STOP! Watch what is happening around you!
In late July, while traveling North of Lexington, Kentucky, it became obvious that I needed the Rest Area just ahead. Heading back to my car, I stopped for a moment, amazed at the focus of three youth who appeared of high school age. Each was intently watching their cell phone screen, paying absolutely no attention to their surroundings. While I have never downloaded or played the game, it was easy to conclude they were individually and corporately trying to find and catch Pokémon. Paying no attention to cars exiting the Interstate, these three youth appeared in definite danger of not reaching adulthood. I wanted to scream at them, “Pay attention,” but it would have accomplished little.
Pokémon Go as a financial planner
This background probably helps you understand my surprise when I discovered a July 12 article in napa-net.org by Nevin Adams, “3 Things Retirement Savers Can Learn from Pokémon Go.” Surely you jest! While I will never receive a financial planning bill from Squirtle or Charmander, I learned three principles of sound planning from this phenomenon.
“Your odds improve if you take action.”
While many video games seem to encourage players to zone out and become the proverbial couch potato, this game draws participants into the real world. The players I observed just off Interstate 75 were not sitting! They were taking action.
If anyone wants a solid retirement nest egg, action must be taken! If you want any retirement savings, you have have to decide to start and then act. Wishing and hoping will not provide the results desired.
“Contributing more can get you to the finish line faster.”
While Pokémon Go may be played without charge, an online shop exits where competitors are able to acquire incense, additional Pokéballs, and more. These extra purchases provide a much better opportunity to reach the finish line ahead of others.
Retirement savings operates in a similar fashion. Anyone may decide to continue with the minimum required to participate. That is true of the Christian Churches Pension Plan, an IRA, 403(b), or other retirement savings vehicle. It is also true there are no restrictions preventing anyone who decides to increase the amount committed to retirement savings. It is a virtual guarantee that contributing more will get you where you wish earlier!
“Every so often you need to look where you’re going.”
Aha! It seems that I am not the only person to have observed some with an unhealthy fixation on the game screen. If players fail to look up, they will walk into an object, fall into a ditch, or worse.
When saving for retirement, there is no autopilot that can be trusted. There are many Target Date funds and “robo plans” that have been created of late. While any or all of these may be useful to generate more retirement savings, if we do not occasionally revisit our goals and investment performance we place ourselves directly in the path of danger.
Well, who would have thought Pokémon Go would have no purpose in retirement planning?