March 8, 2016

New Rules of Retirement

BOOK REVIEW BY WILLIAM FRASER

The Pension and Financial Advisory Committee have added New Rules of Retirement by Warren MacKenzie and Ken Hawkins to the ATA Library. In this book the writers hope to tell you all the things that financial advisors are not telling you.

MacKenzie and Hawkins begin by explaining the differences between the myths of retirement and its reality. One such myth is the need to live off your investment income without touching the principal. They point out that, unless you have a desire to leave an estate, you can draw down your principal in a very disciplined way and enjoy the fruits of your labour.

An interesting chapter deals with what makes people happy in retirement. The writers point out that studies have shown that the amount of money you have at your disposal means little to overall happiness after retirement. So what then will make you happy in retirement?

The writers also discuss the role that personal health plays in planning for your retirement. They advise you to be aware of your changing needs as you age and how such changes will affect your financial needs. Other chapters cover such topics as calculating the cost of living in retirement and calculating your retirement income.

Finally, they deal with investments. Their advice is to follow a sensible and simple investment process as you construct a solid investment portfolio. With examples, they explain what that means. The writers end with advice on how to monitor and manage your investment wisely and they include a wide range of factors that may or may not influence your investments and your plans.

Some of the following books are already in the ATA Library:

  • The 50 Biggest Estate Planning Mistakes … and How to Avoid Them by Jean Blacklock and Sarah Kruger
  • Alberta Probate Kit: Everything you need to probate or administer an estate by Lynne Butler
  • The Canadian Guide to Will and Estate Planning by Douglas Gray and John Budd
  • Creating a Happy Retirement by Dr. Ronald W. Richardson and Lois A. Richardson

Remember that as a retired teacher you have access to the ATA Library. A letter, an email or a telephone call can get any of these books sent out to you.

New Rules of Retirement: What Your Financial Advisor Isn’t Telling You
By Warren MacKenzie
and Ken Hawkins
Collins Canada, 2009
Paperback, 248 pp.
Available for Kindle and Kobo