Retirement represents a significant transition that most people are eager to make. In fact, a recent Wealth Enhancement survey found that 90% of older Americans don’t regret retiring when they did, and 33% of retirees say their senior years are going better than expected.
But a big part of enjoying retirement to the fullest is approaching it strategically. Here are some of the top things Americans do well in retirement — and why you should aim to emulate them.
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1. They invest strategically
Recent data by Schroders found that 37% of retirees consider themselves comfortable, while 5% say they’re living the dream. But 84% of Americans would like to better protect their nest egg from inflation. The best way to do that is to invest strategically.
Some believe that retirees shouldn’t invest in the stock market at all, but that’s not wise advice. If you want your savings to outpace inflation, you must keep a portion of your portfolio in stocks. The exact percentage will depend on your income needs and risk tolerance.
For some, a 50/50 split between stocks and bonds allows for moderate growth without causing undue stress. If you’re more risk-averse, a portfolio that’s 30% stocks and 70% bonds may be more appropriate for you. It’s a good idea to work with a financial advisor on a retirement portfolio that produces income and growth so you don’t have to worry about losing buying power from year to year.
2. They manage their retirement plan withdrawals carefully
A recent Allianz survey found that 64% of Americans are more concerned with running out of money in retirement than dying. To avoid this, you need to have a carefully planned withdrawal strategy and be willing to make adjustments when needed.
For many years, financial advisors have promoted the 4% rule, which advises withdrawing 4% of your savings in the first year of retirement and then adjusting future withdrawals to account for inflation. However, depending on the interest rates, a 4% withdrawal rate may not be optimal.
In 2021, Morningstar stated that an ideal withdrawal rate for the typical retiree was 3.3%. It then adjusted that rate to 3.8% in 2022, 4% in 2023, and 3.7% in 2024 based on bond yields. However, in May 2025, Morningstar reported that Bill Bergen, the financial advisor behind the 4% rule, now believes that the safe withdrawal rate is closer to 4.7%.
The figure is up for some debate, which is why it’s a good idea to work with a financial professional who can help you stretch your nest egg during retirement. They will take into account your income needs as well as market conditions. Of course, it helps if you can be flexible about how much money you’re drawing in case there’s a period when you need to scale back.
Read more: Americans are ‘revenge saving’ to survive — but millions only get a measly 1% on their savings. Here’s how to quickly earn 280% more on your cash
3. They stay healthy and active
Taking care of your health in retirement may not just lead to a longer life — it could also save you money if you can stave off serious medical issues and keep your healthcare costs down.
A recent Transamerica survey found that 67% of retirees today are prioritizing being healthy and fit. To that end, it’s a good idea to establish a fitness routine that keeps you moving regularly.
What that looks like depends on you (and it’s a good idea to consult with a doctor before you start a new fitness regimen). For example, if you enjoy swimming, getting a membership at a community pool and doing laps three days a week could be a great activity. Or you could schedule a regular tennis match with a friend.
And staying active doesn’t have to be complicated. Walking is also a great form of exercise and is gentle on the body. If you love animals and can afford one, consider getting a dog. Companionship aside, it’s a great way to push yourself to walk consistently.
4.They prioritize time with loved ones
When you’re working a full-time job and running a busy household, it can be challenging to find the hours to spend with the people who mean the most to you.
The benefit of being retired is having the time to spend with the people you care about. So if that’s what makes you happiest, make it a priority. Transamerica found that 58% of retirees today are spending more time with family and friends.
If you don’t have loved ones nearby, you may want to consider a move if it’s financially feasible. Otherwise, don’t forget that technology makes it easier than ever to stay in touch.
If in-person contact isn’t something you can do regularly, schedule a standing FaceTime date with your grown children, siblings, and other important people in your life to stay connected.
5.They find new purpose
It’s not uncommon for retirees to lose their emotional footing once they’re no longer somebody’s employee. Unfortunately, many people tie their identities to a job. In retirement, it’s easy to feel like you don’t have a purpose and become depressed as a result.
That’s why it’s crucial to discover a new purpose in retirement. And there are many ways to do that.
You could go back to work. The Bureau of Labor Statistics reports that in 2024, 38.3% of Americans ages 65 and over worked part-time. Even if you don’t need the money, working a few days or shifts per week could help you settle into your routine, meet new people and, with the right job, do something you enjoy.
Volunteering is another great option to look at if you don’t need to chase a part-time paycheck.
According to the National Library of Medicine, various studies have found that volunteer work is associated with improved self-esteem, reduced depression, and an overall better quality of life.
Finding a cause to support, or several causes, could give you something meaningful to do with your newfound free time.
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This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
