What about your parents’ retirement? If you do, then you have great examples of what you need to plan for. Are you following their lead? If the answer is no, now is the best time to start learning.
Find out what your expenses are. Most Americans need roughly 75 percent of the regular income they earn to live comfortably in retirement. Workers that have lower incomes should figure they need to require around 90 percent.
Many people think of fully retiring, but partial retirement is another great option. Partial retirement lets you relax without going broke. You can either work a part time job or cut your hours at your current job. You can relax but you will still be able to make a little money.
Exercise is a great way to spend some of your time each day. Healthy bones and muscles are more important now than ever, and your cardiovascular system will also benefit from exercising. Working out during retirement will make this time more enjoyable.
Is retirement planning overwhelming you? It’s never too late. Start today by looking at how much you could afford to save. If it’s not much, don’t worry. Even a small amount, if you stick to it, will yield more than if you don’t put away anything at all.
Of course you want to scrape up as many total retirement dollars as you can over the years, but don’t neglect choosing the right investment vehicles for them. Diversify your savings plans so you don’t put all of your money in the same place. Diversification is less risky.
Every quarter, rebalance your retirement investment portfolio If you do it more, you may become overly preoccupied with minor changes in the market. Doing it less often means you can miss out on putting money from winners into looming growth opportunities. Talk with a financial adviser to determine the best plan for you.
Think about a long-term health plan. Your health is likely to get worse as the years go on. As health declines, medical expenses rise. If you have factored this into your plan, you’ll be well taken care of should the need arise.
Check out the pension plans your employer provides. Find out if you are covered and how it works. Be sure you know what will happen to your current plan should you decide to change jobs. Can you continue your benefits from your current employer? Additionally, you may be eligible for some benefits from your spouse’s retirement plan.
While your parents may have been able to retire well, you face a different world today. You have to learn about current ways to make retirement planning better. This piece has served as a starting point, but try to learn more. Start now and have a great retirement.