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FPALA – December 7, 2017

INTERACTIONSTransformative Coaching and ConsultingDevra Korwin, Principal

FINANCIAL COACHINGFINANCIAL COACHINGThe Critical Non-Financial

Aspects of Retirement

LIFE TRANSITIONS Caused by Change or Loss,Chosen or Thrust Upon You

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INTERACTIONSTransformative Coaching and Consulting

WHY COACH? People engage in coaching for many reasons: a new career path, a

challenging situation, a healthcare issue, increase self-motivation,enhance interpersonal skills, manage job performance, “ace” aninterview, live a more balanced life, transition from job to retirement orreinvigorate retirement.

WHAT IS IT? Certified Professional Coach partners with the client, with a contract, to

identify and clarify goals and tackle obstacles using pragmatic and compassionate skills and processes (education, resources, assessments, action plans) that support clients with empathy, integrity, encouragement, insight, business acumen, candid observations and confidentiality. The coach provides guidance, helps clients stay accountable, employs a standard of Ethics; renews CEUs.

TRANSFORMATIVE COACHING

EMOTIONAL, INTELLECTUAL, PSYCHOLOGICAL AND PHYSICAL

CHALLENGES OF CHANGE

FINANCIAL PLANNING

FINANCIAL PLANNING ICEBERG

PRIMARILY IN AWARENESS

PRIMARILY OUT OF AWARENESS

…frustration, procrastination, fatigue, boredom, low self-esteem, poor health…

LIFE PLANNING

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LIFE PLANNING - transition from work to retirement.

Adjustments from work life: Loss of work identity and the perks that accompany it Loss of work socialization Loss of a familiar work schedule Adjustment to personal and family life Choice of leisure and social preferences Outlook on health and aging Individual development and self-actualization Prepare for an existence that is meaningful & fulfilling

“"Instead of absorbing an obsolete view of retirement, you should consider...a flexible LIFE PLAN that provides for your financial, vocational, physical, emotional and spiritual needs. Unless you look at your future holistically, merely saving up a pile of money will not be satisfactory."

John F. Wasik, Author – The Late-Start Investor

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Old Definition: Retirement = ENDING Relief from work, prolonged vacation No schedules, no more decisions Passive existence“New Retirement”: Informed choices Advanced planning beyond financial Not retiring FROM something but TO something Continuous fine tuning

Retirement not viewed as an ending, but as atransition to a new and fulfilling phase of life!

TIME TO RETIRE OLD DEFINITION OF RETIREMENT.”

No ONE Retirement Model

Different things to different people: Emphasis on rest and fun Expanding personal growth Travel experiences Career change Consulting Fulfill a vocation or hobby Educational courses; Advanced degrees; Certifications Sports Volunteering Deeper spiritual involvement Continuing to work in some capacity Opportunity to pursue a dream, a curiosity, a passion

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Baby Boomers are Transforming

R Retirement

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TCRS

10,000+ individuals retiring daily

Increased life expectancy by 30+ years

Retirement can last longer than your primary career

Retirement affects marriage, partner and family life.

Mental Health Challenges: Drug and Alcohol Addiction; Depression, Divorce

RETIREMENT DEMOGRAPHICS

GENERATIONAL CATEGORIES:

VETERANS (Born before 1946; 71 + yrs.) Veterans appear to be comfortable with retirement. Tend to set

up a different streams of income. Increased longevity, uncertainty of the economic climate and

unanticipated expenses, may create hurdles in the future.

BOOMERS (1946 – 1964; 53 - 71yrs.) Account for more than 50% of discretionary spending power in

the economy and control more than 75% of ALL financial assets. Target retiree market.

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RETIREMENT DEMOGRAPHICS

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GENERATION X (1965-1980; 37 - 52 yrs.) More than half Gen X expect to self-fund with 401(k)s, 403(b)s or IRAs. More than half Gen X plan to work beyond 65 and don’t plan to retire.

MILLENIALS (1981-1994; 23 - 36 yrs.) 62% are saving more than 5% of pay for retirement. Two out of three Millenials say they are likely to change jobs if it

means getting better retirement benefits or better recognition.

MILLENIALS X; Gen Z (Born 1995 and later)

Connect with a Certified Financial Planner for financial advice and a professional insurance agent for insurance advice.

Your perspective about money began as a child and may still be influencing your decisions today.

When you get clear about what is most important about money to you, you are more likely to make decisions that are in line with your values.

