Nearing Retirement? Why 'Refirement' Is a Better Philosophy

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Articles about retirement planning often assume the end goal is a carefree life of self-indulgence. Play a few rounds of golf. Enjoy dinner and drinks with friends. Wake up when you want, and call it a night when you please.

Nothing wrong with any of that — except many retirees find a devil-may-care lifestyle without any sense of purpose leaves them adrift.

In their pre-retirement lives, they were productive, with careers that gave them goals to reach each day and tasks to accomplish. In retirement, they are directionless and bereft of anything that feels like a higher calling.

This potential scenario is why, instead of planning for retirement, you should consider planning for something much more meaningful — "refirement."

Pursuing a new purpose

What is refirement, you might ask?

Refirement is the intentional redeployment of a person or family's time, talents and treasure in pursuit of a renewed purpose. Think of refirement as a bold, countercultural model that rejects the traditional American retirement mindset of passive consumption and purposelessness. Instead of exiting life's stage, you step onto a new stage.

In the transition from work life to a traditional retirement, people can sometimes feel lost. Maybe not right away, because retirement might initially seem like an extended vacation. But eventually it's normal to ask, "Is this all there is?"

Research has shown that, for many people, work is more than a paycheck. A job is a key part of their identity and their purpose in life. And often, that's also how others see us.

Think about how often we associate a person with their job. Speaking of someone, we might say, "She is a cardiologist," "He is a CPA" or "That couple runs a bookstore."

In retirement, those career- and job-focused identities disappear, and when people aren't careful, so does the purpose that every life needs. This is where refirement changes the narrative.

Instead of retiring from something, you are refiring to something. It's the next chapter in the story, not the end of the book. Refirement is a reinvestment in a calling. It is a recommission to serve, lead and love with the same passion you had in earlier years, only through new platforms.

What might those platforms be? That's up to each individual. Jimmy Carter may or may not have ever encountered the term refirement, but he is a good example of a prominent person who embraced and embodied the concept.

He was helping build houses through Habitat for Humanity well into his 90s, ensuring that his life was not deprived of meaning, passion and purpose.

Where the money goes

People aren't always thinking in those terms when they near retirement. They are more focused on what it will be like to escape work life and ease into a more laid-back lifestyle.

Retirement planning, to a large degree, centers on taking an inventory of income sources and savings and devising ways to get the most out of their money to fund that desired lifestyle.

Of course, refirement requires looking at finances as well, but with a different approach, one that allows for the fun and relaxation of a traditional retirement but encompasses much more.

One of the most practical and powerful ways to live out refirement is by reframing the way we steward our resources, especially our money, which can be divided into three distinct buckets:

Money for ME. This bucket is about enjoying the fruits of your labor free of guilt. It supports your lifestyle and freedom and funds the big-ticket dreams, such as travel, home renovations or the car you've always wanted.

This bucket exists to celebrate life, not escape from it.

Money for WE. This bucket is focused on generational impact. It's the intentional investment of capital — and character — into your children and grandchildren. Through thoughtful giving, rewarding and incentivizing, we transfer not just wealth but also wisdom.

This is one of the greatest antidotes to the common, often unwise, transfer of wealth that burdens more than it blesses.

Money for THEE. Here lies the eternal impact. This capital fuels the causes that stir your heart and support the people you care about. This might be a church, a charity or a nonprofit organization doing work you admire.

When time, talent and treasure converge on mission-driven generosity, legacy becomes more than a word — it becomes a movement.

Ultimately, the goal isn't just to retire comfortably. You want to refire your life to make this final chapter the most meaningful period of all. Refirement enables you to finish strong, live fully and lead a life of joy, significance and impact.

Ronnie Blair contributed to this article.

The appearances in Kiplinger were obtained through a PR program. The columnist received assistance from a public relations firm in preparing this piece for submission to Kiplinger.com. Kiplinger was not compensated in any way.

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