WEEKLY FOCUS – Contemplating a Second Career

When you were a child, you dreamed about what you’d do when you grew up. If you’re middle aged, you may be dreaming about what you’ll do when you retire. Retirement looks different today than it once did, with second careers becoming more and more popular. According to a Federal Reserve Board study, one third of those who retire eventually return to work on either a full- or part-time basis.

That’s not surprising. With average life expectancies around 80 years and many living comfortably to age 90, retirees have time to create a second act, which encompasses more than hobbies, golfing, or traveling. Retirees who don’t have enough outside interests may miss the social interaction and the sense of accomplishment of working. A second career can keep seniors’ minds sharp, offer a sense of connection, and provide the means to indulge in some added luxuries.

With less necessity to earn a certain level of income, retirees are free to do something new or make a difference. Many choose to address social problems by working with one of the nation’s 1.5 million nonprofits. Others teach, watch pets, or go into sales. Still others become entrepreneurs, consultants, or career coaches. Bureau of Labor research shows older workers have higher rates of self-employment than their younger counterparts.

Work flexibility is another advantage second careers have over first careers. Retired workers can decide how much they want to work and when. By leveraging the professional and interpersonal skills they’ve developed over the years, retirees can find a situation they find personally fulfilling, one that allows them to make new friends, meet new challenges, and achieve an optimal balance of work and leisure.

The best time to plan a second career is while you’re still working in your first career. Take time to research your aspirations and the market. Talk to people working in a role you’re interested in. Ask to job shadow. Expand your network. Try living on a lower income as a trial run. Build your skills by volunteering or taking classes.

We’re here to help you achieve your goals. Whether you’re looking forward to traditional retirement or a second career, we can help you evaluate your financial situation, so you can make the decision that’s best for you.
THE MARKETS

Stocks rose Friday amid optimism around earnings, stimulus talks, and the vaccines rollout. The three major indices posted their best weekly gains since November; the S&P 500 and Nasdaq ended at record closing highs. For the week, the Dow rose 3.90 percent to close at 31,148.24. The S&P gained 4.67 percent to finish at 3,886.83, and the NASDAQ climbed 6.04 percent to end at 13,856.30.
Seller’s Market — There were 1.07 million existing homes for sale nationwide as of Dec. 31, 2020. Two years earlier, on Dec. 31, 2018, there were 1.53 million existing homes for sale nationwide. Ten years earlier, on Dec. 31, 2010, there were 3.02 million existing homes for sale nationwide (source: National Association of Realtors, BTN Research).

Relief Dollars — 36 percent of stimulus payment money received by Americans from the March 2020 CARES Act was put into savings, while 35 percent was used to pay down debt (source: Federal Reserve Bank of New York, BTN Research).

Going My Way? — The three most popular states to move to during 2020 were Tennessee, Texas, and Florida. The three states with the greatest outflow of people during 2020 were California, Illinois, and New Jersey. The rankings are based upon more than 2 million rentals of moving trucks last year that involved a one-way interstate movement of furnishings, personal possessions, and clothing (source: U-Haul Migration Trends 2020, BTN Research).
Source: Morningstar.com. *Past performance is no guarantee of future results. Indexes are unmanaged and cannot be invested into directly. Three- and five-year returns are annualized. The Dow Jones Industrials, MSCI EAFE, Barclays US Agg Bond, NASDAQ and S&P, excluding “1 Week” returns, are based on total return, which is a reflection of return to an investor by reinvesting dividends after the deduction of withholding tax. (TR) indicates total return. MSCI EAFE returns stated in U.S. dollars.
    Matthew J. Lawler, Financial Advisor
Securities offered through Securities America, Inc. Member FINRA/SIPC Advisory Services offered through Securities America Advisors, Inc. Matthew J. Lawler Representative  F&M Wealth Management and F&M Bank are not affiliated with the Securities America Companies May Lose Value - Not FDIC-Insured - No Bank Guarantee - Not a Deposit - Not Insured by any Government Agency
* The Standard & Poor’s 500 (S&P 500) is an unmanaged group of securities considered to be representative of the stock market in general. The Dow Jones Industrial Average is a price-weighted index of 30 actively traded blue-chip stocks. NASDAQ Composite Index is an unmanaged, market-weighted index of all over-the-counter common stocks traded on the National Association of Securities Dealers Automated Quotation System. The Morgan Stanley Capital International Europe, Australia and Far East Index (MSCI EAFE Index) is a widely recognized benchmark of non-U.S. stock markets. It is an unmanaged index composed of a sample of companies representative of the market structure of 20 European and Pacific Basin countries and includes reinvestment of all dividends. Barclays Capital Aggregate Bond Index is an unmanaged index comprised of U.S. investment-grade, fixed-rate bond market securities, including government, government agency, corporate and mortgage-backed securities between one and 10 years. Written by Securities America, Copyright February 2021. All rights reserved. Securities offered through Securities America, Inc., Member FINRA/SIPC. SAI#3442715.1