MOAA: Retirement Planning---Be Like Mike

Making Your Move
By William J. Lynott

Don’t Believe the Hype
By Marilyn Pribus and Col. Glenn Pribus, USAF-Ret.

Special Tear-Out Section: Retirement Community Guide

Be Like Mike!
By Tonya L. Watson, Ph.D.

The Aging Game
By Col. Roger F. Landry, USAF-Ret.

In the Footsteps of the Maya
By Cork Millner

Move Over, Cookie
By Tiffany Ayers

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Be Like Mike
More people are returning to the workplace after retirement.
By Tonya L. Watson, Ph.D.

I’ve traded one uniform for another,” says Lt. Col. John Westerlund, USA-Ret., proudly displaying a picture of himself in his National Park Service uniform. Westerlund enjoys his new part-time job as a park ranger at the Sunset Crater Volcano National Monument near his Flagstaff, Ariz., home. This isn’t his first job since retiring from a 26-year military career; he’s simply come out of retirement—again.

If professional athletes such as Michael Jordan and Mario Lemieux can “unretire,” why can’t ordinary people do it? While returning to work after retirement typically is de rigueur for retired officers, it now is emerging as an attractive option for many older military retirees who have pursued second careers in the civilian ranks. Scores of seniors are nearing, or have passed, so-called retirement age but are still youthful and healthy enough not to be willing to settle for idleness.

According to a January 2003 survey conducted for the Employee Benefit Research Institute, at least 25 percent of all current retirees have gone back to work. When the baby boomers begin to retire, that percentage will skyrocket. A September 2000 survey by Rutgers University found that 90 percent of adults plan to continue working, at least part-time, after they retire. They might fear the unknown, but most retirees embrace the opportunity to start over.

A lot left

Many officers retire—the first time—when they are in their 40s. Most start a second profession, often retiring again in their 60s, and then discover they still have much to contribute. “I was too old for the Army but still felt like I had a lot to offer,” says Lt. Col. John Crenshaw, USA-Ret. Like many military retirees, when Crenshaw retired from the Pentagon, he still was young enough to have multiple careers.

“I was too old for the Army but still felt like I had a lot to offer.”
– Lt. Col. John Crenshaw, USA-Ret.

The U.S. Bureau of Labor Statistics projects that by 2006 the U.S. economy will generate about 151 million jobs—with only 141 million workers in the workforce. Employers will need to hire older workers in order to avoid severe labor shortfalls. So for most retirees, having a second (or third or fourth) career is not out of the question.

Why go back to work?

When asked why he reentered the workforce, Cmdr. Mike Holpuch, USN-Ret., barked, “Because that’s what you do—you work! After a set number of years the military makes you leave, but it doesn’t make you stop working.” Many officers share this fervent work ethic, which makes them valuable to employers. But there are many other reasons to start a second career.

Finances. Living on a fixed income can sometimes produce anxiety, especially when interest rates are low and the stock market’s performance is less than stellar. Many retirees return to work to supplement their regular income. But before you decide to return to work, you should consider all of your work-related expenses, such as commuting costs, clothing, dues, business lunches, etcetera.

Before you decide to return to work, you should consider all of your work-related expenses, such as commuting costs, clothing, dues, business lunches, etcetera.

Earned income will be added to other income, such as Social Security, pension plans, interest, and dividends. This could result in a greater percentage of your income being taken out for taxes. Additionally, you should check with a financial advisor about the penalties for certain Social Security recipients who earn more than specified limits. In some cases, it makes more financial sense for seniors to volunteer their time.

Socialization. People are social creatures. One of the intangibles that a job provides is the chance to be around other people on a regular basis. Camaraderie, companionship, and communication all are important to healthy living. Many retirees find they miss the daily interaction with people that a job can provide.

Intellectual challenge. Most of us participate in some form of exercise to keep our bodies strong and functioning well. However, many people forget to give their brains a regular workout, too. Our mental capacity is reduced, just as our muscles are, without regular use. In addition, a 1999 article from the Princeton Weekly Bulletin confirms that adults, even older adults, can generate new brain cells.

