The new retirement
Retirement today means a new life chapter that you get to write – so say the majority of today’s retirees in a recent study from Edward Jones and Age Wave called “The Four Pillars of the New Retirement.”
The four pillars of the new retirement
Our study surveyed 9,000 North Americans across five generations and identified four areas (dubbed the Four Pillars) that impact the quality of life in retirement: health, family, purpose and finances. Achieving your ideal retirement requires thought and action about each of these pillars.
Explore the four pillars
While yesterday’s retirement often focused on the end of work and winding down, today’s retirees see themselves as having more freedom – freedom from many work and family responsibilities, and freedom to explore new options and pursue new interests. Are you confident that your retirement plan is ready for your idea of retirement?
Pillar 1: Health
Part of what’s new about retirement is a longer lifespan and more years in this life stage. Good health offers choices. Unfortunately, most adults spend 10 years in poor health. The most feared condition in America is Alzheimer’s and other forms of dementia.
90% of Americans older than 50 say that being healthy is about being able to do the things you want.1
Pillar 2: Family
Family is the greatest source of satisfaction, support and purpose. On the one hand, adults 50+ worry about becoming a burden on their families. On the other hand, they are willing to offer financial support to family regardless of how it affects their future.
72% of retirees say being a burden to their family is one of their top fears, but one in four Americans older than 65 have not discussed their end-of-life care preferences with anyone at all.1
Pillar 3: Purpose
Retirees say their greatest source of purpose is from spending time with loved ones. They also value learning and growing. Yet now, with more than seven hours a day of free time, one in three new retirees struggles to find purpose in retirement.
89% of Americans feel there should be more ways for retirees to use their talents and knowledge for the benefit of others.1
Pillar 4: Finances
The role of money in retirement is to provide security and freedom. Over half of retirees wish they had budgeted more for unexpected expenses. When it comes to the unexpected, the cost of health care is more worrisome than a recession.
Two-thirds of Americans who plan to retire in the next 10 years say they have no idea what their health and long-term care costs will be in retirement.1
Find a Financial Advisor
Important Information:
1 The Edward Jones and Age Wave Thought Leadership Study, "The Four Pillars of the New Retirement," 2020.