As you may have learned during your working days, 80% of results come from just 20% of actions. This concept, known as the Pareto Principle, can save you time, meaning you have more of it to enjoy during your retirement.
You may have seen that 20% of customers accounted for 80% of profits in business. Or that 80% of expenses came from only 20% of items purchased.
In your personal life, it’s possible that you spend 80% of your time in 20% of your house. Or that you wear the same 20% of your wardrobe 80% of the time.
How the Pareto Principle Applies to Retirement
It may seem like you’re busier than ever, even though you don’t have a job to go to each day.
Begin by making a list of all the tasks, activities, and responsibilities in your life.
Decide which of them represents the top 80% of the “results” you’re looking for. In this case, results may be time with family, downsizing your home, or volunteering your time to something you’re passionate about.
Now, look at where you’re spending most of your time.
If you’re like most people, you spend a lot of time organizing your home or finances, running errands, making calls, and scheduling appointments. And chances are, most of the time, these activities are not bringing you closer to the retired lifestyle you want.
The great news is that there’s a solution!
Just like when you were still in the workforce and would delegate or outsource tasks, you can do the same thing!
There are some tasks that could be delegated to others. You could, for example, hire a personal assistant and daily money manager to help you organize your filing system or manage finances. This may entail spending some of one’s hard-earned money. However, you can use this extra time to focus more on what is most important to you.
Time is valuable! Even more so in retirement.
Would you rather be enjoying your free time or spending it scheduling appointments and plowing through financial statements?
Don’t be afraid to ask for help so you can spend your time doing the things you’d always dreamed of.