Reflections on Retirement and Financial Planning: A Life's Journey

As I reflect on my life, I have spent nearly four decades actively planning for retirement. The journey began in the 1980s when it became clear that the State pension would not be enough. I took proactive steps to build a robust financial foundation through superannuation. Over the years, as my career progressed, I was able to allocate a significant portion of my income towards this goal. In 2022, at the age of 64, I retired, having diligently saved and planned for my future.

A Journey of Adversity and Triumph

My retirement was not the end of my financial journey but rather a new chapter filled with unexpected twists and turns. At the age of 60, my life took an unexpected turn when my husband passed away. He had kept up his 30-year term life insurance policy, which made me the beneficiary of a substantial sum of money. With this, I paid off our mortgage and any other outstanding debts, such as the tractor and credit card balances. Additionally, I retained a smaller life insurance policy to earn interest over time.

Age 62 - A Bittersweet Inheritance

Right around 62, my parents passed away within a span of four months, adding another significant lump sum to my inheritance. I wisely invested this money into a taxable brokerage account and several long-term certificates of deposit, earning a steady 4% interest. This period marked a transition in my work life as I continued working full-time while growing my financial stability.

Age 64 - Providing Care and Planning

By the time I was 64, I took an early retirement to provide care for my older bachelor brother. This came with its own financial planning considerations, including the inheritances from my brother. One of these inheritances was an inherited IRA, which I chose to leave alone to allow for tax-free accumulation. Additionally, I took out two term annuities to earn another 4%. Officially retired now, I applied for my late husband's "Survivor's Benefits," which were just slightly less than my own Social Security benefit.

As I move into my seventh decade, I am still retired but have plans to maximize my Social Security benefits when I reach 70. This timing will provide a significant increase in my monthly income. Part of my current portfolio includes a 401K, two annuities, four large CD's, interest-bearing life insurance, and an inherited IRA. Additionally, I have a taxable brokerage account and savings and checking accounts, making me financially secure while reflecting on the essential aspects of life and the people I lost.

Conclusion: Embracing Life After Retirement

Despite the financial security I have built, my loved ones are no longer with me. While it is unfortunate, I am grateful for the financial resilience and independence I have achieved. My passion now lies in the fields of coaching and helping others pass on the invaluable lessons I have learned. Instead of retiring on a cushion, I continue to engage in physical activities, teach, and mentor, finding fulfillment in these roles.

My journey is a testament to the importance of proactive financial planning and the unforeseen challenges that life can bring. Whether one is retiring at 64 or later, the key is to be prepared and to find joy in the path that lies ahead.

Keywords: retirement planning, financial independence, life insurance, inheritance planning, post-retirement