The following is a guest post by Greg PHELPS, CFP®, CLU®, AIF®, AAMS®, a CEFEX certified fiduciary financial advisor, speaker, author, and the creator of the Wealth Summit. Greg has his own financial planning practice at Redrock Wealth Management
I came across this interesting concept the other day called the “retirement rehearsal”. Apparently, something like 50 billion dollars of vacation time goes unused – or lost – each year when people retire.
The retirement rehearsal concept is to plan years in advance of retirement to actually use those dollars to “try” being retired. It’s an interesting concept so I spent a bit of time learning more.
Over 50 billion dollars worth of vacation time is lost each year when people retire. Click To TweetThe Retirement Rehearsal
There’s an intangibility about what retirement might look like for most people. Many people think retirement is trips to Disney World with the grandkids, traveling around in an RV, and rounds of golf every day. In reality, many retirees struggle to fill the 40 hour void left by the absence of a full-time job.
The first step in rehearsing your retirement is to make sure you have a written financial plan. The retirement rehearsal is useless if you can’t go back to a written plan and make the necessary adjustments.