No Water, No Problem? Why Retiring Without a Backup Plan Can Leave You Parched
- Shannon Davis
- Sep 10
- 3 min read
Last month, a water main broke in our neighborhood. Totally unexpected, totally inconvenient.
I usually feel pretty secure during storms or power outages because yes, we have a whole-house generator humming away. But no water? That was a curveball I didn’t see coming.
To make it worse, I had just asked my husband to stop buying disposable plastic water bottles. So there we were: no tap water, no bottled stash, and no good way to brush our teeth. We had plenty of bourbon and beer in the house - but let’s be honest, neither one is what you want to rinse with before bed. (Though it might make for an interesting toothpaste commercial.)
Okay, fine, I’m being dramatic. We could’ve gone to the store, a friend’s house, or even my gym. We had options. Still, the whole experience got me thinking: this little disruption was a lot like retirement. You don’t think much about your backup plan… until you really need one.
You Don’t Feel the Need for Backup—Until You Do
When you’re working and hit a financial bump, there are workarounds. Firefighters can pick up extra shifts. Public employees might take on side jobs. And let’s not forget the gig economy - Uber, tutoring, dog walking, delivering groceries… your hustle, your choice.
But when you retire? Suddenly, your backup water supply feels a lot harder to come by.
“Unretiring” Is on the Rise
Turns out, a lot of people are asking themselves the same question - and their answer is: keep working.
According to the Bureau of Labor Statistics, about 7% of the workforce in 2024 were Americans aged 65 and older. Bureau of Labor Statistics
And LendingTree reports that 22% of Americans aged 65 and up were working as of March 2024 - that’s more than one in five. InvestmentNewsHousingWire
As Benjamin Franklin once said, “By failing to prepare, you are preparing to fail.” In other words, not having a plan is still a plan - and not a great one.
Why Work Longer?
Working longer isn’t just about dodging boredom (though let’s face it, daytime TV only goes so far). For many, it’s a smart financial move:
Delaying Social Security can mean higher monthly benefits.
Waiting to withdraw from retirement accounts gives your money more time to grow.
Funding fewer retirement years means a better chance your savings last.
As T. Rowe Price aptly put it: “Even a few additional years of income have a positive effect on the probability that you won’t outlive your funds.” T. Rowe Price
And the advantage isn’t solely financial. Staying engaged can help with mental sharpness, physical health, and purpose. That said, we know working longer isn’t always straightforward - health changes, caregiving, or ageism can all complicate things.
So, What’s Your Backup Plan?
That surprise water outage reminded me how easy it is to overlook the basics. When life feels steady, we ignore the “what ifs.” But when disruption strikes - whether it’s no water or a financial twist - having options matters.
Retirement isn’t a finish line. It’s a new chapter and it deserves as much planning as your working years. Whether your backup plan is working longer, launching something new, or simply gaining peace of mind - strategy is your best ally.
If you’re nearing retirement or recently separated from public service, let’s walk through your 457(b) Deferred Comp Plan together. We'll make sure you’re not left high and dry.
Stay prepared (and keep the bourbon for celebrating, not brushing your teeth),
– Shannon
Sources
T. Rowe Price, 2024 U.S. Retirement Market Outlook - [Link to PDF]T. Rowe Price
LendingTree, 22% of Americans aged 65+ still working as of March 2024 - [Article]InvestmentNews
Bureau of Labor Statistics, 7% of workforce aged 65+ in 2024 - [Analysis]Bureau of Labor Statistics
