. Years of failed diets and exercise routines left her body and savings at risk.
In a third situation, a client called and vaguely asked if we could just meet to talk about some things. During the conversation he revealed several threats from his spouse which left him wondering if she would divorce him and how such a move would impact their financial situation.
I wish I could say this only comes up once every couple of years, but it’s all the time and primarily stems from people not taking care of themselves, and their relationships, along the way to retirement. People wrongly assume that extra time and fewer stresses in retirement will automatically create the energy and motivation they need to turn their health around but it’s not that simple.
Now this isn’t to say that those with certain conditions, genes, or family health histories can avoid some health related costs… or that everything magically goes away if you eat smaller portions and work out for 30 minutes a day. But it’s time for the financial services industry and individuals to put health on the same level with preparation for retirement wealth.
New and soon-to-be retirees can start down this path by re-imagining how the relationship between their health and wealth should work. As an analogy, consider what an airline stewardess instructs passengers to do when the plane malfunctions. When the masks drop, you’re told to fasten your mask first, then help those around you. In a nutshell, if you’re dead, you can’t help others… and the few seconds it takes to secure your mask won’t be the reason someone next to you doesn’t make it.
Too often people are putting masks on other parts of retirement instead of managing their own well-being first. They get consumed with the financial stuff, over focusing on the dollars and cents and neglecting the mental, social, and physical aspects. Then, all of a sudden, they’re gasping for air in these areas and the retirement they worked so hard for, slowly slips away.
A second step is to surround yourself with the right people. Retirees are quick to talk about how great their advisor is at growing their wealth, how helpful their accountant is at reducing taxes, and how brilliant their attorney is at making sure future generations are taken care of. But what about the professionals you may need in other areas of retirement? What about:
- A nutritionist to help you fine tune your diet and boost your energy levels
- A personal trainer to help shed a few extra pounds and help you feel younger
- A therapist to help you sort of your love language and reconnect intimately
- A spiritual leader to help rediscover your faith or purpose beyond the here and now
Yes, a successful retirement can include an advisor, accountant, and attorney, but your relationship with them may not last as long as you like without the other players as well. Investing for retirement starts with a healthy you! You can save all the money you want for retirement but it may not matter if you’re not taking care of yourself.
Let me assure you, running out of money in retirement is nothing compared to running out of family, friends, & good health.
Article by Robert Laura via Forbes