Keen On Retirement

Organizing expert Marie Kondo encourages folks to look at their stuff and ask, "Does this spark joy?" The Swedes have a slightly less sunny spin on decluttering: döstädning, or, "death cleaning." As popularized in both a bestselling book and a Peacock reality show, death cleaning is a way for older adults to streamline their possessions so that their heirs won't have to when they're gone. “A loved one wishes to inherit nice things from you,” writes author Margareta Magnusson. “Not all things from you.” But “death cleaning” and the KonMari Method aren't just about clearing out your closets and saving your kids some hassle. Organizing your possessions and your home can have a liberating effect on how you live in retirement and how you plan for your legacy.

In a recent survey, non-retired adults told investment firm Schroders that they will need approximately $5,000 per month "to enjoy a comfortable retirement." But is that really enough? Maybe! Studies and surveys like these make for eye-catching headlines, but they skimp on the details. For example, where are these retirees planning on living? $5,000 per month is going to go a lot further in, say, Kansas City than it will on the coasts.

Here's a brief agenda that will help you cover the basics and prepare you and your loved ones for one of life's most challenging transitions.

We’ve all had a good chuckle seeing #adulting and #failuretolaunch on social media, describing the difficulty some millennials have adjusting to adulthood. But the numbers behind the hashtags aren’t funny. For the first time in 130 years, an 18-34-year-old is more likely to be living at home with his or her parents than to be living with a spouse or partner. Incredibly, 25% of adults aged 25-29 are still living at home.

On today’s show, we talk about how to introduce your young children to saving and investing, some important planning tips for young adults just entering the workforce, and how to involve your grown children in your estate planning.

Recently I talked about something that is probably hitting home hard for a lot of you right now: sending kids and grandkids off to college. My son, Devin, has started at the University of Missouri – Science and Technology, and even though Devin is my third child, practice doesn’t make this process any easier. Letting go is tough. All you can do is trust that the examples you’ve set will point your kids in the right direction.

I’ve often seen parents, who have the best intentions, provide ongoing financial support to their adult children that comes at the expense of the parents’ retirement savings. There’s a delicate balance here between our desire as parents to help our children and our need to protect our retirement nest eggs.

With all the modern comforts and services available to us, it’s really not surprising that many folks are deciding to “retire in place” and spend their golden years enjoying the familiar comforts of home. Plus today’s seniors are, by and large, healthier, more active, more connected, and more self-sufficient than previous generations. That means they’re also better-equipped to care for themselves longer before turning to alternative living arrangements, such as moving in with adult children or assisted living.

As regular readers and listeners know, I recently turned 50 and I do worry about the world that my generation is leaving behind for our children and grandchildren. If you get too caught up in chatter on cable news and social media, it can leave you feeling pretty scared and frustrated. And if you believe the stereotypes about the upcoming millennial generation, we’re leaving some pretty serious problems in the hands of kids who are entitled, self-absorbed, and incapable of handling basic adult responsibilities - or so they say.