What's the first thing you think of when you hear the word "retirement"? For some, it conjures up images of golf courses, RVs, and days spent measuring blades of grass. And for many people, especially those from younger generations, those images are enough to keep them working forever.
But Dustin and Danielle don't think retirement has to be like that. In fact, on this week's episode of Worth It, they're asking listeners to reframe their definition of retirement altogether. Then, once you have a better idea of what retirement really looks like to you, you can plan for the future you really want.
02:57 The difference that Bill Gates has made
05:31 What Oprah is doing in retirement
08:42 Why you don't need to be a billionaire to make a difference
08:58 What life in retirement can look like for you
11:01 The misconceptions of retirement
11:44 How concerns over Social Security affect this generation's perception of retirement
15:32 What you can do to prepare for life in retirement
16:09 The definition of revivement (instead of retirement)
18:03 Why people are focusing on building a legacy now
18:50 How to lay the foundation for your revivement now
21:00 The importance of exploring your interests before your revivement
25:06 How to replace income in your revivement
25:38 The importance of starting to save now (not later)
28:14 The rule of thumb for retirement/revivement savings
While there are plenty of concerns about saving enough for retirement and the possible end to Social Security, most people today just don't view retirement the same way previous generations did. While older generations worked hard until retirement and then spent their time traveling or relaxing, younger generations are taking trips, start families later, and generally doing more of what they want now rather than later. Because of this, many Millennials aren't thinking of retirement (two-thirds have approximately 0% saved for retirement!), but Dustin and Danielle want to change that.
How? By changing how you review retirement. As Danielle puts it in the episode, "Don't think about it as retirement, think about it as revivement." In "revivement," you can:
Essentially, you can do whatever you want when you hit retirement/revivement. With all that in mind, Dustin and Danielle then dive into how you can prepare for this phase of life.
In this episode, Dustin and Danielle explain the power of shifting your mindset from "doing nothing in retirement" to "doing whatever you want in revivement." But of course, doing whatever you want means that you'll need income to support your lifestyle. So how do you plan — and save — for that?
Dustin and Danielle dig into 3 ways to prepare for revivement:
If you're digging the idea of 'revivement,' you'll want to start planning for it. Savings and investments, business income, and even real estate may be able to help you collect what you need for your retirement/revivement, but there are a lot of variables that come into play. In the episode, Dustin shares his equation for finding your "revivement number" — or what you need to save up to live that work-optional lifestyle. But basically, it's:
Your Required Yearly Income x 25 = Revivement Number
For example, if you want to live on $100,000 a year in retirement/revivement, you'll need $2.5 million before you say "Adios" to work. Sound like a lot? It might be, but it's not impossible with the right plan.
Listen to this week's episode of Worth It to hear what Dustin and Danielle say about retirement, savings, and leaving a legacy. They give a few actionable tips to help you get the retirement/revivement ball rolling, as well as some things to think about for your own future.
If you want help preparing for your revivement, this is a great episode. And if you are curious about saving for "revivement" but don't know where to start, you can contact Toujours Planning. All you need to do is answer a few simple questions to see if we're a good fit for each other!
