How To Find Your Passions In Retirement

We’re all constantly searching for something meaningful to do in retirement. Some may find that a difficult task, but we haven’t much choice but to keep looking. The reality is we have a personal responsibility to move our lives forward. 

A number of life coaches have come up with recommendations for discovering your passions, and I’ve accumulated these below. Some of their ideas might seem a little wacky, but they have been found to work so you might as well consider them. And I’ve also added a few of my own wacky ideas.

Give up what you’re doing now

If how you spend your time is not satisfying, then admit some changes are needed. Otherwise you wouldn’t feel a need to find something that’s more fulfilling.

Go through a university course catalog

Regardless of whether or not you’re interested in taking a class, you might find a topic or two that draws your attention as you flip through the pages, and you can pursue these on your own.

Talk to a life coach

They can take you through the process of identifying your interests, and help you evaluate and prioritize various options.

Talk to your friends and family

They know what you like to talk about, so they have a sense of what turns you on. They can spur your thinking toward a specific field or endeavor.

Pay attention to what you do or think about

Many of the things we dwell on are usually the things we love. If you find that you lose track of time with something you’re thinking about, you’re interested and engaged, and that makes it a passion.

Think like a child

Believe it or not, many life coaches recommend this technique. Think back to the things you enjoyed doing as a kid. For example, if you loved to listen to music, take it up a level — study music at a local college or learn how to play an instrument; if you liked coloring, learn how to paint or get involved with your local art league.

Be willing to experiment

There are no bad ideas in this stage of your development process. So don’t reject something because you think it’s just not you. You might discover something about yourself. For example, I always hated dancing, so I decided to take dance lessons. I did that for about three years, and while it’s not exactly a passion, I actually enjoy it now (even though my wife still thinks I’m pretty bad).​

Shutterstock

Have the right attitude

Look at this searching process as an adventure, a chance to learn new things and grow. Don’t feel pressure to get it done right away and don’t be afraid of getting it wrong. Seeing it as a journey can make it a positive experience, and that’s motivating and helps keep you committed.

Discover recurring themes

Take an inventory of things you tend to accumulate, such as books, films, etc. If you’re watching TV or reading, what do you watch or read about? If you go to a book store, what section do you go to? You might notice there are certain themes that attract you. 

Keep a list

Write down the things that seem to strike you as enjoyable and worth pursuing. This is a work in progress, so keep adding to your list as ideas occur to you.

As I said, this isn’t easy. Discovering your passions won’t happen overnight and you probably won’t have a “eureka” moment.  That’s important to keep this in mind because a lack of initial success can lead you to quit.

But you can get there if you stick to it, and you’ll be happier and have a more satisfying life for having done so. Using time constructively is one of the surest ways to achieve emotional well-being and a sense of personal self-worth. Giving up, on the other hand, will leave you with a “life sucks” attitude and that can make you miserable, and probably the people around you.

This is just the first step. In a follow-up article, I’ll get into how you can implement your passions into action.

Visit us online today to learn more about reverse mortgages @ www.novareverse.com 

Sponsor of the SPOTLIGHT Senior Services & Living Options resource guide.  

5 Types of Home To Consider For Retirement

Tiny homes are a great way to reduce living costs in retirement, and they can often be towed from place to place. 

Figuring out where to retire might be easy for some, but for others it's a difficult decision. There are all kinds of articles about the best places to retire in the U.S., specifically in Florida, but what if the choices on these lists don't really speak to you?

It's easy to default to retiring in your house, especially if you've worked hard to pay it off over the years. But there are other options. Here are five other kinds of places you can retire, from a houseboat to a tiny home.

Houseboat. If you're looking for a serious change of scenery, retire on a houseboat. You can do this at many places in the world and opt for life on a stationary houseboat or a motorized one. The costs of buying a houseboat can range from $50,000 to $250,000 for a used houseboat or $200,000 and more for a new one.

You'll also have to factor in the cost of renting out a space at a marina, which can range from a few hundred dollars to around $1,000 per month. You'll have various other fees you wouldn't have with a house, such as boat cleaning, insurance, pumping and marina utilities. However, many people who live on houseboats find that living on the water ends up being cheaper than living in an apartment or house. Plus, it adds a little adventure to your retirement.

Marinas tend to have a community aspect among the members who also live on their docked boats. This option isn't recommended for seniors who have balance issues, are prone to seasickness or want to limit time spent in the sun.

