The tens of millions of baby boomers retiring over the next 20 years are changing the meaning of leisure in retirement. A recent study by AgeWave and Bank of America Merrill Lynch has determined that retirees move through four distinct stages of retirement leisure.

Stage 1. Winding down & Gearing Up: 5 years or less before retirement:

Many in this stage feel highly stressed because they are so busy and 74% identify work as the biggest barrier to them having more fulfilling leisure time. At this stage leisure travel is about escape and recharging one’s batteries. And in the 2 years before retirement most soon-to-be retirees don’t travel as much and spend less also. They feel optimistic about retirement leisure and are focusing on gearing up for the next stage.

Stage 2. Liberation & Self-Discovery: 0-2 years into retirement:

Once people do retire, they finally feel they have enough free time to do all the things they want. There’s an enormous sense of liberation and relief as nearly all say retirement provides them the freedom to finally do what they want on their own terms.

In this stage, many retirees seek personal growth and adventure, including biking, hiking, and enjoying trips that offer learning and even home sharing. 72% want to try new leisure activities. Leisure is clearly a priority for retirees at this stage, but 24% continue to work with 68% of those retirees working part time. Also 22% of retirees in this stage of retirement leisure enjoy regularly volunteering their time.

Some early retirees feel unsettled, anxious and even bored after spending most of their life in a work-centered identity. Over a third of them say it’s harder to structure their time than before they retired and almost half feel guilty about not using leisure productively.

Stage 3. Greater Freedom & New Choices: 3-15 years into retirement:

Once retirees settle into retirement and successfully move through the transition away from work they appreciate and enjoy their leisure even more. As retirees embrace their new leisure identity, feelings of happiness, contentment and confidence are high, spontaneity peaks; anxiety wanes.  They find comfort with their post-work identity. Guilt dissipates and the structuring of free time improves significantly. Retirees are now most likely to exercise, shop, read for pleasure, volunteer, take classes and socialize with friends.

Spending on leisure travel and frequency of travel both increase. Travelers seek to see, feel, and learn new things. They want to make special new memories – particularly ones shared with loved ones. ‘Voluntourism’, cruises, adventure travel, international sightseeing, RV travel and overnight spa trips are common. Only 9% continue working at this stage.

Stage 4. Contentment & Accommodation: More than 15 years into retirement:

Maintaining health and independence is even more important to these retirees. Most of their leisure time is spent relaxing or connecting with family and friends. Life becomes even more simplified. Instead of discovering new activities, familiar ones are enjoyed. Retirees at this stage can be less energetic, more financially constrained and more physically limited than earlier in retirement. They seek to connect with family and friends in all types of leisure including multi-generational travel with grandchildren and heritage trips.

At this stage health conditions are more pervasive and can limit leisure experiences. Also the majority of retirees are dealing with an increase in doctor visits and medical care. Some are involved with care-giving for a spouse or partner.

A Note to Young Entrepreneurs:

“As the age wave grows, this leisure economy will diversify and multiply, reaching a cumulative total of $4.6 trillion which will likely create an unprecedented opportunity for the leisure industry.” This sector of business will boom over the next 20 years and will offer prime opportunities for employment and investment.

The full article in the Huffington Post by Ken Dychtwald can be found here.