Today's Wall Street Journal weekly Clements' article is about improving odds of a happy retirement. He has seven pointers gleaned from "happiness research" by economists (?). Some are common sense, some are debatable, but to summarize:
1. Value your time. Clements says that people become more and more unhappy as they get older, with unhappiness peaking in the 40s, and then people get happier. The theory is you are happiest when you have more time and more freedom and control over your daily life.
2. Think ahead. Clements says those who plan their retirement are usually happier than those pushed out of the workforce.
3. Expect less. Clements says researchers have found that greater income and wealth lead to greater happiness, but what is most important is relative wealth, including your wealth relative to your expectations. What matters is the gap between what you have and what you think you ought to have.
4. Pick your neighbors. People care about how their standard of living compares to their neighbors, so don't move to a neighborhood you can barely afford.
5. Buy yourself income. Retirees who receive traditional company pensions are happier than those with only their own savings plans, like 401(k) plans, probably because of the sense of security which comes with a guaranteed, predictable income. Clements suggest using some of your assets to buy an immediate annuity if you are in good health to provide a "guaranteed" stream of income.
6. Work at retirement. One economist found that working in retirement seems to increase satisfaction. However, retirees are less satisfied is they aren't working, but their spouse is.
7. Invest in friendship. Research suggests that seeing good friends will make you happier than having material things.
1. Value your time. Clements says that people become more and more unhappy as they get older, with unhappiness peaking in the 40s, and then people get happier. The theory is you are happiest when you have more time and more freedom and control over your daily life.
2. Think ahead. Clements says those who plan their retirement are usually happier than those pushed out of the workforce.
3. Expect less. Clements says researchers have found that greater income and wealth lead to greater happiness, but what is most important is relative wealth, including your wealth relative to your expectations. What matters is the gap between what you have and what you think you ought to have.
4. Pick your neighbors. People care about how their standard of living compares to their neighbors, so don't move to a neighborhood you can barely afford.
5. Buy yourself income. Retirees who receive traditional company pensions are happier than those with only their own savings plans, like 401(k) plans, probably because of the sense of security which comes with a guaranteed, predictable income. Clements suggest using some of your assets to buy an immediate annuity if you are in good health to provide a "guaranteed" stream of income.
6. Work at retirement. One economist found that working in retirement seems to increase satisfaction. However, retirees are less satisfied is they aren't working, but their spouse is.
7. Invest in friendship. Research suggests that seeing good friends will make you happier than having material things.
![:-\](https://www.early-retirement.org/sk/forums/images/smilies/undecided.gif "Undecided :-\")
