Planning Ahead for Changes in Retirement

Change is inevitable. Retirement is one major life change that can either leave you feeling anxious or help you find meaning. While unexpected events do happen, planning and being ready for the retirement years can better help you deal with unforeseen events along the journey. Life is full of highs and lows, but it’s your choice what you make of it. Therefore, envision what you want in retirement and make it your reality.

Financial Lessons

Learn from others. Some retirees fail to establish a financial plan; others have not contributed funds to their retirement plan; many retirees start Social Security distributions too early; and others spend beyond their means. Making financial changes in the decades leading up to retirement can help you stay on track so you can reach your retirement goals. As you move closer to retirement, keep in mind that inflation, rising health-care costs, and general market volatility are some risks that may contribute to the financial uncertainty you experience during the retirement years.

Take Time to Plan Your Retirement

How much money will you need in retirement? Retirement experts estimate varying amounts depending on your current income and spending, the age at which you retire, how long you live, how much you plan to spend in retirement, and the sources of income available to you during retirement. If you haven’t already started thinking about retirement, now is a good time. Start saving or keep saving to give your money time to grow before retirement age. Leave your money invested and do not make early withdrawals so you will not pay penalties or lose tax benefits. You can estimate your Social Security income in retirement by visiting the Social Security Administration’s website. Know your retirement needs and seek help from a financial adviser when questions arise.

Life Live to the Fullest

Think about how you will fill your time in the retired years. Finding an activity or interest that makes you happy can leave you feeling accomplished. Perhaps you will find a way to give back or make a difference in your community, find connectedness with other retirees, or simply enjoy life. When the financial cards are in order, lifestyle changes can be easier to navigate. Whether you work a part-time job, volunteer, or travel, find purpose in your retirement activities and you will feel useful.

Embrace Change

Learn to accept what you have been given. Focus on the opportunities that change can bring, and build a picture in your mind that depicts what you want to happen. Mental preparedness can help you deal with important changes leading up to and during retirement. Enlist the advice of someone who has already experienced what you are dealing with to get their angle so you can better handle the circumstances you are facing.

Setting financial goals, finding purpose in life, and accepting the things you cannot change all play a role in planning for retirement. Regardless of your situation, time invested in planning for your retirement will be time well spent.