Our View: Angela Birmingham and Don Bakhaus
Angela Birmingham is a regional branch executive for the Midwest and representative of Gen X.
Don Bakhaus is a regional branch executive for the Southwest and representative of Baby Boomers.
Each oversees more than 150 financial consultants and their practices across several cities and demographics. Today, instead of talking about their clients' needs, Angela and Don talk about their own views of retirement and what it means to them.
- Take the survey and see how your answers compare with your peers.
- E-mail us and share how you're rethinking retirement.
ANGELA: I went through the survey and saw how my answers compared with other respondents, and found that I mostly fit right in with my Gen X peers. Like others from my generation, I really expect my retirement to look different than what I saw for my grandparents and my parents.
DON: When I think about the word "retirement", I think how diverse the true meaning of retirement is and has been to a number of generations. My parents were of the Depression era and we lived financially within our means often times under our means. The word "save" was a mantra in my family of seven brothers and sisters. Like other Boomers, I agree that living within my means is the best strategy for being financially secure in retirement.
ANGELA: For me, investing and planning well are most important. It isn't about not working; it's about not having to work if I don't want to work. I try to plan for enough financial freedom so I have the flexibility to travel and enjoy broad life experiences, but most importantly, be able to provide for and be a healthy, active part of my kids' lives.
DON: I was encouraged to work and save from a young age I mowed lawns, had a paper route, etc. Because of this saving philosophy, my parents had very little to no debt. After retirement, they lived very frugally and very simply. No traveling around the world, no second home to escape to in the winter/summer months.
ANGELA: It sounds like I grew up a little different than you in a family that also managed to the goal of having no debt, but not in a position to plan or save that much for retirement. Both of my parents worked for small businesses, so I never knew about 401k plans or things like pension plans. It certainly has made me grateful for the many options that are out there today.
DON: That's certainly true. In my parent's era, the only investment vehicle they were educated about and had access to was placing their cash into a savings account. I am going to be leveraging investment education and solutions in order to maximize my personal retirement goals, such as planning for college for my children as well as wealth transition planning in my later years.
ANGELA: You are right, education and tools are really important. I have found Schwab's retirement planning tool very useful in working with my parents, brother, and friends. So much of what I know or feel about retirement has come from what I learned or didn't learn growing up.
DON: While retirement is an end goal, it's vital that we teach our kids and future generations the beginning fundamentals: how to save for a rainy day, how to responsibly use credit, how to "pay yourself first," and most importantly, the importance of contributing to a retirement plan early. Learning self-reliance is a critical component of retirement planning and thats something Im teaching my own kids.
ANGELA: At the end of the day, I think we're all looking for some combination of education, tools, and relationships. Finding the balance between getting help and helping ourselves is really the best way to plan for our financial futures.
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