In Focus
Save, Save, Save
Upper Arlington seniors offer advice for a fulfilling and happy retirement

 

By Caitlin O’Brien

Most adults look forward to enjoying a long and happy retirement – the light at the end of the tunnel, the deserved achievement after decades of hard work. But retirement is also something many don’t think about until it’s almost too late.

In today’s tumultuous economy, more and more people are coming to realize that the retirement they expected or hoped to achieve may not be as secure as they once thought.

When trying to decide how best to prepare for retirement, who better to ask for advice than those already enjoying it? Some of the seniors at the Upper Arlington Senior Center offered their own wide-ranging views on how best to plan.

Georgia Bruce, president of the Senior Advisory Council for UA and a UA resident since 1964, says she never had a formal retirement plan, but she always looked ahead and was ready for her retirement at age 65. Working as a physical therapist for more than 20 years, Bruce always tried to be smart with her money.

“I made sure all major improvements and remodeling, such as having my driveway repaved, were done before I retired so now all I have to do is general maintenance work,” she says.

Bruce says saving for her generation is a lot different than trying to plan for retirement now. “Today, companies are constantly changing, so young people like my granddaughter need to start saving as soon as they can. You have to be prepared,” she adds.

Dick Entler, another member of the UA Senior Center, also urges younger generations to start saving right away and recommends that when looking for a job to keep in mind if the company offers a retirement savings plan along with other benefits.

“If your company offers a savings plan, especially if they contribute to it, jump on it. If they offer it to you starting day one, take it and start saving right away,” Entler says.

Other seniors also noted the differences between their retirement planning and the planning done by younger generations. They note that, in the past, you just aimed to send your kids to college, pay off your house, and save as much as you could.

But today, retirement is something that can be approached in many different ways. There are so many options, in fact, that most people don’t even know when or where to start saving. Deciding between 401(k)s, traditional IRAs and Roth IRAs can be confusing and frustrating.

Choosing the wrong plan is also a possibility if individuals are not careful drawing and then repaying funds before retirement age. Seniors at the UA Senior Center warned young adults to be cautious when going about borrowing from retirement funds. There are strict IRS penalties if those funds cannot be repaid in the right amount of time.

An Upper Arlington resident who wished not to be named says that she and her spouse will rely on the Public Employment Retirement System (PERS) when they both retire in the next 10 years. PERS is a very stable, multi-billion dollar retirement fund that offers recipients great benefits and a large network of contributors to keep it stable even in the most troubling of economies.

While some UA seniors note they didn’t really have a set plan or fund, they also urge younger generations to remember that if they want to maintain a certain lifestyle (and not struggle during their retirement years), they need to save as much as they can. Even if Social Security is still around for years to come, UA seniors insist that some other forms of savings are needed.

Entler adds that despite the amount a company offers toward a retirement plan or how much you prepare yourself, it is still important to try and find a job or career you love.

“If you have a good paying job but everyday you regret going into work, you’re not going to be able to keep that job for very long. And you can’t just job hop because you won’t accumulate anything and all you may be left with when retirement comes is Social Security and no real benefits,” he cautions.

Regardless of how you prepare for retirement, one plan makes the most sense: the earlier you start saving, the better. With the uncertainty of the future economy, inflation rates, and the cost of living, you cannot save too much.

Though her granddaughter is currently in the Peace Corps, Bruce says she advises her and other young adults in her family to save as soon as she can. “Even if they only put away $10 a week, that’s something. Is it easy to save? No. But you have to decide what’s important,” she says.

Happily enjoying her past 11 years of retirement, Bruce also urges adults to be smart about saving and suggests they try to rein in younger generations’ impulses to “buy, buy, buy” without ever giving much thought to saving.

“Should you buy that latte every day? No. Don’t go out to lunch or dinner more than once a month,” Bruce adds. “You have to be smart about what you’re spending and you have to be prepared.”

Caitlin O’Brien is a contributing writer for Upper Arlington Magazine.

For those in Upper Arlington approaching their retirement years or even just starting to think about retirement, the Upper Arlington Senior Association offers discussions and invites speakers to come in and address how best to manage current and future investment as well as other financial matters. There will be a weekly investment discussion group as well as a speaker engagement on Investment Outlook and Opportunity in October. In November, a speaker will present “Take Stock in the Market.” The center will also offer a presentation on "Tax-free Investing" in December. To register for one of the classes, call 614-583-5320. There is a $5 advance registration fee. 

 

 


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