Wednesday, April 14, 2010

Retirement Strategies 15 April 2010

Bernard Kelly (right) Austrlia's Retirement Strategiest


There is a growing realization in society that Retirement – in the sense of that big long holiday when we opt out of the workforce – is an outmoded concept for Baby Boomers.

Most of us will still be too active at age 67 to want to stop, and forego all the benefits of working – discipline, friendships, and income.

And vertically no-one has saved enough for 20-25 years of comfortable retirement – even if you pay yourself $50,000 from your nest egg of $680,000 with the balance compounding at 7% pa, it will only last you 17 years. And how many people do you know have $680,000 tucked aside?

Not to mention the devastating impact on our finances of hospital and medical expenses as our bodies deteriorate, and the cost of re-jigging our homes to allow to continue living there.

But there are alternative strategies – for example my new website


If you are idly thinking that when you “retire” – whatever that means – you will be able to find other work, this new site will give you some ideas about the type of jobs that are emerging for seniors.

Go to


The Employee Benefit Research Institute in the US has just published its 2010 annual Retirement Confidence Survey.

The survey highlights the contrast between the dreams that Americans have for their retirement, compared to reality.

When asked “do you plan to retire before 60?” nine percent of respondents replied “yes” while in reality 31 percent do (This is mainly due to ill health and job loss).

When asked “do you plan to retire between 60 and 65?” nineteen percent replied “yes” while in reality 30 percent do.

When asked “do you plan to retire between 65 and 70?” forty eight percent replied “yes” while in reality 32 percent do.

When asked “do you plan to retire beyond 70?” twenty four percent of respondents replied “yes” while in reality only seven percent do.

I would expect that much the same mismatches are prevalent here in Australia.


I was chatting with a teacher from Melbourne– and he was certainly well into his sixties – who works in the Middle East.

He mentioned to me that there is an insatiable demand for skills there, particularly those who speak English as their mother tongue.

Whatever your background - sales and marketing, secretarial and office, information technology, managerial, domestic, drivers, beauty and fitness, travel and tourism, hotel industry, engineering / technical, medical, restaurant and catering, accounting, and even experienced “labor” – it looks like it’s all there.

So if you don’t have enough for 20-25 years of comfortable retirement, five years in the middle east may well give your retirement funds quite a substantial boost.

One of the many employment websites is


A recent survey by - the largest online employment website in the United States – found that over 70% of respondents (late career employees over 60) were deferring retirement as they have realised that they don’t have enough to stop working.

The gender breakdown of those who gave this response was 76% women and 68% men.


Every Saturday we shop in Oakleigh – a traditional Greek suburb in Melbourne – because the culture there is just so different to those anglo suburbs where I spent my previous life (I’m now 66).

And one of my favourite stores in Oakleigh is Con’s Hardware.

Now this must be a really profitable retirement hobby. Nothing is packaged, nothing is priced, but Con knows where everything is, and you somehow know that his prices are very moderate. He just stands out the front, chatting with everyone, and people drift in and out. He never seems to do anything else.

My estimate is that the loose-item stock is probably worth around $25,000 wholesale and the turnover might be $3,000 per week – but who knows? - which would mean that revenue would be in excess of $150,000 pa.

So Con would be able to replenish his stock four times annually, pay some rent, and still have a comfortable income.

If you’re a handyman, this could be a very profitable retirement hobby for you. All you’ll need is a low rental shop in a busy community with lots of pedestrian traffic.


The survey by the American Society of Actuaries – released on 1 April - reported that 72 percent of adults over 45 who haven't retired yet feel they have to save more because of the on-going US recession.

And 71 percent of pre-retirement adults last year said that they were concerned about the value of their savings being eventually eroded by inflation, up from 63 percent in 2007.

If you are similarly concerned, there are options. Contact me – Bernard Kelly – anytime. My email is

Don’t wait for the planets to be aligned. I keep telling you - you’re quickly running out of birthdays!


To enable you always to be keep abreast of new pathways to retirement, we have now established a membership site.

Go to

You can either join as a Free or Full member.

Naturally Full members – who pay $110 pa for membership – receive many more privileges.


You probably know many people who need my experience and expertise right now.
Here’s the deal – you invite a few people to a lunch or after-work seminar, and I’ll present Retirement Strategies for Employees.

I’ll pay you $150 for your expenses, and a further $1000 for every participant who has me share an investment property with them.

About Bernard Kelly:

Bernard Kelly BEcon MBA CRPC Australia’s Retirement Strategist, is a highly sought-after advisor, retirement authority, thought-leader, author and radio commentator because he makes the complicated and mundane topics of investing and retirement fun! Bernard has over 20 years experience providing families with financial thought. He is the author of Live Your Dreams in Retirement, Property Investing for Couples, Goolwa by Breakfast and Raising Decent Kids into Substantial Wealth and publishes a fortnightly newsletter that reaches thousands of subscribers worldwide.

19 Prospect Street, Box Hill 3128 Australia. Tel 61-3-9899 8577

mobile 0414 778 518 skype bernard.kelly1944


At 1:46 pm, Blogger Robin said...

Careers in the Emirates.

Yes, there are some good career opportunities, however, they are only "good" for professionals and higher level employees. Most trade, manual labour, shop assistant and lower level jobs pay an absolute pittance ($300 per month for a maid who works 12h per day, six or seven days per week and gets free food and dingy accommodation). This is because they can fill those jobs with Indians, Filipinos, Nepalese and others who are accustomed to much lower salaries. I worked as a business and computing teacher for three years and it was wonderful. However, make sure you know what your conditions of service and salary will be BEFORE you commit. It's not a democracy over there and there are no unions, rights of appeal etc.


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