Planning for retirement has become a big quandary in recent years. An average of 10,000 baby boomers are retiring each day and only a miniscule fraction will have pensions. A plethora of professionals calling themselves things like “retirement coach” and “life planner” have cropped up to help you figure out how to retire.
Thirty-five years ago, 62% of retirees from the private sector had pensions, while today, that number has dropped to 7%. This means that there are crowds of retirees and those soon to join them who don’t know how to use their copious amounts of free time or how to make their money last. Many of the professionals in this sector have seen an opportunity to craft retirement plans conducive to boomer health, interests, and values.
Retirement coaches come from a variety of backgrounds and also have varied qualifications. This fact has made it pretty difficult to get an accurate estimate of retirement professionals in the field. There are programs out there that certify retirement experts, like Retirement Options at Chapel Hill, N.C., who count 832 certified retirement experts in the United States.
Many traditional brokerage firms have even moved into the wishy-washy life-coach realm. These firms engage in conversations about life priorities as well as financial ones in order to add value to the services already provided.
During this boom in the retirement coach industry, pricing varies. Some are paid by the hour often more than $100 per hour, while others also use typical advisory fees, which can be up to 2% of total assets annually.
Like payments, training for retirement experts also varies. At the lowest level, one must simply take a multiple choice test for the Certified Retirement Counselor designation, while others go through intensive multi-course programs for Certified Specialist in Retirement Planning. If you want to learn more about the different designations and their qualifications, visit this link.
Many retirement ask questions like, “envision your typical day, month, year and what would they be?” These questions are meant to help find activities that their clients can be happily engaged in. This is often especially important for those who found a great sense of satisfaction and affirmation in their jobs.
Retirement experts come in all sorts of varieties and it is important that you find one who is qualified to meet your specific needs.