Building wealth has its ups and downs.
And surprisingly, that’s a good thing.
Plant a flag on your retirement hill
(it's all yours to claim)
I reckon there's two phases to building wealth.
And it’s as simple as up and down.
The first phase is growing it. It's an uphill journey. You’re pushing.
There’s times when it feels like a sheer cliff. And other times like a gentle slope, powered by a bit of momentum.
The second phase, is about having options. You’ve pushed as far as you want to and reached the top of the hill.
With a plan, you cruise over the crest and fly down the far side, light as a feather, wind in your hair.
Ahh, retirement bliss.
Without a plan, there’s a risk you’ll slide back. Maybe not right to the bottom of the hill, but needing to push again — right when you’re ready to rest.
Working, when all you want to do, is put your feet up.
Your plan will determine if you cruise or crash.
I don't think anyone wants that second option. The slide back.
But that's just what can happen if you treat your business as your retirement plan.
You've pushed uphill — hard — to build that business asset.
But what happens when you want to offload it and convert it into your retirement kitty?
You rely on being able to sell for a certain price, right when you're ready.
Heck, you rely on being able to sell, at all.
It's a whole lot of pressure, right when you're ready to board the retirement train.
The solution is simple.
Build your retirement kitty separate from your business.
And treat any funds you receive from the sale or succession of your business as a fine excuse to spoil the grandkids, fly business class, book the over-water bungalow, buy the Tesla, donate to your favourite charity, or leave a legacy long after you've gone.
Less stress. Peace of mind. Good retirement vibes.
And all through carefully balancing your business and non-business assets, in a way that will serve you best, both now and down the track.
After all, you want to fly down the other side of that retirement hill (freewheeling, feet off the pedals if you like), when you're ready.
Right?