Couples are not always on the same financial page, so this is an important conversation to have in preparing for retirement.

advice

FINANCIAL PERSPECTIVEWhat is your perspective about money and how will it influence your retirement?

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CHANGE VS TRANSITION

It isn’t only the changes that affect you; it’s the transitions. Change is not the same as Transition.

Change is situational: new life style, new location, new technology, new career, new boss…

Transition is the psychological process people go through to adjust to the new situation.

Change is external, Transition is internal.

William Bridges“Managing Transitions”

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CHANGE VS TRANSITION

It isn’t only the changes that affect you; it’s the transitions. Change is not the same as Transition.

Change is situational: new life style, new location, new technology, new career, new boss…

Transition is the psychological process people go through to adjust to the new situation.

Change is external, Transition is internal.

William BridgesManaging Transitions

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PROCESS OF CHANGE

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Present State(solid) Transition

(unstable)

Future State(solid)

Unfreezing(Endings)

Refreezing(Beginnings)

Neutral Zone

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SPEED OF CHANGE

PEOPLE ADAPT TO CHANGE AT THREE SPEEDS:

Physical - time it takes a person to comply with the behavioral requirements of the change

Intellectual - time it takes for a person to comprehend why the change has taken place or was necessary

Emotional - time it takes for a person to feel comfortable with the new desired behaviors and circumstances

Fastest

Slowest

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PARADIGM SHIFT

….the way an individual perceives, understands, and interprets their surrounding world. A mental map.

….it happens when an individual sheds old ways of thinking, attempts to apply new information and incorporates a new point of view.

….it demands a change in skills, perception and an acceptance of a new process...

PARADIGM SHIFT

CHANGE ACCEPTANCE CYCLEF. Nickols

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TRANSITION VS CHANGE

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Unless Transition occurs, Change can be difficult.

The starting point for Transition is not the outcome; but the closure that you will have to make to leave the old situation behind.

William Bridges“Managing Transitions”

BEHAVIORIAL ASPECTS OF RETIREMENT (AARP)

Driven Achievers – still feel at the top of their game. Tend to be workaholics, even in retirement. 50% feel financially secure. Even when volunteering tend to take on leadership roles.

Caring Contributors - seek to give back to the community. Work for non-profits as unpaid volunteers. 50% feel financially secure.

Life Balancers - want to keep working for social connections; also need income. Want work that’s fun, not stressful and part time.

Earnest Earners - need income from working to pay bills. Frustrated -regret having to work at this stage in their lives. Don’t feel they’ve saved adequately for retirement.

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CAREER AND WORK BENEFITSDoes retirement mean stopping work?

82% expect to or are already working past age 65 or do not plan to retire.

These individuals don’t necessarily want to do the same work as before, and may instead pursue work that connects with their soul or passion.

Often, this means that they will need to take time to think about what’s next for them.

There are five significant benefits of work, and if the individual doesn’t have a plan to replace these benefits, or is taking all of their identity from work they will often delay retirement, or it will make the transition to retirement more difficult.

The Benefits of Work:

Financial Compensation

Time Management

Sense of Purpose

Status

Socialization

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Retirement is a time when personal development and self actualization can take on more meaning.

Some find meaning by pursuing a purpose, a passion. It could be helping others, gaining new knowledge, learning a new skill…

We are inherently lifelong learners; learning something new helps to stay active and involved.

There are many benefits to continued learning and development: Provides & supports a passion/interest Stimulates new interests Keeps up involvement Meet new and interesting people Exercises the brain Offers new perspectives

PERSONAL DEVELOPMENT

To live a meaningful life:

Know where you are going

Have dreams

Believe change is positive and adds meaning to your life

Feel that you are part of a larger whole

Photo Credit: Wikimedia Commons

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“ My mission in life is not merely to survive,

but to thrive;

And to do so with some passion, some compassion,

some humor, and some style.”

Maya Angelou

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How will you find connectedness in retirement?

Relationships are an essential component of our lives and become increasingly so in retirement.

As retirement is all about change; it’s important to recognize how it impacts our relationships.

Typical relationship changes: Relationship dynamics with spouse/partner Relationship dynamics with family, friends, or former co-

workers Relationship dynamics with adult children returning to

the home Relationship dynamics with grandchildren and how to

stay connected

RELATIONSHIP DYNAMICS

“Sandwich Generation”; Baby Boomers taking care of both children and aging parents.