Townhouse. Buying a townhouse is a good retirement option if you're looking to own property smaller than a house, but want more control than what a condo provides. If you buy in a community, you'll pay homeowners association fees, although they're typically lower than condo HOA fees. You might also be subjected to community rules regarding the exterior appearance of your townhome.

The plus side of this option is that, unlike with a condo, you typically own the land the townhouse sits on. You'll also likely face less maintenance than with a house, since most HOAs will cover yard care, ranging from shoveling snow to cutting grass. While you own the residence and corresponding land, you might share a wall or two with neighbors, but at least you won't have any noisy upstairs neighbors.

Retirement community. There are many kinds of retirement communities, ranging from ones that allow you to be completely independent to assisted living facilities. Opting for a retirement community doesn't mean you need medical care – some are incredibly active, with all kinds of activities, restaurants and even group classes. This is a good choice for retirees looking to be part of a close-knit community.

The average monthly cost for retirement communities is $2,765, according to a study by the National Investment Center for Seniors Housing & Care. The cost can go up to $9,000, however, for ultra-premium communities.

Motor home. Struggling to figure out where you want to settle down for retirement? Retire in an RV, and you won't have to choose. With an RV, you can travel to different parts of the country. However, you will have to consider living in close quarters with a partner, plus forgoing the community feel a stationary home provides.

RV parks and campgrounds provide electric, water and sewer hookups, and some even offer security and swimming pools. The monthly rate to rent out a spot can range from $400 to $750. The cost of an RV can be anywhere from a few thousand to a few hundred thousand dollars, depending on whether you purchased one used or new, and if you opted for all the bells and whistles.

Tiny home. Have you heard of the tiny house movement? Tiny homes are a great way to reduce living costs, and they can often be towed from place to place so you get a change of scenery. Since your living quarters will be so small, you won't have the hassle of cleaning all that space.

While you'll lack the square footage of a traditional house, the monthly payments won't be nearly as much. Tiny homes usually cost $20,000 to $40,000, and can cost as much as $80,000 with special upgrades. Consider that you'll also spend less on utilities and groceries since storage space is a bit sparse.

There are all kinds of retirement options: Retire in a tiny home in Florida? Opt for a life on the road in a high-end RV? Join an active retirement community so you never run out of things to do?

This list should make that decision a little easier to make, but it all boils down to what you're looking and what your retirement needs will be.

Visit us online today to learn more @ www.novareverse.com 

Five Retirement Dream Home Mistakes to Avoid!

Many people dream of retiring to warm weather states like Florida or Arizona and spending leisurely days golfing, fishing or walking along the beach. But those dreams can easily turn into a big retirement mistake. As great as it may feel to retire in a bucket-list destination, moving to a new home in an unfamiliar area requires a careful plan. Take care to avoid these pitfalls when relocating for retirement.

1. Don't get stuck in a location just because of its beauty or weather. Retirement home decisions must take into consideration much more than the area's scenery. "While it may seem great to live out retirement in a sunny state, it may not be as glamorous as you think," says Ben Barzideh, a wealth advisor at Piershale Financial Group in Crystal Lake, Illinois. "We've seen people move to a state and buy a retirement home, and they are bored and miserable and want to come back. They sell the home, sometimes at a loss."

Some people who live in colder climates decide they want to retire in Florida without really knowing what it's like. "They’ve never lived in Florida, don't know about the weather and the traffic, but they are in a rush to buy a house," says Dan Routh, an associate advisor at Exencial Wealth Advisors in Oklahoma City. He suggests that you go to Florida and rent for a year to see if that's a place you want to live.

Think twice before being lured in by the beauty of a rural setting. It might be "a pretty place in the woods, but far away from shopping, your doctor, kids and grandkids," Barzideh says. "Is it close to airports? In the first decade of retirement, people travel a lot if they are healthy."

Access to health care and health professionals is another important consideration. "When you age, you need access to specialists," Barzideh says. "Are there specialists within a half hour, or will you have to drive two hours?"

Determine if you will have access to the things that are important to you for an enjoyable retirement. You might not want to move to another state if being near children or grandchildren is a priority. "Some people may think their dream is to go out in the country and get space," Routh says. "Do you really want to retire to a beach house that is two hours away from the airport and family?"

