Are you retiring soon?
You need to have a retirement plan in place to help guide you through this transition. It’s important to understand what type of strategy would work best for you, so here are some areas to focus on to help you prepare as the transition approaches.
How much monthly income will you need?
Unfortunately, there is no “magic” number for everyone to strive for.
Instead, examine your monthly expenses, considering any trips you have in mind for the near term. As a test, you can even try living on your projected monthly income for 2-3 months prior to retiring. We have resources on our website to help with this as well, including our retirement income planning guide where we walk you through the process of answering the essential questions that come with planning for retirement income. You can also listen to our podcast on developing a retirement withdrawal strategy.
Should you downsize or relocate?
Your home is not only a significant asset, it also represents a significant part of your lifestyle.
It follows that the decision of how much home we want—or need—may vary with each situation; it is not strictly a financial decision. However, if you are considering downsizing or relocating, the financial component of the decision should be considered thoughtfully.
How should your portfolio be constructed?
For many retirees, the top priority is generating consistent income.
With that in mind, we can adjust your portfolio with respect to your time horizon, risk tolerance, and goals through our Wealth Management service.
How will you live?
Whether you dream of endless Saturdays or dedicating your time to volunteering, remember that retiring is a beginning.
Ask yourself what you would like to begin doing now, and think about how to structure your days to pursue that goal. There’s no better way to prepare for what may come than to practice in the present. You can also read our blog post on 4 secrets to a happy retirement.
How will you take care of yourself?
If you retire before age 65, Medicare may not be an option. There are 3 primary options available to obtain coverage to bridge the gap between your retirement and enrolling in Medicare.
You can read more here about navigating health care between retirement and medicare. Even if you retire at 65 or later, Medicare may not be your ideal solution. Consider items Medicare doesn’t traditionally cover, such as extended care or other specialized medical services.
Review your retirement strategy as the transition approaches
3 out of 4 baby boomers don’t have a detailed retirement plan. Without a retirement plan, it makes it hard to anticipate what may come next.
You’ll need to consider those big purchases, how often you will buy cars, and if you are going to move. Life can feel much more uncertain in retirement without the dependability of a steady income you’ve relied on your entire working life. Without a plan, opportunities could pass you by each year. Contact us today to learn more about getting started on a Financial Plan or Wealth Management to make sure that you’re on the right track to retirement.
You can also download our Pre-Retirement Checklist here.
