Over the past three years, I have had the privilege of personally assisting nine individuals in their transition from full-time employment to retirement. I believe it is essential to delve deeper into these transitions and extract valuable insights that can greatly benefit you in your own retirement journey.

Let’s begin by exploring the motivations behind these retirement decisions. Among the nine individuals, four experienced employment disruptions that compelled them to retire. One person chose to sell their business, while two others faced work situations that were negatively impacting their health. The remaining two individuals made a voluntary decision to retire, prioritizing other aspects of their lives.

While this sample size is relatively small, it is intriguing to note that only two out of the nine individuals (22%) retired without significant external influences. This finding emphasizes the importance of recognizing that you may have less control over your retirement timeline than you initially assume. So, what steps can you take to navigate this uncertainty effectively?

1. Pay attention to your surroundings: None of the individuals who experienced employment disruptions were caught off guard. They were aware of the employment landscape and had contingency plans in place to adapt to unforeseen circumstances.
2. Know your financial standing: Seek appropriate financial advice to gain a clear understanding of when you will be in a solid financial position to retire. Being financially secure can alleviate concerns about forced retirement.
3. Utilize scenario thinking: It is valuable to develop preconceived ideas about what you would do if unexpected situations arose. Interestingly, six out of the nine individuals continued some form of earned income after retiring from full-time employment. Consider what you might enjoy doing to generate additional income during retirement, should the need or desire arise.

Understanding the factors that can influence your retirement decision is crucial for effective financial planning. By acknowledging the potential impact of unforeseen circumstances and external forces, you can develop a more realistic and resilient retirement strategy. Stay tuned for a future article where I delve deeper into what these individuals did after retirement, extracting valuable lessons that can help you make informed decisions about your own retirement path.