In this episode of The Engineering Career Coach Podcast, I talk with Bill Keen, CRPC who is the founder and CEO of Keen Wealth Advisors – a fiduciary investment firm that focuses on retirement planning and investing for the engineering community nationwide. We will be talking about retirement for engineers and everything around that including a checklist that you can use to prepare yourself for your engineering retirement. Towards the end of the episode, Bill also gives listeners of this episode a free gift, so be sure to listen to the end.
Here Are Some of the Key Points Discussed About Engineering Retirement:
- The first years of my career as a professional were like a cross between the first half of the original movie “Wall Street”, and the entire movie “The Pursuit of Happiness”. It was initially hard when I started out in my career as I had no assets, no family money or no influence to fall back on.
- Most financial advisors try to avoid engineers because they believe they are too detail-oriented, too smart, or that their standards are too high and that it would be too difficult to work with them. I have found engineers to be the best clients to work with because of these factors.
- An ESOP Plan is an Employee Stock Ownership Plan and is very common in the engineering community. It simply means that the employees own the firm. One of the benefits of this is that it helps engineers to think like owners which can be very beneficial to the firm. It also helps employee-owners to think about the affects the business could have on their family’s wealth.
- Understanding at what point in time you can start to diversify some of your holdings is an important concept. Typically, it is around the age of 50 that firms will allow you to do it. Regulations (which you should confirm) allow you to diversify some of your holdings without having to leave the company you work for.
- To manage your own financial life requires some real thought and discernment. There is a checklist driven process that you can use for the 3 important phases of your retirement planning as listed below.
Retirement Checklist Process:
1. The Why; The Blueprint, or the Financial Plan:
A financial plan will encompass the vision for your future. There is a lot of work that needs to go into the vision of the plan. You also need to understand where you would like to be in 3, 5, 10 and 20 years. Numbers are very important, but it’s not just about numbers.
2. The Engine to the Plan or the Power Plant:
These are the various investments that will fund retirement. It’s important to understand the asset allocation for the different phases of investing and retirement as time permits.
3. The Emotional, Social and Psychology Aspects Related to Retirement Thinking, Planning and Living:
You need to have something to retire to and not just from. Think about what your retirement will look like, from a social aspect as well as a relational aspect.
More in this episode…
In the Take Action Today segment of the show, Bill provides a great example of why we shouldn’t take shortcuts in our life, especially when it comes to our career and retirement planning.
About Bill Keen, CRPC
Bill Keen’s interest in finances began at an early age when he was exposed to financial hardship. In his own words, “By age ten, I knew I would have to learn to understand saving and investing to be able to eventually assist my family.”
As founder and CEO of Keen Wealth Advisors, Bill’s desire was to build one of the country’s most personal and trusted fiduciary wealth and retirement advisory firms. With the heart of a teacher, his objective is to bring financial and retirement literacy to those serious about planning for their future. In addition, Bill and his team have a unique specialty in advising those within the engineering community, on issues such as ESOP plans, compensation, taxes, and benefits planning. He brings nearly three decades of experience to the table.
Bill is the bestselling author of the book, Keen on Retirement – Engineering the Second Half of Your Life, which can be found on Amazon. He also co-hosts Keen On Retirement, a podcast designed to provide Keen Wealth Advisors’ friends and clients with an additional tool to stay informed and educated on key issues related to retirement planning and investing. He is regularly asked to share his thinking with national media outlets such as U.S. News and World Report, Reuters, The Wall Street Journal’s Market Watch, and Yahoo! Finance.
Preparation for old age should begin not later than one’s teens. A life which is empty of purpose until 65 will not suddenly become filled on retirement. – Dwight L. Moody
Resources and Links Mentioned in This Session Include:
Engineering Management Accelerator Workshop (Online) | 5 PDHs
Engineering Management Institute Professional Membership
TECC 65: Personal Finance for Engineers – The Engineering Career Coach Podcast
TECC 73: Real Estate Investing 101 for Engineers – The Engineering Career Coach Podcast
EMI’s YouTube Channel
Keen on Retirement
Why We Love Working With Engineers at Keen Wealth Advisors
Contact Bill Keen
Bill Keen’s LinkedIn Profile
Books Mentioned in this Episode:
When should engineers start planning for their engineering retirement?
We would love to hear any questions you might have or stories you might share on how you should engineer your engineering retirement.
Please leave your comments, feedback or questions in the section below.
To your success,
Anthony Fasano, PE, LEED AP
Engineering Management Institute
Author of Engineer Your Own Success