If Retirement Planning Sounds Greek to You, You’re on the Right Track
Applying three key tenets of Aristotle’s teachings can help crystalize your personal and financial perspective in the age of COVID-19.


What if Aristotle were your financial professional? Once you got past replacing your laptop with a stone tablet, a noticeable lack of air conditioning, and trading in your shoes for sandals, perhaps you could visualize the possibility. Now can you imagine what this ancient Greek philosopher would say about such things as Social Security, 401(k) plans and living on a golf course? And what might he say about retirement planning in the age of COVID-19?
Well, consider one of the more famous quotes often attributed — rightly or wrongly — to Aristotle: “It is the mark of an educated mind to be able to entertain a thought without accepting it.” While many interpretations have been attached to this sentiment, thinking outside the box could serve as an accurate modern take on its meaning. For example, no matter what your view is of this pandemic, it has likely affected how creatively you’re thinking about your financial portfolio and plans for retirement. If this is the case, you’re not alone. In recent research by the global marketing agency Metia, 29% of investors surveyed said the pandemic has motivated them to spend more time than usual learning about financial planning, and 38% who work with a financial professional and consider themselves financially literate have changed their distribution strategy.
How do you apply the philosophical tenets of Aristotle to retirement planning? As I see it, an Aristotelian strategy for investors would likely follow his three appeals of persuasion: ethos, pathos and logos, first created circa 360 B.C. On a high level, the ethos would represent your financial professional’s credibility and trustworthiness. The pathos would be your financial professional’s ability to move and motivate you emotionally. And the logos would represent the intellectual and financial reasons why you should follow the path that you and your financial professional have mapped out.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
For this exercise, the three appeals – ethos, pathos and logos – represent the three-legged stool of your retirement plan:
Part 1: Ethos
Ethos is a Greek word meaning “character” that Aristotle would use to describe the guiding beliefs or ideals that characterize a community, nation or ideology. Or, in our scenario, a retirement plan. When you plan for retirement, your plan needs to have credibility. You need to believe in it and trust your financial professional in order for the plan to have a chance to work.
For Aristotle, the purpose of ethos was to “inspire trust” in his audience. So, let’s consider a few key questions regarding the ethos leg of your plan.
- Trust: Do you and your financial professional trust each other?
- Competence: Do you believe in your financial professional’s expertise, skill and ability to guide you? In particular, do you believe your financial professional can help guide you through this disruption?
- Empathy: Do you and your financial professional both believe in your retirement plan?
- Commitment: Are you committed to following through with your retirement plan and making any necessary adjustments to push through this pandemic?
Nearly half of investors surveyed by the Alliance for Lifetime Income recently said they are feeling more stress now than they did when the COVID-19 crisis started. Financial stress can lead to emotional mistakes that can dismantle a well-devised retirement plan. That’s why mutual trust between you and your financial professional is more important than ever.
Part 2: Pathos
Pathos is a Greek word meaning “suffering” or “experience” that Aristotle would use to awaken emotion or inspire passion in his audience. What observations come to mind for this part of your retirement plan?
- Persona: Who will you be in retirement?
- Passion: Will you uncover and discover your passion in retirement?
- Purpose: Will you take that passion and follow a path in retirement?
- Path: While COVID-19 has likely changed your direction, will you stay on that path to wherever it leads to and through retirement?
The four p’s of pathos are the essence of your retirement identity and will ultimately enable you to create your retirement story. A plan is more than a number, and a successful portfolio that reflects your life can provide you with the resiliency to handle a life crisis.
Part 3: Logos
Logos is a Greek word meaning “reason” or “logic,” among other things. Aristotle applied the term to refer to “reasoned discourse.” And for our retirement plan, these are the logical and intellectual observations to consider when staying on track.
- Expectation: Are my retirement dreams in line with my retirement portfolio?
- Balance: Is my retirement portfolio balanced for reasonable risk and reward?
- Reason: Do I really understand the potential length and cost of retirement? And have I made the necessary crisis-management adjustments?
- Advice: Am I listening to my financial professional, and is my professional financial professional hearing me?
How do you put the three appeals of ethos, pathos and logos into motion? As Aristotle also is often credited as saying, “We are what we repeatedly do. Excellence, then is not an act, but a habit.” In other words, in order for any retirement plan to work, you must follow it. And that is simple, direct and unchanged in any century — sound advice that any ancient philosopher or contemporary professional would endorse in any market.
Disclaimer
Phil Wright leads a content development team for Jackson National Life Distributors LLC (JNLD) and is an award-winning financial writer. He started with the company in 1994 and focuses on the development and creation of digital content and thought leadership. He is a Registered Principal and Certified Fund Specialist (CFS®).
Disclaimer
Jackson is the marketing name for Jackson National Life Insurance Company (Home Office: Lansing, Michigan) and Jackson National Life Insurance Company of New York (Home Office: Purchase, New York). Jackson National Life Distributors LLC.
Get Kiplinger Today newsletter — free
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.
Phil Wright is Vice President of Marketing Communications at Jackson National Life Distributors LLC (JNLD) and an award-winning financial writer. He started with the company in 1994 and focuses on the development and creation of marketing business content. He is a Registered Principal and Certified Fund Specialist (CFS®).
-
Walmart's Transformative Ways Spark a 100,000% Stock Return
Walmart's strategic store expansion and relentless cost-cutting have catapulted its share price over the years.
By Louis Navellier Published
-
What DOGE is Doing Now
The Kiplinger Letter As Musk's DOGE pursues its ambitious agenda, uncertainty and legal challenges are mounting — causing frustration for Trump.
By Matthew Housiaux Published
-
How Roth Accounts Can Ease Your Tax Burden in Retirement
Strategic Roth IRA conversions can set you up for tax-free income in retirement and a tax-free inheritance for the people you love.
By Jim Hanna Published
-
Are You a High Earner But Still Broke? Five Fixes for That
If you're a HENRY (a higher earner, not rich yet) but feel like you still live paycheck to paycheck, there are steps you can take to get control of your financial future.
By Mallon FitzPatrick, CFP®, AEP®, CLU® Published
-
Tax Diversification: Smart Ways to Preserve Your Nest Egg
A long and active retirement may be costly — and may even bump you into a higher tax bracket. Paying some taxes on your savings now could be the answer.
By Nicholas Shaheen, CFP®, CIMA® Published
-
How to Thrive in Retirement: Balancing the Tradeoffs
To cultivate a happy retirement, you need to tend to it as carefully as you would a flourishing garden, and that means making the right choices for you.
By David Conti, CPRC Published
-
Kick the IRS to the Curb in Retirement
That 401(k) or traditional IRA you've filled with your hard-earned money could turn into a tax bomb. Before it blows, see if a Roth could help rescue you.
By Scott Mallernee, CRPC® Published
-
How to Stop Scammers Targeting Your Retirement Savings
Anyone can fall victim to a financial scam, but retirees can be more vulnerable than most, so stay alert to these common tricks that could catch you off guard.
By Adam Powell Published
-
Choosing a Trustee? These Six Tips Can Help You Pick Wisely
How can you be sure a trust will be managed properly, without causing a headache for the beneficiaries? The key is choosing the right trustee (and a backup).
By Adam Frank Published
-
Five Things That Are Spiking Your Insurance Premium
It's a drag, but just as your expenses keep rising, so does the cost of doing business as an insurance company. That means higher premiums.
By Karl Susman, CPCU, LUTCF, CIC, CSFP, CFS, CPIA, AAI-M, PLCS Published