How To Choose Fulfilling Pursuits After Retirement

Retirement is the time to stop settling for less and start pursuing your passions. Freed from most responsibilities, this phase of life is the best time to relax , fulfil one’s personal goals and tick off that bucket list!
Oct 2022
3 mins read
Now, if your goal planning or investment planning is in place, pursuing your passions and leading an active retired life becomes much easier, especially if your personal finances are in good health. Once you have a proper retirement corpus with which to manage expenses, your priority is to ensure that your funds last long enough to meet your daily and emergency expenses. To ensure that there’s never a shortage of funds, you should consider further investment planning to utilise the returns earned and ensure a steady flow of income.

When planning investments to fulfil your post-retirement dreams, allocate your assets after considering your risk-taking ability. If you are just starting, take a conservative approach; if you already have multiple sources of income, go for an aggressive approach.

Here are 5 considerations to make while deciding how to fund your post-retirement pursuits:

● Identify your retirement goals
Choosing when to retire offers a sense of control. If your personal finances were planned well, you may be able to decide when retiring would be ideal.
Your financial and lifestyle situation will change post-retirement. You won’t be working full-time anymore. Moreover, you won’t be earning a fixed salary either. Hence, there may be a shift in your sense of purpose.
Use these factors to guide you when deciding on your retirement goals. For example, if not working makes you feel unproductive; you may want to choose a more active social life to bridge that gap or get more involved in your local community. 
Goal planning for your retired life helps you look forward to the future and keeps your enthusiasm intact. Avoid ambiguous goals such as being happy or taking care of children. SMART (Specific, Measurable, Achievable, Relevant, and Time-bound) goals such as buying a house in your hometown in the next 5 years or joining classes to learn a new skill within the year, are more ideal. Your goals can be short, medium, or long-term, for example, paying off loans (short-term goal), funding a new hobby (medium-term) or building a house (long-term).
Estate planning should also be a priority during this time. You should plan how to distribute your wealth and assets, for the time when you are no longer around.

● Plan your income sources after you retire
Once you have your goals in place, you will need to plan how you would want to fund them. Since you won’t have a fixed salary to depend on, you will need to plan your sources of income, especially if you do not have a pension.
You may want to engage in a side business to keep earning after retirement. Blogging is a contemporary profession that suits many people post-retirement. If you have a passion for writing, you can consider starting a blog on a subject that you have expertise in. You can earn money from sponsors by advertising their content on your blog.
Consulting is another great way to build a fund to fuel your pursuits post-retirement. You can monetise the knowledge and skill gained in your younger years by offering it as a consultant. You may also choose to freelance in a field of your choice to ensure a steady flow of income.
Investing in market linked mutual fund investments may also be a profitable source of income. Investing in equity mutual funds can help you meet the expenses you need to fund your passions. If you choose to set up a Systematic Withdrawal Plan (SWP), you can withdraw a fixed amount of money at regular periods ¬ monthly, quarterly, or annually.

● Stick to a fixed schedule
After retirement, you are likely to have a lot of free time. If you are used to your hectic work days, this may seem overwhelming at first. Having a fixed schedule can help overcome this feeling and make you look forward to your day. Incorporate your work and leisure activities into a daily rhythm in order to retain a positive mindset, keep yourself occupied and make your days more purposeful.

● Choose activities that help you remain physically, mentally, and financially active
Retirement does not mean you will have to press pause on an active lifestyle. Engaging in a sport or planning a trip will help you stay physically and mentally active. Similarly, post-retirement you should not be pausing your financial planning. Actively managing your finances is especially important at this time – stick to your planned budget, manage your income and expenses, review your financial plan regularly, plan your investments and stay on top of strategies to beat inflation and taxes.

Along with a healthy mind and body, a strong financial plan is the secret to a happy and fulfilled retired life – one where you don’t have to worry about your personal finances and can give wings to your dreams. Consult a professional financial expert who will help you to achieve this.
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