Finance and Aging

We work hard all our lives and as the years fly by, age keeps sneaking up on us.  Most of us try to ignore it, but we all want to retire, or slow down, and lead the life of our dreams eventually.  Who are we going to rely on when the time comes to retire?  Ourselves? Our company?  Pensions? The government? Are you self-sufficient enough? Have you saved enough?  And, what about our parents? We have seen unprecedented global aging over the last half-century, as many nations have plummeting fertility rates, and mounting life expectancies. In the USA, 20% of the population will be over 65 years old by the end of this decade. But, there are ways to lead a happy, long retired life!  Longevity and successful aging can be achieved by everyone, we just have to assess our situation, plan, and focus on the goal. LONGEVITY “To keep the body in good health is a duty, otherwise we shall not be able to keep our mind strong and clear.”  - Buddha How is your health?  New technologies provide great data about your everyday health.  Any wearable device for tracking your fitness like FitBit, Microsoft Band, or iWatch are great products to track your movement, and more importantly, your sleep.  Are you getting enough exercise?  Thin people live longer – proven fact (but, you don’t want to be too thin). Are you getting enough sleep?  Research is showing that sleep is extremely important to staving off neurodegenerative diseases (dementia, etc.).  Are you dreaming nightly? New research shows this is how the brain cleans out debris and replaces it with ‘good’ cells.  Note the amount of calories you burn while sleeping compared to half an hour on a treadmill. Are you hydrated?  water, water, water…. As you age, you naturally lose your desire for thirst. Keep your brain hydrated by drinking two 8oz. glasses of water within 15 minutes of waking – preferably with a squeeze of lemon or lime. How is your posture?  If you stand up straight, you look younger and healthier.  This also keeps you’re your internal organs in the proper place.  Check yourself against a wall and/or in the mirror. Are you eating correctly?  Take a month a year break from white sugar, red meat and alcohol, and you’ll be surprised at the difference it makes in your overall health and outlook.  It’s important to give your liver, kidneys and heart a chance to repair from the everyday stress and strain of today’s diets. SUCCESSFUL AGING Money – is there enough for you to live the life you’ve dreamt of?  If not, what to do?  Take a look every other year at what you’re saving and what you’re spending.  Where are you investing your money and do you have a good advisor? Is your stock/bond portfolio solid?  A home is usually a great investment, however a boat or car is usually not.  Would a reverse-mortgage work for you?  Is it offered in your country?  Are there other financial vehicles you would be able to take advantage of?  Do you have insurance for long-term care, disability and health if your country does not offer it free? Where you live can be a big factor in how you are treated and what services are offered to seniors. Can we save money by retiring in a different country?  Many countries compete for retirees, and offer tax, health and banking incentives.  Hungry won’t tax your retirement if you are part of the EU.  Mexico and Costa Rica have huge ex-pat communities of American citizens, and your dollar/euro will go further. Do you have Advance Directives?  If these are not in place, someone else will make decisions for you, especially regarding your money.  Wills, trusts, power of attorney, health care surrogate and anything else you wish must be completed and filed BEFORE something happens.  If you get dementia, it’s too late.  And, please, write down everything you can think of – I’ve seen people locked away in apartments because the person they left in charge doesn’t want to be bothered with keeping them in the lifestyle they had. Watch out for Financial Scams!  Seniors are a weak link in the fight against cybercrime.  Be sure you, your parents, loved ones and neighbors are vigilant against scammers attempting to break into their nest egg.  This is a worldwide problem and gets worse by the year. Is there enough Fun and Laughter in your life?  It’s very important to enjoy the ride to Club 99 (for those of us who make it to 99 years old).  Make sure you surround yourself with others who enjoy the same things you do – whether it’s laughter, dancing, astronomy, walking on the beach, politics or gardening. By focusing on keeping your brain strong, your body will follow and reap the rewards of successful aging!   About the author: Gwendolyn Beck has a background in finance with Credit Suisse and Morgan Stanley.  She has a Master’s in Gerontology from George Mason University, and is founder of ‘Club 99’ www.clubninetynine.com. Beck is a member of Ladies America, a Thought Partner for the World in 2050 Series.