There was good news for expat "lifers" in the UAE last week. From next year, residents aged 55 or over will be eligible for a five-year retirement visa providing they own property worth AED2m, have AED1m in savings or an income of AED20,000 per month.
There are many advantages to residents putting down roots and keeping their savings in the UAE. Having a greater age range in the country will also add new perspectives and talent.
But it should also make us think about how we provide for life after work. Expats must find a way to save more of their money for a longer period. While the UAE is now a lifestyle destination rather than a hardship posting, we must still put in the hard graft.
Another blind spot is how we envisage our retirement. Pension providers sell us a dream much like the picture above, encouraging us to plan for a fun-filled and adventurous second youth. All we have to is trust these money men (and it’s mainly men) to invest wisely on our behalf, leaving us to plan for a never-ending gap year on the beaches of Thailand or bucolic seclusion in the depths of rural Europe.
While this sounds glorious, let’s assume you are lucky to live into your 80s and beyond – then what? For the past eight decades, Harvard University researchers have tracked the lives of the same group of men, and their conclusion is emphatic: happiness and health stem from strong relationships, while isolation speeds both mental and physical decline. This needs to be taken into account when deciding where to head to next.
In this edition of Inside AB, Bernd Debusmann and Jeremy Lawrence look at the uncomfortable truth about how we think and plan for our golden years.
(Source: Arabianbusiness.com YouTube channel)