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Insights from The Mind Money Spectrum Podcast Episode #161
Originally published on May 12, 2026
When we talk about retirement planning, the conversation often zeroes in on dollars, portfolio returns, and tax strategies. While these financial components are undeniably important, there is a critical part of retirement planning that doesn’t always get the attention it deserves: the nonfinancial aspects of your life, especially in the crucial five years before you retire.
As a fiduciary, fee-only financial advisor focused on helping high-performance professionals achieve financial security and freedom, I often remind clients that retirement isn’t an endpoint — it’s a new beginning. It’s a chapter that can last decades and offers an opportunity for self-actualization, engagement, and purpose. So the big question isn’t so much what are you retiring from? but what are you retiring to?
Why Start Now? The Five-Year Window Before Retirement
Five years before you retire is a sweet spot. By this time, ideally, you’ve accumulated your nest egg, and your financial foundation is strong enough to support your lifestyle post-retirement. But this is also the time when you should begin intentionally crafting and living the life you want—before you cross that finish line. It’s a mistake to think that life waiting for retirement is somehow more valuable or fulfilling.
In fact, the best way to ensure a joyful and purposeful retirement is to build the lifestyle you want today. This means cultivating hobbies, deepening your community connections, redefining your sense of purpose, and considering your living environment ahead of time.
Four Key Domains of Well-Being to Prepare For
To frame this preparation, I encourage clients to look beyond financial health (which we assume is addressed) and focus on these four pillars of well-being:
- Physical and Mental Health: Retirement is often decades long, and maintaining a healthy mind and body enables you to enjoy that time fully.
- Community and Relationships: Social interactions with friends and family are foundational for happiness post-retirement.
- Sense of Purpose and Meaning: Without work, many people question their identity. Finding activities or roles that provide fulfillment is essential.
- Financial Health: Already addressed but crucial as a baseline for freedom.
Who Are You Without Your Career?
For many high-performance professionals, work defines large parts of their identity, from social circles to self-worth and purpose. Suddenly removing that can create a void. The key is to start redefining and exploring your identity before retirement.
Ask yourself honestly: Who am I when I’m not working? What do you enjoy spending your time on? What activities make you feel alive? Is there a hobby or passion you’ve postponed? The answers will help you create your post-retirement blueprint.
Start Living Your Ideal Life Now
Consider exercises to help you visualize the life you want to lead. For example, map out your ideal day, week, and year. Identify specific activities you want to incorporate on a regular schedule, such as yoga twice a week or food truck outings with friends. Many clients realize much of what they want to do is accessible today — it just requires intention and scheduling.
Starting these habits now also helps reduce burnout, improves your emotional health, and makes the transition to retirement smoother and more natural.
The Power of Part-Time Work Before (And After) Retirement
Another powerful insight is the role that part-time or consulting work can play before and after retirement. Instead of an abrupt stop, transitioning gradually to fewer working hours can preserve structure, social connections, and purpose. This eases the psychological transition and can even improve your financial position by delaying portfolio withdrawals.
Many of my clients have benefitted from redesigning their current jobs to focus only on tasks they truly enjoy, saying “no” to less-fulfilling projects, or exploring consulting opportunities. This can often be done without a pay cut and with less stress, improving overall life satisfaction.
From a financial planning perspective, continuing to earn part-time income, even at a reduced level, provides flexibility, reduces portfolio sequence-of-return risks, and can extend your financial runway.
Where Do You Want to Live? Test It Now
Deciding where to live in retirement is a big decision—one that you don’t have to wait to make until after you retire. If you’re considering relocating to a different city or downsizing your home, try it out first while you still have an income. Renting in a new location or downsizing earlier can help you understand if the lifestyle change suits you, both socially and emotionally.
Plus, moving while still employed can make financial sense and add flexibility to your transition plan. It’s easier than ever to work remotely or find part-time opportunities that support this lifestyle shift.
Mortgage-Free Living: Consider Paying Off Your Home Early
While from a purely mathematical investing standpoint it might make sense to keep a low-interest mortgage if your investments earn more, there’s undeniable psychological value to living mortgage-free. For those approaching retirement, this can create a strong sense of security and freedom.
If paying off your mortgage early aligns with your comfort level, consider accelerating payments a few years before retirement. Try living for a couple of years with your mortgage payment still intact but saved rather than spent. This approach gives you a window into how your cash flow and lifestyle might change and whether you feel freed or constrained by your current expenses.
Friends, Family, and Community Matter More Than Money
A frequent pitfall is assuming that having more money automatically leads to greater happiness, but research consistently shows that social connections are one of the strongest predictors of well-being in retirement.
If your plan involves a major relocation, think carefully about where your friends and family are and how you will maintain or build relationships. Don’t wait for retirement to nurture these relationships — start building and scheduling time with your community now. The simple act of prioritizing social time can make all the difference in your quality of life.
Shift Your Mindset From Saving to Spending With Confidence
Financial independence means you’ve reached a stage where you no longer need to accumulate assets, but instead can start focusing on how to spend and enjoy your wealth intentionally.
This psychological shift can be challenging. It’s essential to develop a spending plan aligned with your values and purpose that lets you enjoy your money without guilt. Working with a fee-only fiduciary financial advisor can help you design sustainable withdrawal strategies that support both legacy goals and lifestyle enjoyment.
Actionable Steps to Take Starting Today
- Define Who You Are Outside of Work: Write down hobbies, interests, and activities you want to explore more deeply. Begin scheduling regular time for these pursuits now.
- Visualize Your Ideal Days and Weeks: Detail your ideal schedule and start integrating components into your current life.
- Explore Part-Time Work or Consulting: Assess which aspects of your current job you enjoy and which you don’t. Begin delegating or saying no to unwanted tasks and possibly seek part-time opportunities.
- Evaluate Your Living Situation: If relocating or downsizing is in the plan, try renting in the new area before committing to a purchase.
- Consider Mortgage Payoff Strategies: Analyze paying off your home early for the psychological and cash flow benefits.
- Prioritize Relationships: Schedule regular time with friends and family now and find or build community groups aligned with your interests.
- Work with a Fiduciary Advisor: Build a retirement distribution plan that supports your intended lifestyle and balances spending with long-term security.
Why This Matters to High-Performance Professionals
For driven professionals, defining success only by financial accumulation can be limiting. Retirement can feel daunting if it means losing the identity and purpose work provided. But starting your ideal retirement life now — while you can still leverage your income and health — sets you up for decades of fulfillment, freedom, and purpose.
It’s about designing a life you look forward to living today, not someday. That’s real freedom and security.
Closing Thoughts
Retirement is a significant life transition, and overly focusing on financial numbers can leave critical gaps unaddressed. By starting the psychological, social, and lifestyle shifts five or more years before retirement, you create a foundation for lasting well-being.
Don’t wait until retirement to live your ideal life. Begin now. Your future self — and your portfolio — will thank you.
If you’re considering how to strategically approach your next five years before retirement, feel free to reach out for a confidential conversation on how to align your life and money for lasting financial security and personal fulfillment.
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Need More Help?
If you’re ever in need of guidance, these blog posts may be of help. But be sure to contact a financial, tax, or legal professional for guidance and information specific to your individual situation. And as always you can reach out to me directly here with questions or concerns about your personal situation.