It’s never too early nor too late to start thinking about retirement and planning for one. It takes careful planning for your money to last a lifetime. Here are simple action steps you can take today to start preparing for your golden years head:
- Assess your current situation. When you start planning for anything, you should take stock in your current financial situation. Think about both your current income and expenses today and ask yourself if it’s going to be the same in retirement?
- Define your ideal retirement. Before you focus on savings, the first thing to ask yourself is how do I want to retire? For many, this includes traveling abroad and spending everyday at the beach. While others enjoy just simple days on their porch every morning. No matter how complex or how simple you plan on living out your retirement, it will come with expenses.
- Crunch the numbers. Now you have a clearer picture of how you want to spend your retirement, you’ll want to estimate how much it’d take to support it. Compare all known sources of income (current and expected such as Social Security benefits, home equity, and investment portfolios) with your projected expenses. Any shortfall will have to come from your personal savings.
- Get a health checkup. As you get older, your health may become more of a concern to you and it may become one of your largest expenses in retirement. If you’re still currently working, you employer may be paying the majority of your health insurance premiums. But what happens when they no longer do? It’s important to understand what Medicare or Medicaid can offer you all the while considering a long-term care policy.
Funding your dream retirement lifestyle requires careful planning. And thinking about these aspects will help you get a better understanding what you’ll need, how you’ll live, and more importantly, how you’ll plan for it. Not sure where you start? Give us a call today and we’ll help you get on the right track for retirement.
The content within this document is for informational and educational purposes only and does not constitute legal or tax advice. Customers should consult a legal or tax professional regarding their own situation. This document is not an offer to purchase, sell, replace, or exchange any product. Insurance products and any related guarantees are backed by the claims paying ability of an insurance company. Insurance policy applications are vetted through an underwriting process set forth by the issuing insurance company. Some applications may not be accepted based upon adverse underwriting results.