Retirement risks

[FinallyRetired]

From the Society of Actuaries, here is a pretty comprehensive list retirement risks and commentary on how to manage them. There's a lot of stuff here, makes for good reading:

Longevity Risk
Inflation Risk
Interest Rate Risk
Stock Market Risk
Business Risks
Employment Risk
Public Policy Risks
Unexpected Health Care Needs & Costs
Lack of Available Facilities or Caregivers
Loss of Ability to Live Independently
Change in Housing Needs
Death of a Spouse
Other Change in Marital Status
Unforeseen Needs of Family Members
Bad Advice, Fraud or Theft

http://www.soa.org/files/pdf/post-retirement-charts.pdf

 

[freebird5825]

Excellent link, TY
Listmakers like me will benefit from this as a guide for "what did I not think about?"
dh2b has a minimum of 10 years to go until retirement. I have been loosely doing some planning for him, the "here and there" method.
Now I have a checklist to follow.

 

[DayDreaming]

The phrase Longevity Risk always sounds wrong to me since the real risk is not living a long time, but living longer than you plan to. And of course no one can plan to die at a certain time... er, um, I mean no one really should do that!

 

[FinallyRetired]

The phrase Longevity Risk always sounds wrong to me since the real risk is not living a long time, but living longer than you plan to.

Maybe the whole list should be called "retirement challenges" instead of "retirement risks." That's how we would have addressed this issue when I was at w*rk, then put it aside

The value of this list is identifies some areas that we may not have thought through enough, or at all. For me, "Lack of Available Facilities or Caregivers" and "Unforeseen Needs of Family Members" is one area in which I hadn't done enough planning until I was confronted with elder care. Fortunately, every other item on the list is one that I've at least considered, even if it remains a [-]risk [/-]challenge.

 

[MasterBlaster]

he missed a couple of items

Fullfillment risk
Will I be bored risk
Will people still laugh at my jokes now that I am no longer the boss risk

Quote of the day -

In retirement don't schedule your haircut on the same day as you cut the lawn.

 

[Independent]

It's a good check list - definitely a good place to start for a lot of people.

(but I like MasterBlaster's additions)

 

[riskaverse]

While the list looks a little short to me (even including MasterBlaster's additions), I'm not exactly thrilled at seeing them all together. I'm beginning to feel paralyzed.