Lindstrom Profile

By Richard Bambrick
Richard.Bambrick@gmail.com

John Lindstrom, a 62-year-old former computer manager for banking services companies, took a pension plan buyout from J.P Morgan Chase shortly after 9/11, but he is not sure he considers himself retired. “I feel like I’m not old enough to be retired,” Mr. Lindstrom says.

A resident of Rockville Centre, NY, Mr. Lindstrom is a Vietnam combat veteran who keeps fit through a regimen of running, swimming, bicycling and tennis. He also dabbles in a small interior painting and wall-papering business he set up several years ago to bring in some extra income. Although he has stayed ahead financially through some active securities investing, like many people approaching retirement age, his financial circumstances are far different than they were when he took the buyout.

“Banking had become very bureaucratic,” he says of his working conditions five years ago. “I played around with my 401K allocations, and I built it to the point where I could walk out the door.” As an active investor, Mr. Lindstrom benefited greatly from the stock market boom years during the 1990s, so much so that early retirement was a comfortable possibility. He and his wife Debbie, a 62-year-old court reporter, had become enamored with Sanibel, an island sanctuary off of Ft. Myers, FL. They purchased a condominium with the ultimate goal of leaving Long Island and retiring there.

“It was an impulse buy,” Mr. Lindstrom now says. “It was one of those days when the market went up 300 points and I told Debbie we made enough money on that one day to make the down payment.” That was shortly before the bubble burst, and their retirement plans changed.

The Lindstrom’s backup plan was to rent out the Florida apartment until they could make the move down there, but with the financial markets dropping, the market for vacation rentals also fell off the cliff. “By the time it was built and finished, we couldn’t rent it.” Nor could they sell it quickly without taking a big loss, and maintaining it along with their home in Rockville Centre became a financial burden. After three years, Mr. Lindstrom was able to sell off the condo at a slight loss, and their Florida retirement plans were put on hold.

“In the short term, we’re not going anywhere,” Mr. Lindstrom says, explaining that Mrs. Lindstrom’s son from her first marriage had just had a baby in New York City, and she has new ties to the area. “From Debbie’s point of view, a lot of it is the kids.” Mr. Lindstrom also has grown children living in the New York area.

“We’re presuming we’re going to end up staying here and travel a lot, a much as the budget will allow,” Mr. Lindstrom says, although he acknowledges the allure of Sanibel remains. An improving stock market could change their circumstances, and becoming eligible for Social Security will be a help. Nonetheless, Mr. Lindstrom notes “We need to reduce our monthly outflow.”

The Lindstrom’s have health insurance coverage as part of the buyout package from JP Morgan Chase, although the monthly premiums go up each year. Similarly, housing and school taxes in Rockville Centre have also been on a steady ascent. For now, they are not considering downsizing because they are comfortable in the neighborhood. “From a personal point of view, as you get older, you get more comfortable with things,” Mr. Lindstrom says. Moreover, he has regular tennis partners here, and friends at the gym where he works out.

“What Debbie and I really love is Sanibel,” Mr. Lindstrom says, but even that is a tradeoff with living here. “Weather is a lot of it. It’s beautiful there most of the year, but the summer can be unbearable. Here, we have winters that stink, but the rest of the year is OK.”

Ultimately, if Rockville Centre becomes too expensive, Mr. Lindstrom says he will sell the house and find a lest costly place to live, probably in Florida. “We’ll live a simple, quiet life, and once in a while come up and see the kids.”