$ = $ = $ = $ = $ = $ = $ = $ = $ = $ = $ = $ Intentional Investing Newsletter July, 2004 $ = $ = $ = $ = $ = $ = $ = $ = $ = $ = $ = $ IN THIS ISSUE: 1. Note from Your Editor, Lynne 2. Article: Baby Boomers Approaching Retirement, Part 2: What Do I Do Now? 3. Internet Resources for Baby Boomers 4. Intentional Investing Announcements ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ -=- Note from Lynne -=- Dear Reader, I hope that you are enjoying the tastes, smells and other joys of summer! As I write this note, I'm preparing to leave for a fabulous adventure in Botswana and Zambia. This trip marks the 50 years that I've been fortunate enough to be on this earth, and anticipates the possibilities yet to be discovered in the "second half"of my life. It feels fitting, then, to be publishing the feature article, "Baby Boomers Approaching Retirement, Part 2: What Do I Do Now?" Many of my coaching clients are 'boomers like me, in their mid-40s to late 50s. Like me they are realizing that they likely will live another 30+ years...and that they are no longer 20, when "the sky's the limit." They are asking "What do I really want to do for the rest of my life?" And, "Do I have the financial means to do it?" If the article resonates with your experience, let me know. Pass it on to friends who might benefit as well. Together we can support each other in discovering what is most meaningful to us, and possible, at whatever age we are. Warm regards, Lynne ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ Lynne Hornyak, Ph.D., Editor e-mail: Lynne@LMHServices.com Coaching successful professionals to greater financial freedom and well-being. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ Recap of Baby Boomers Approaching Retirement, Part 1: Boom or Bust. In the last issue, we examined current trends in work and wealth facing babyboomers today - the "external landscape," so to speak. And that landscape certainly has its peaks as well as precipitous cliffs. Americans have grown richer than citizens of other industrialized countries,and we baby boomers have the potential to do better than our parents in retirement. However, as a group, we are working more, amassing significant debt, and worrying more about retirement. We are deferring our retirement, as well as saving for it because we're having children later in life. We are facing increasing medical costs, eroding pensions,and reduced income due to low interest rates at the same time that we are living longer -- meaning we have to spread our retirement money over a greater number of years. Yet, whether we boom or bust depends on some factors in our control: our ability to rein in spending, our willingness to find work that will engage us into our 70s, and developing realistic expectations about retirement lifestyle and activities. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ -=- Feature Article: Baby Boomers Approaching Retirement, Part 2: What Do I Do Now? -=- Nancy is a divorced woman in her mid-50s. She has one son who lives independently. Nancy hired me as her coach to help her make a decision that she'd been putting off for years. Nancy explained: "I began working at ABC Corp. over 12 years ago. I loved my job and the company. But, to be honest, I outgrew it five years ago. I want you to help me get off the fence as soon as possible." "Okay" I said, as I heard the urgency in Nancy's voice and took a pause to search my mind for the questions to ask her. "Nancy, what fence are you sitting on?" She smiled. "A familiar one. One side of me says "You're bored. You have talent. You're a young 55. You could be working for 15-20 more years.Quit being such a chicken and move on!" The other side says "What if I leap out there and fall on my face? This is a tough job market. There's lots of 20- and 30-somethings wanting the same jobs I want. And, what if I eat up all my savings while I look for something new? I'll won't be able to "recoup" those losses -- ever. That's the fence. And I'm really tired of being on it." As Nancy and I discussed what she'd already done to get off the fence, it was apparent that she had considered a lot of job options. Yet her every consideration was a "yes, but" - "yes, I considered XYZ, BUT my pay would be substantially lower; I heard some bad things about the company; the work really wasn't interesting enough to leave ABC, etc." While every person has their own unique set of circumstances, Nancy typifies many boomers who want to make a career change. They are approaching the issue as "find a new job" - what coaches call an "outside in" approach -- rather than from the "inside out." -=- The Inside Out Approach to Re-designing Your Career -=- Let me share 5 principles of the "inside out" approach to finding a career you love AND can afford. 1. Work is not just something you do. It's what you live. Consequently, career design is not simply finding a job. Most of our parents probably didn't think about finding a career that had meaning and enjoyment. They were products of the Depression where getting a paying job itself was meaningful. It meant being able to buy food, shelter and other basics. Many baby boomers report that they chose their career for different reasons. The profession paid well, it was the family business, "everyone in my family is a doctor," or they took a good job that came their way. Now at mid-life, boomers are reflecting on "what do I REALLY want to do." They still have enough energy, good health and brain power to start another career - this time, a career that will bring meaning, enjoyment and fulfillment. The world is different now. Perhaps it feels indulgent to some, yet today, we seek work that is meaningful, plays to our best strengths, and is enjoyable. Periodically changing jobs or even careers is commonly accepted. It's no longer a sign of immaturity or attitude problems, rather, that you are taking charge of your career. 2. If you're dissatisfied with your current work and want something else, it says something about YOU. Perhaps you have plenty of evidence that your boss is clueless, your department is dysfunctional, and the work is routine and uncreative. It's still about you. If you simply change jobs without looking at yourself, there's the likelihood that this one will become another less-than perfect match. What do you need to do? As Richard Whiteley, business consultant and author, advises: Find out what you are truly passionate about, and try like heck not to sell out on it. To figure that out, Whiteley poses four questions: * What do I do well? * What can I do that will develop me? * What do I have passion for? * What will people pay me to do? The key is to find the overlap in the four questions. Your talents, growth needs, and passions need to be based in the reality of your financial needs (ie., the fourth question). 