Living Richly

5 Ways to Enjoy Your Retirement Savings While You’re Alive

Retirement is often painted as the golden years when you finally get to enjoy the fruits of your labor. However, many people find themselves hesitant to spend their hard-earned savings, fearing they might outlive their resources or leave nothing behind for their heirs. But what if there’s a way to enjoy your wealth now, making memories with your loved ones while ensuring a comfortable future?

Enter the philosophy advocated in “Die with Zero” by Bill Perkins, which encourages people to spend their money strategically, focusing on experiences and relationships rather than hoarding it for the unknown future.

Here are five practical ways to enjoy your retirement money while you’re still alive:

1. Create a “Joy Bucket”

Inspired by the “Joy Bucket” concept from “Die with Zero,” allocate a portion of your retirement savings specifically for spending on experiences and making memories. This could include family vacations, milestone celebrations, or pursuing hobbies you’ve always dreamed of. By earmarking funds for enjoyment, you’re giving yourself permission to indulge guilt-free.

According to a survey conducted by Merrill Lynch, 85% of retirees who spent money on experiences found it significantly improved their quality of life.

2. Invest in Family Bonds

Money spent on strengthening family bonds and creating lasting memories is never wasted. Plan regular family gatherings, outings, or vacations where you can reconnect and share experiences. Whether it’s a weekend getaway, a special dinner, or a multi-generational trip, these moments enrich your life and create a legacy of love and togetherness.

One way that families can create bonds is by passing down stories and sharing memories. The art of storytelling is a powerful way to share not only your stories but those of your parents and your lineage, history, and traditions. You could host Stories on Sundays and invite your family over for dinner while you take turns sharing family or childhood stories and memories. You could even create a book to compile your stories to give to your children and grandchildren that they can read at bedtime or have as a keepsake to share now. Another way to pass on traditions and to create memories is to teach your children and grandchildren family recipes and to make them together.

At Goodwin Investment Advisory, we have a guide to help you create a legacy will. A legacy will includes much more than the sum of your assets and possessions – your legacy is the impact you make on those who outlive you. This is your chance to really think about how you want to live in the lives of those you love. Planning your legacy gives you the opportunity to intentionally decide how you will leave your mark on your loved ones, your community, and the world. A Legacy Will goes beyond the traditional Last Will & Testament to include all of the important things beyond the dollars and cents that you want to instill and pass down to future generations. It can include things like family recipes, generational stories, family values, philosophies, family traditions, important causes and charities, favorite quotes, funny stories, wisdom, advice, and more.

Use this workbook to guide you in creating your Legacy Will.

Research published in the Journal of Family Psychology suggests that shared experiences contribute to greater family cohesion and satisfaction.

3. Support Causes and Charities

Use a portion of your retirement funds to support causes that are meaningful to you. Whether donating to local charities, volunteering your time, or funding initiatives that align with your values, giving back can bring a sense of fulfillment and purpose. Knowing that your money is making a positive impact can be immensely rewarding. Check out our video blog by Tim Goodwin, which explains eight reasons you might want to consider opening a donor-advised fund (DAF).

According to a study by Fidelity Charitable, 87% of retirees who give to charity report feeling happier and more fulfilled in retirement.

4. Travel and Explore

Retirement offers the perfect opportunity to satisfy your wanderlust and explore new destinations. Whether ticking off items from your bucket list, embarking on a cruise, or immersing yourself in different cultures, travel broadens your horizons and creates unforgettable experiences. Consider joining group tours or travel clubs to meet like-minded individuals and share adventures. Check out our blog titled, “All Aboard! A Guide to Planning for Retirement on a Cruise Ship.” or “Where Will You Retire? Top Places To Retire.”

Research from the Global Coalition on Aging reveals that travel has numerous health benefits for retirees, including reducing stress, boosting cognitive function, and promoting overall well-being.

5. Invest in Lifelong Learning

Invest in lifelong learning opportunities to keep your mind active and engaged. Whether you take up a new hobby, enroll in classes or workshops, or pursue a long-held passion, continuous learning enriches your life and keeps you intellectually stimulated. Explore online courses, community education programs, or local universities for various learning experiences.

According to a study by the University of California, engaging in mentally stimulating activities in retirement can help prevent cognitive decline and enhance overall cognitive function.

In conclusion, retirement is not just about saving for the future; it’s about enjoying the present and making the most of your wealth to create meaningful experiences and lasting memories with your loved ones. By adopting the principles outlined in “Die with Zero” and incorporating these practical strategies, you can live richly and fully embrace the joy of retirement.

Please contact us to discuss these concepts so that we can work with you to design your unique retirement plan.

References:

• Perkins, Bill. “Die with Zero: Getting All You Can from Your Money and Your Life.”
• Merrill Lynch. “Leisure in Retirement: Beyond the Bucket List.”
• Journal of Family Psychology. “The Experience of Family Leisure for Families With Adolescents.”
• Fidelity Charitable. “The Future of Philanthropy: 87% of Retirees Who Give to Charity Report Feeling Happier.”
• Global Coalition on Aging. “Destination Healthy Aging: The Physical, Cognitive and Social Benefits of Travel.”
• University of California. “Cognitive Activity and Cognitive Aging: A Selective Review.”

Disclosure:

The thoughts and suggestions provided are based on our perspectives and may not be applicable to your specific situation or your unique requirements. The potential personal benefits mentioned above are not guaranteed, just as we cannot guarantee any future investment performance. GIA does not receive any cash or non-cash compensation from the sources for including the quotes above. Please contact us if you have any questions about this.