The Five Stages of Retirement

Liberation

This stage marks the official beginning of retirement, or what Veto refers to as the "honeymoon" phase. This stage is short-lived and lasts anywhere from one day to one year. Survey respondents said that on retirement day, they felt excited, relieved and liberated from the worries and responsibilities of their career and day-to-day life.

People in this stage are fully engaged in the novel opportunities of retirement, such as reconnecting with spouses and families, hobbies, traveling, even starting new businesses. Those in this phase find themselves very busy; 89% of those polled said they believe they will have enough to keep them busy throughout their retirement.

Veto warns, however, that the euphoria of this stage can quickly turn itself around.

Reorientation

The toughest stage of retirement is reorientation. A lot of retirees will make a list of things they want to do, such as fix things around the house, work on their tennis game and travel. "But it's not a 30-year list," Veto points out. "They go through their list a lot faster than they thought they would and say, 'Now what?' when they still have another 25 years of retirement."

As a result, many retirees find themselves retiring in front of the television. According to Veto, the average retiree spends approximately 43.5 hours watching TV a week -- essentially replacing their former work week.

Veto says that a common response among people in this stage about how their retirement is going is that they are "keeping busy." But "that's not a way to spend a life's worth of experience," he says, "If you're 65, you don't need to be put out to pasture. You have skills and experience, and now you have this gift of time."

To avoid falling into the rut, it's important for retirees in this stage to find a meaningful purpose in life, which AgeWave has found is the key to longevity. "Tragically, some people don't get out of this rut," says Veto. "This is where depression is at its highest among retirees. Many will figure it out, but some people get trapped, and they spin out in a life living without a purpose."

Reconciliation

This last stage of retirement kicks in about 16 years after retirement day, when many people feel relative contentment in their retirement. In this stage, people are more hopeful and have come to terms with all that retirement has to offer.

According to the study, people in the reconciliation stage report lower levels of depression and worry. They are, however, also more likely to admit to sadness as they begin to confront the end of their lives. Some 65% report they are living their dream in retirement, and 75% say they are enjoying retirement a "great deal."

To help smooth the transition of these stages, the overwhelming key, says, Veto, is planning and preparation. To facilitate this, AgeWave has developed a tool called the Retirement Bridge. It's a 20-minute survey that walks people through the components of where they are today and where they want to go, as well as their hopes, fears and dreams.

"The biggest misconception is that retirement's going to be perfect without any planning or preparation, like something magical will happen," Veto says, "Retirement can be a fantastic life stage. But don't show up on retirement day and then try figure it out."

The Five Stages of Retirement
Stage	Timeframe	Emotions, concerns and aspirations
Imagination	Six to 15 Years Prior to Retirement	Growing enthusiasm and excitement as retirement gets closer. 74% expect to enjoy retirement a great deal.
Anticipation	Zero to Five Years Prior to Retirement	Excited and hopeful until worry and doubt set in one to two years prior to retirement. 77% expect to enjoy retirement a great deal.
Liberation	First Day to First Year of Retirement	Excited and relieved from work stress. 78% enjoying retirement a great deal.
Reorientation	Two to 15 Years Into Retirement	For some, retirement is more challenging than they thought. May feel depressed and bored. Others reinvent themselves and undergo a transformation into a fulfilling new life.
Reconciliation	16+ Into Retirement	Relatively content and less depressed and worried, but sad as they begin to confront end-of-life issues. 75% enjoying retirement a great deal.
Source: AgeWave, Amerirpise Financial and Harris Interactive.