3. It's hard to navigate a ship if you don't have a compass. Your priorities are your compass. If you just look at your career priorities without considering your greater life priorities -- including financial goals and commitments -- your compass may not register "true north." Start with these questions: * What is REALLY important to me? * Am I currently living in a way that expresses my priorities? * Do I say that family is my highest priority, yet rarely have down-time with my kids because I'm at the office for 14 hours every day? If you can duck and dodge from being REALLY honest with yourself, hire a coach. A coach will ask the hard questions and stay with you until you can give yourself the straight answer. And remember, unless you are single and 100% not- interdependent with anyone else, there are other people on that ship as well. They are affected by and have a stake in where you are sailing as well. Your discovery process needs to include them as well. 4. It's hard to sail a ship without power - fuel or wind). Realize, there may be unpredictably windless days. An experienced captain prepares for the worst and then hopes for the best as she launches off. How does this metaphor translate when you're thinking about a career change? Finances are your power source. * Examine your finances. What do you have in savings? What are your living expenses? How much debt are you carrying? * If you are changing careers, have you done your research to determine the average salary for your new field? Is it equivalent, more or less than what you currently make? * If you make a career leap, how long can you live on your savings in case there's a gap between jobs or you go back to school? If you spend down your savings, how will that affect your retirement plans, or other financial commitments such as supportingr aging parents or funding your childrens' education ? * Can you build your financial reserves before you make a leap? * What would have to change in your current lifestyle to spend less during a "gap"or if your new career pays less? 5. Once you face the hard questions, it's hard to go back to sitting on the fence. You face the hard questions. And you decide to leave your law practice to become a chef. You say goodbye to a 6-figure corporate job to study massage. Or you find that you really don't want to run your own catering company or self-publishing business. You don't "take that job and shove it." In fact, you decide to re-invigorate the career you have. Or you decide to keep your current job and express your passions through volunteer or community leadership activities. Regardless of the path taken, you will be forever changed by asking and answering the questions: What do I REALLY want at this point in my life? Financially, how can I make that happen? What about Nancy? Nancy is, as we'd say, "in process." She realized that she wasn't going to get an immediate answer with the inside-out approach. However, she's confidnet that taking that path will allow her to find her answer and move off that fence. Reference: Richard Whiteley, Love the Work You're With: Find the Job You've Always Wanted Without Leaving the One You Have." Owl Books, 2002. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ Like what you're reading? Then send this newsletter to friends, family, and colleagues who are interested in moving toward greater financial freedom and well-being. They can subscribe at www.lmhservices.com, or by sending an e-mail to Lynne@WLMHServices with "subscribe newsletter" in the subject line. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ -=- Internet Resources for Baby Boomers -=- Have you ever done an Internet search on "baby boomers?" I have, several times. I ran another search while writing the feature article. There are actually a lot of interesting sites out there. While this is not a n endorsement or guarantee of their ultimate worth and quality, let me mention a few: The International Association of Baby Boomers Plus at www.boomersassoc.com. This association offers discounts on travel; group discounts on health and life insurance; and consumer advocacy activities including blood, organ and tissue donation information! Baby Boomer Bistro at www.babyboomerbistro.org.uk/ Among other things, BBB is a chat site for the over-50. It offers the opportunity to meet other boomer from around the world - the modern version of pen pals. And, if you travel, it's always nice to know someone in the place to which you're traveling. Check out www.boomertrends.com. It is a resource website for issues concerning boomers. Topics include health, retirement, travel, elder care, empty nest and sexuality. On www.2young2retire.com, you can take a peak at Howard and Marika Stone's book: Too Young to Retire: 101 Ways to Start the Rest of Your Life. The snippet on the website features several of their 101 ideas for designing creative enterprises. Each idea is accompanied by links to websites that provide further information on that career topic. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ If you are interested in coaching, contact me for a free half-hour consultation at Lynne@LMHServices.com. or (202) 387-5923. Please include your name, e-mail address, phone number and brief description of your interest in being coached. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ -=- Intentional Investing Announcements -=- Have you been to the Intentional Investing webpage lately? Go to www.lmhservices.com and click on "Changing your Relationship to Money." On the Intentional Investing webpage, you can take a self-quiz on Your Relationship to Money, participate in a survey on gender and money, access articles written by Lynne as well read previous editions of this newsletter! ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Teleclasses Intentional Investing Teleclasses will resume in September. Look for our schedule announcement in late August. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ PLEASE NOTE: Intentional Investing [TM] is intended for informational and educational purposes only. It is not a substitute for financial, legal, accounting, psychotherapeutic, or other professional advice and consultation. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ Copyright 2000-2003 Lynne Hornyak. All rights reserved. The above material is copyrighted but you may retransmit or distribute it to whomever you wish as long as not a single word is changed, added or deleted, including the contact information. However, you may not copy it to a website without my permission. Reprint permission will be freely granted upon request. Advance written permission must be obtained for any reprinting of this material in modified or altered form. ^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^`^ $=$ CONTACT INFORMATION $=$ Lynne Hornyak, Ph.D. LMH Services Coaching and Consulting 3818 Klingle Place, NW Washington, DC 20016 Phone: (202) 387-5923 Fax: (202) 244-3373 e-mail: Lynne@LMHServices.com Web: www.LMHServices.com