2. Make sure your home is built for aging in place. A large home with lots of stairs may not be a good fit as you get older. "Make it a place that you will live in for the rest of your life – 36-inch doorways for wheelchair access, a walk-in shower," says Joe Wirbick, president and founder of Sequinox in Lancaster, Pennsylvania. "I was looking for a home in Arizona and the homes with stairs cost significantly lower. Nobody wants stairs."

If you buy a multilevel home you may end up selling it again or having to do expensive upgrades when you need more age-friendly features. "Don’t think we are invincible to our bodies aging," says Bryan Bibbo, a financial advisor at JL Smith Group in Avon, Ohio. "That's something people underestimate. They should consider a ranch-style home or a house that has a master bedroom and bathroom on the main floor."

3. Don't tie up all your cash in a house. Financial planners generally recommend against paying for a retirement home with cash. Wirbick suggests using enough cash for a large down payment, but taking out a mortgage on the property, if you can. "With interest rates where they are, I'd rather you keep your cash than dump it all into a home," Wirbick says. "If you put your cash in a home, you may not get it back out."

While many people want to enter retirement with no debt and no mortgage, sinking all of your cash into a new house means you can't use the money for other purposes. "Today people can still get a relatively low rate on a mortgage," Routh says. "You'd be better off taking out a mortgage and putting down something."

4. Consider long-term housing costs. When you buy a retirement home, you need to determine if you can continue to afford the housing costs throughout retirement. “You do not want to overburden yourself with a mortgage," Bibbo says. "Don't exhaust your resources." If you live into your 90s, you need to make sure you will still be able to afford that monthly payment.

In addition to your mortgage payment, you will probably have other monthly expenses. Remember to factor in real estate taxes, and if you are moving to a place with a homeowners association, there may be maintenance fees.

You should also have an emergency fund for real estate. "We all know life happens, whether the roof starts leaking or the furnace breaks down," Bibbo says. "Have a pool of money for unexpected and ongoing maintenance on your home or vehicle." That emergency fund should not be in the market, Bibbo says. It should be in an account that does not fluctuate in value.

Also, be prepared to manage costs as a widow or widower. When one spouse passes away, you will go from having two Social Security payments coming in to only one. If the spouse who keeps up with maintenance passes away first, you might need to hire someone to help around the house.

5. Don't forget to factor in taxes. Before moving to a new location, consider how much you will pay in taxes. You should look at real estate taxes, sales taxes and how your retirement income will be taxed. Find out if the state taxes your pension and Social Security income. Some states have estate and inheritance taxes that apply to those who plan to leave significant wealth to the next generation, while many other states have none. Pay attention to how moving to a new state could change your tax bill.

Visit us online today to learn more www.novareserve.com 

Retiring with Debt? More American's Are. Here Are Some Stratagies

DETROIT – Rhonda and Lonnie Edwards Jr. had good middle-class jobs most of their lives. He worked nearly 35 years in an hourly union job at General Motors. She had a job in Detroit Public Schools for 13 years as an attendance agent and earlier as a parent liaison. She later worked for the state unemployment agency for another 10 years. 

"We were just middle-income earners. My goal was to be debt free by the time we retired," said Rhonda Edwards, 63. 

Things didn't quite work out that way. The medical bills hit after Lonnie, now 67, was diagnosed with prostate cancer in 2007, just three years after he had taken an early retirement in his 50s.

Around the same time, their finances took a dive during the depths of Detroit's housing crisis when they had plans to move to a smaller co-op but had trouble selling their family home in the well-regarded University District in Detroit and ended up in foreclosure. 

"We had a rude awakening that something was really going bad in the economy," she said. 

More: Why Fed rate hike can drive you to pay down credit cards

More: Tompor: How car renters can protect themselves from unfair damage claims

More: Financial protection: How your money in the bank can make more money

Older Americans increasingly are discovering that retirement might not go as smoothly as brochures for retirement communities and river cruises across Europe suggest. 

Carrying a boatload of debt, facing job cuts and dealing with bad health news make it tougher to pay the bills in retirement than many expect, even long after the Great Recession officially ended in 2009. Some, such as the Edwards family, are able to eventually work through their financial struggles in retirement. But the financial curveballs can be stressful nonetheless. 

American families just reaching retirement or those newly retired are more likely to have debt – and higher levels of debt – than past generations, according to an Employee Benefit Research Institute study of debt of the elderly and near elderly from 1992 to 2006. 

About 53 percent of households ages 55 or older had some level of debt in 1998. That number climbed to 68 percent in 2016.

Why such a dramatic increase? 