Sense of contribution. Col. Joe LeBoeuf, USA-Ret. is nearing retirement from his career after 35 years in the service. “Work allows you to matter,” says LeBoeuf. “I want to continue to make a difference.” Clearly, jobs—whether for pay or not—allow individuals to contribute to society.

Next chapters

Like LeBoeuf, most older workers don’t view retirement as a stopping point but rather as a transition to another chapter of life. Shortly after retirement, Westerlund traded his title of lieutenant colonel for doctor. He earned a doctorate in history and then taught college courses. Now, having spent the past two years converting his dissertation into a book, he is about to launch another career as an author.

“Work allows you to matter. I want to continue to make a difference.”
– Lt. Col. Joe LeBoeuf, USA-Ret.

Many retired officers are able to transition easily into civilian employment as consultants and experienced supervisors. Corporations value their knowledge, skills, and strong work ethic. After quickly finding out that sitting on the beach got old, Cmdr. Grant Cooper, USN-Ret., spent 10 years as a systems engineer for a large defense contractor. In his present chapter of life, he and his wife raise horses on their ranch and he serves on his county’s planning and zoning commission.

Potential pitfalls

Although there are many benefits to remaining in the workforce, there also are some pitfalls. Being aware and prepared for them is the best way to protect yourself.

Age discrimination. Age bias is among the more subtle types of discrimination that occur in the workplace. People do not seem to take age discrimination as seriously as discrimination based on race or gender.

When looking for employment, be wary of the phrase, “We think you’re too qualified.” “Overqualified” might be a code word for “too old” and could potentially violate the Age Discrimination in Employment Act, which protects workers age 40 and older from discrimination in the workplace on the basis of age.
To avoid age discrimination, consider the following:

Pay particular attention to image and attire.
Act enthusiastic and energetic.
Show a willingness to assist, even on the smallest jobs.
Capitalize on age and experience; help your employer understand that some skills take years to acquire.

Psychological effects. Be realistic about your next career. You might not have as much responsibility and power as you did during your former career(s), especially if you go back to work part-time. “It was hard going from being the person in charge to being the person who had to make the coffee,” Crenshaw says. Although he worked his way up to higher positions in his civilian careers, his initial reentry was tough on his ego.

Be realistic about your next career. You might not have as much responsibility and power as you did during your former career(s), especially if you work part-time.

To a large degree, your contentment depends on how you view the situation. You might decide that you enjoy having less responsibility. You might appreciate the chance to pursue long-forgotten dreams and goals through your second career. Lt. Col. Martin Levendusky, USAF-Ret., could not wait to begin a fresh life in accounting. “Becoming a [certified public accountant] was like a new assignment, a new adventure,” he says. Even if you start out low on the totem pole, if you are armed with valuable life experience, a keen sense of responsibility, and strong work values, you likely will move up quickly.

Fulfillment

Remaining active—physically, intellectually, socially, emotionally, and spiritually—is an essential part of living a fulfilled life. As you advance in years, you need to design your life for sustained activity balanced with periods for relaxation and rejuvenation. If you choose to return to the workforce, make sure you enjoy what you do. As Confucius said, “Do what you love and you will never have to work.” Whether you are getting paid for your time or not, your job should be satisfying and fun and should yield a feeling of contribution. What better compensation could there be?

Back to Work

Plan ahead before embarking on your next career. Take classes, prepare your finances, and research the job market before you retire.
Do a good amount of soul-searching before launching into a new career; focus on what you really want to spend your time doing.
Ponder all potential consequences, such as effects on your wallet, marriage or family relations, social life, time for hobbies, etcetera.
Maintain a good network of peers, especially those who are still working or who have valuable contacts in your industry.
Look for part-time or seasonal work, especially if you are just testing the reemployment waters.
Consider volunteer positions. If you do not need an extra paycheck, volunteering can be the most rewarding work experience. If monetary compensation is needed, volunteering is often the best way to get your foot in the door; if you make yourself indispensable, you just might work your way into a paid position.

Tonya L. Watson has a Ph.D. in psychology from the Georgia Institute of Technology. She speaks professionally on “LifeFillment,” leveraging experience, and the advantages of being over 60. You can contact her at www.speakingofexperience.com.