Using Stress As an Advantage: Tips for Beating Retirement Anxiety

No one enjoys feeling anxiety about major life events.  And when it comes to finances, the stress can be overwhelming.  As a life settlement broker, Welcome Funds understands the challenges faced by seniors, many of whom are living on fixed incomes and lack the opportunity to financially reinvent themselves.

However, it's important to address financial anxiety head-on rather than avoid it.  According to the American Psychological Association, avoiding financial matters can lead to more problems and long-term anxiety.  But what if stress could be used to your advantage?

Recent scientific evidence suggests that stress does not have to be harmful if the mindset and belief system is changed.  Dr. Kelly McGonigal, a renowned psychologist at Stanford University, explains in her powerful TED Talk that stress can actually be our friend.  Please find below some surprising findings from her research that could help seniors who are struggling with financial anxiety:

1.  Beliefs About Stress Matter

While stress is associated with health risks, a landmark study revealed that individuals who experience stress but do not believe in its negative effects tend to be healthier and happier.  By changing beliefs about stress, its ability to be harmful is neutralized.

2. Responses to Stress Improves Social Connections

When stressed, our bodies release oxytocin, a hormone that motivates us to seek connection and support from others.  Sharing feelings with a trusted individual can provide comfort and strength during difficult times.  Stress triggers the need to be surrounded by caring individuals.

3. Converting Stress Into Caring Creates Resilience

Research shows that caring for others can mitigate the negative effects of stress.  While major life experiences can increase the risk of dying by 30%, people who spend time caring for others show no stress-related increase in mortality.  By redirecting stress into caring for others, the body is provided with resilience to overcome its harmful effects.

Example of Confronting Financial Anxiety and Life Settlements

Once beliefs about stress have been changed and a new mindset is embraced, stress can be used as a motivator to confront financial anxiety.  An inspiring story of a 79-year-old man who faced mounting medical expenses due to pancreatic cancer is a great example of confronting financial anxiety.  Rather than ignoring the financial stress, he and his family sought help from a financial advisor.

The advisor discovered that the man owned a 10-year term life insurance policy that was about to become unaffordable.  Instead of allowing the life insurance policy to lapse, the advisor reached out to Welcome Funds to explore other options.  Welcome analyzed the policy and discovered that a life settlement could provide the financial relief the family needed.

A life settlement is an innovative retirement funding strategy gaining popularity among seniors.  If a senior has a life insurance policy that he or she no longer wants or can afford, then selling it to a licensed entity in a life settlement transaction for less than the death benefit but more than the cash surrender value can provide valuable cash, and peace of mind.  The buyer of the policy assumes all future premium payments. 

In the gentleman's case, his policy with a death benefit of $750,000 was sold for $112,000.  The lump sum payment provided immediate stress relief for his entire family, all because they took charge of their situation and sought help from a financial professional.

To learn more about life settlements or to receive a free life insurance policy appraisal, then please contact Welcome Funds, a licensed and experienced life settlement broker, at 877.227.4484 or visit www.welcomefunds.com.