“It takes a lot of time to be a genius, you have to sit around so much doing nothing, really doing nothing.” –格特鲁德·斯泰因
A few years ago, in his weekly article on the Torah portion of the week, Britain’s Former Chief Rabbi Lord Jonathan Sacks wrote about “The Courage to Admit Mistakes”. He wrote, “Some years ago I was visited by the then American ambassador to the Court of St James, Philip Lader. He told me of a fascinating project he and his wife had initiated in 1981. They had come to realize that many of their contemporaries would find themselves in positions of influence and power in the not-too-distant future. He thought it would be useful and creative if they were to come together for a study retreat every so often to share ideas, listen to experts and form friendships, thinking through collectively the challenges they would face in the coming years. So they created what they called Renaissance Weekends. They still happen. The most interesting thing he told me was that they discovered that the participants, all exceptionally gifted people, found one thing particularly difficult, namely, admitting that they made mistakes.”
How many of us can admit that we are wrong? I can’t remember the last time I made a mistake. Don’t believe me? Just ask my kids or better yet, my wife. I’m sure they will confirm my mistake-free life. When it comes to retirement I have seen investors make the same mistakes over and over again. Here are some of the more common mistakes I’ve seen, and if you want to have secure financial retirement, it would behoove you to avoid these.
Conventional wisdom is that when you retire you need between 70-80% of your pre-retirement income to make ends meet. Well, that be true for some, but from my experience and especially in Israel, I have found that you need the same amount or even more money every month during retirement. You may want to help out your children and grandchildren with braces, paying for after school extracurricular activities, and taking the family away for a few days in the summer. And let’s not forget that many of the things that you may want to do during retirement aren’t free, e.g. travel, dining out etc.
Stubbornly retaining control
Swallow your pride and correct your mistakes so that you can have a financially sound retirement.
Aaron Katsman is author of the book Retirement GPS: How to Navigate Your Way to A Secure Financial Future with Global Investing (McGraw-Hill), and is a licensed financial professional both in the United States and Israel, and helps people who open investment accounts in the United States. Securities are offered through Portfolio Resources Group, Inc. (www.prginc.net). Member FINRA, SIPC, MSRB, FSI. For more information, call (02) 624-0995 visitwww.sisoftball.comor email:firstname.lastname@example.org.