Transition to Financial Freedom ( Blog, 9/2014)

Like it or not, we are all in transition.  Over time, we change – with or without intention.

We may not like and cannot control all the circumstances involving change, but we can choose our response.   

  • When we were young, we welcomed change. We couldn’t wait to start driving, enter college and find our first job. Of course, not everyone had these exact goals.  Many intended to start a business. Life was great as careers progressed, we found that “special someone,” bought the first house, and started a family.
  • Over time, we faced challenges to achieving goals and learned that change was not always for the better. Transitions were not always fun.  As technology significantly increased the pace of change, life became more complicated.  Innovation launched new products, established industries, and opened doors to opportunity.  Cell phones, email, twitter, and the Internet made us available 24/7 and created new expectations. In the last several years, jobs for individuals 50+ have been replaced by technology, lower cost workers abroad, and corporate reorganizations.
  • In terms of health and longevity, we are living longer and encountering more transitions.  Age 80 has become the new 60 according to the UBS Investor Watch report, which found investors have drastically increased what they consider to be “old” compared with the previous generation.   It is time to take a fresh look at transitions and create a new definition of “the rest of your life.” 
  • Success in transition requires replacing traditional approaches with new strategies.  Deena Katz, associate professor in the personal financial planning department at Texas Tech University and a partner in Evensky & Katz in Coral Gables, FL, admits “I’m in recovery, Retirement recovery.”
  • The term “retirement” is not a bad word.  The problem is planners assume “retirement” describes what everyone ultimately wants.  In reality, individuals in their 50s are not looking at retirement in the traditional sense and cannot relate to that concept. Katz also states that “people today are disconnected between their present and future selves. It’s not easy to imagine what the future will be like, or what you will want or need. They may continue to work but may be doing something different from what they do now. As a result, the term “retirement” is being replaced by phrases such as “financial independence, financial freedom, or walk away freedom” to describe long-term planning goals.
  • In working with clients of Financial Legacy Builders, we help clients incorporate dreams and aspirations into the goal of financial freedom.  Having a discussion to identify what will ultimately motivate clients to action is far different from creating income streams from financial retirement vehicles.  Such conversations can lead to turning a life long passion into a new business or finding a way to spend more time with family without fear of running out of money. Business owners can finding a way to facilitate children taking over the business without jeopardizing future relationships with clients or between siblings. Bridging current and future selves through meaningful communication is the best way to ensure a successful transition.
  • Whatever transition you face today, I trust you will find this website useful.  My career in financial services has provided a foundation for leveraging your past into the “future you’ only you can be.  Partnership with other professionals enhances your likelihood of success as we bring together Your Financial Legacy Building Team.
  • If you are experiencing challenges in your financial transition, or have questions about the next step, please contact me at 847-340-9487 or via email This email address is being protected from spambots. You need JavaScript enabled to view it. .  If you send an email asking about our FREE Risk Assessment, we will send you a Financial Risk Management Checklist.  Simply, submit the completed Checklist and we will provide you a free analysis based upon your responses.