"Debt has certainly become more acceptable," said Craig Copeland, senior research associate for EBRI in Washington, D.C.

Many people want more manageable payments, so they reject the idea of taking on the higher payments associated with a 15-year mortgage – and many may have bought homes in their 40s or 50s. 

"Some people have, instead of downsizing, up-sized as they've gotten older. And if they've taken a 30-year mortgage, that certainly would make them be in debt into their 70s," Copeland said. 

"The biggest bulk of the debt is the mortgage debt." 

According to the nonprofit Employee Benefit Research Institute, the average debt in families age 75 or older was $36,757 in 2016. That is up from $30,288 in 2010.

Debt can have a significant impact on one's sense of financial security in retirement – and ability to deal with unexpected expenses – especially if they don't have a steady pension or anything even close to a six-figure amount saved up in a 401(k) plan. 

"People are going into retirement less prepared," said Donna McNeill, chief operating officer for GreenPath Financial Wellness, a national nonprofit based in Farmington Hills, Michigan. 

The safety net of a pension and retiree health care from an employer-sponsored plan is not the scenario many people are looking at today, she said.

Like it or not, more people may need to cut up some credit cards before they retire and re-evaluate whether they should retire in their late 50s or early 60s.

Some strategies worth considering if you are in or near retirement:

Focus on ditching the debt

"You have to be smart in how you tackle your debt," Copeland said. 

Ideally, pay off your highest-priced loan before you retire, including credit cards that might be charging 15 or 20 percent. 

Maybe even sell the family home to pay off that mortgage and downsize to a less costly home to live in during retirement.  Given that home values are on the rise in many communities, many families no longer risk going into foreclosure or losing money selling the family home as was the case in 2007 or 2008.

In some cases, people might even be able to use some of the equity they've built in the home to deal with other expenses in retirement. 

Get a game plan for how to pay the bills

Some people do need extra help when it comes to budgeting, like finding an app such as Mint and Wela. Some apps, though, could have promotions for credit offers included in the platform, so consumers should avoid being tempted to apply for other loans or credit cards. 

GreenPath Financial Wellness, a nonprofit service, offers a "Wellness Wallet," a free personal financial management tool via the app store. 

GreenPath also introduced a new program late last year called the Simple Payment Plan, which involves a partnership with EarnUp, an automated loan payment platform.

The tool currently is free for the first year, thanks to a sponsorship from Freddie Mac. The monthly fee later will be $19.95. GreenPath's number is 877-663-0143. 

The tool – which can be used by any age group – automates debt payments such as an auto loan, mortgage and student loans. The objective is to help consumers pay bills on time to avoid late fees, as well as paying down debt.  

GreenPath's financial counselors review clients' loans and expenses to help them determine the debts that should go on the Simple Payment Plan. The payment schedule takes into account when the consumer is paid. The idea is to set it and forget it. 

The consumer can opt to round up payments to save interest over the life of the loan. The increasing rate of consumer debt and low home ownership rates indicate that average Americans can use help managing their debt, according to a statement from Freddie Mac. 

Enrolling in automatic payment plans via utility companies and others might also help older consumers if they're dealing with health issues or dementia to ensure that bills get paid on time, according to James Ellis, a personal finance researcher for ValuePenguin, a financial website. 

Some consumers may want to cut back on bills and limit their credit-card spending to one or two cards, instead of five or six credit cards. Consumers can also sign up for bill reminders via text or email. 

Learn now to deal with life's letdowns

Rhonda Edwards, who retired in 2014, said she and her husband chose to retire relatively early, he at 54 and she at 59, because it was something they had planned to do for many years. 

"Lonnie’s mother and father passed away at 33 and 57 years old, respectively, while my father and mother died at 49 and 55," she said. Her mother died nine days after the birth of their first child.

"We understood that tomorrow is not promised to anyone, and we wanted to do something our parents never experienced; retire with a decent measure of health and quality of life to look forward to," she said. 

When they started facing challenges over which bills to pay, they decided to get help and turned to counselors at GreenPath to get a better handle on their finances. They were clients before the housing crisis hit. 

Today, they continue to pay off some debt but say it's manageable. 

"We're not debt-free but we're not swimming in debt, either," she said.

She was glad that they had outside help as they worked through their medical bills and the foreclosure. At times, she said, they were so stressed that they weren't sure how to prioritize the most important bills to pay with the money they had. 

"Everybody needs to know where they stand financially," she said.