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What leisure interests have you had in the past that you would like to renew in retirement?

We tend to gravitate towards one or two leisure preferences but it is important to recognize that we have needs in all six categories of leisure.

Travel and hobbies can provide many benefits such as a new perspective, personal growth, as well as fun and enjoyment.

Where will I live in retirement? This is the second most important question that is asked in retirement planning. There are many options, so think outside the box!

LEISURE AND LIVING Categories of Leisure:

Social Interaction

Spectator Appreciation

Creative Expression

Intellectual Stimulation

Physical Exercise

Solitary Relaxation

Photo Credit: Pixabay

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How can we thrive, not merely survive in retirement?

We are each responsible for the care and maintenance of our body and mind.

There are seven health practices that serve as the foundation for wellness: Avoid tobacco use Proper nutrition Positive response to stress Sufficient sleep and relaxation Maintaining ideal weight Moderate use of alcohol Sufficient exercise

These attributes become increasingly important as we age and transition to retirement.

Another component of wellness is vitality, which is defined as allowing you to express the uniqueness that is you. Since vitality is a personal concept, we each pursue it differently.

WELLNESS

Well = Physical Well-Being

Wise = Mental Wellness

Whole = Personal Meaning

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TRANS-CENDENCE

MASLOW’S HIERARCHY OF NEEDS

RETIREMENT SUCCESS FACTORS

1. Work Reorientation

2. Attitude Toward Retirement

3. Directedness

4. Health Perception

5. Financial Security

6. Current Life Satisfaction

7. Projected Life Satisfaction

8. Life Meaning

9. Leisure Interests

10. Adaptability

11. Life Stage Satisfaction

12. Dependents

13. Family & Relationship Issues

14. Perception of Age

15. Replacement of Work Function

The Retirement Success Profile™Identifies personal strengths and areas of focus across 15 success factors that closely affect retirement planning and transition.

Across each of these factors, the Retirement Success Profile™ measures:

Expectation

Present Behavior

Variance(Includes “The New Retirement” e-book)

© C i h C P I i l LLC

RETIREMENT SUCCESS PROFILE™

7. PROJECTED LIFE SATISFACTION: The degree to which you view personal success, achievement, contentment and peace in the retirement phase of your life.

The Retirement Success Profile© (RSP) Scores10 20 30 40 50 60 70 80 90 100

E Score: __________________________________________82PB Score: _______________________________64

The E-score 82 indicates this factor is of uppermost value for overall retirement success. The PB-score of 64 indicates a need to focus and explore this area. Suggests a concern about the potential for a fulfilling and satisfying life style in retirement.

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DiSC DIMENSIONS(Varying Degrees of Intensity)

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INTERACTIONSEffective Communication

The Retirement Success Profile© (RSP) Scores

15. REPLACEMENT OF WORK FUNCTION DEFINITION: The degree to which you have planned to replace or project that you can replace.

10 20 30 40 50 60 70 80 90 100 E Score: _______________________________________________97PB Score: ___________30

The E-score of 97 indicates that this factor is of uppermost value for your overall retirement success. The PB-score of 30 indicates a big discrepancy. It’s important to have this information at a time in your life when some changes or shifts may be possible.

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BELOW THE WATER LINE: Consideration of the client’s real life in the context of financial

planning Integration of the client’s money into their lives Helps discover, clarify and refine retirement goals and

objectives Encourages self-discovery of values and priorities Elicits strategies and solutions Offers a collaborative approach Requires interpersonal communication Engenders trust

FINANCIAL ADVISOR PERSPECTIVE

Retirement is a very personal thing.

There are no “cookie cutter” approaches.

The “New Retirement” is not an ending but

a new beginning, an opportunity to create a

meaningful existence and the start of a new

life journey of expanded proportions.

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Individual Coaching Tandem Coaching Workshops: clients, organization Blogs, Newsletters, Websites Presentations: Transition and Retirement Emotional Intelligence Gender Communication Career Change Strategic Planning Interpersonal Skills: Assertiveness, Body Language,

Listening and Responding, Behavioral Styles

INTERACTIONSTransformative Coaching and ConsultingDevra Korwin, Principal

CONTACT INFORMATION

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You can contact me for a free ½ hour consultation.

Devra Korwin323-650-4479323-630-2302dk@devrakorwin.comwww.dk-interactions.com