I’ve had a lot of e-mails from (and conversations with) recent retirees who are having second thoughts about their decision to retire. Therefore, I thought it would be a good idea to point out some of the mistakes they made in the hope that you can avoid them.
When it comes to retiring, there are a few stupid things you can do that will mess everything up. While these may seem like mistakes you’d never make, believe me when I say that I’ve seen them all many times over – sometimes with heartbreaking consequences. So here is my list of “don’t dos.”
First, don’t retire on an impulse, for example, when you’re angry at someone or fed up with the job. In all likelihood, you’ll live to regret it. It’s far better to retire to something than to retire to get away from something.
Second, don’t retire unless you are sure that you have been given credit for all your years of federal service – both civilian and military. It’s amazing how many retirees have gotten a smaller annuity than they were entitled to receive because they had forgotten to include bits of creditable civilian service when they were in high school or college or bouncing among jobs early in their careers.
Third, don’t retire if you haven’t evaluated your future financial needs and probable income to verify that you’ll be able to maintain your standard of living. Having to cut corner after corner in retirement can take the shine right off those “golden years.”
Fourth, don’t retire if you haven’t been covered by the Federal Employees Health Benefits (FEHB) program for the most recent five years, from your first opportunity to enroll or before the latest offer of early retirement was made by your agency. If you do, you’ll be losing out on one of the greatest benefits available to federal retirees. (The same five-year rule applies to the Federal Employees’ Group Life Insurance (FEGLI) program, which may or may not be as important to you.)
Fifth, don’t retire unless you have checked out all the options and timings. To do that you will need professional help, not water-cooler advice. You can get such help from the benefits officers in your personnel office, government agency websites, or private sector specialists.
Sixth, if you are married (or have a special someone), don’t retire unless you have discussed it with that person, especially if that person also will not be working outside the home. That old saw, “I married you for better or worse but not for lunch,” has a measure of truth in it. Accommodations will need to be made and the implications of that need to be worked on before you start spending 24/7 at home.
Seventh, don’t retire if you feel like you’re walking the plank and facing a life without purpose. As noted in the first point above, it’s far better to retire to something. That can be another job, starting a business, perfecting a hobby, travel, volunteer work, etc. What is most important is to understand that we are what we do. The common question, “What do you do?” needs an answer that makes you feel good about yourself when you are retired.
Oh, yes, there are other boo-boos you can make; but the ones I’ve listed are the ones that have created the biggest messes in my experience. May you make none of them when you decide to retire. And may your retirement be all you hoped it would be – and more!
