Planning for retirement is something that is easier the earlier you start, and even then it is easy to make mistakes. After all, you need to make sure that you have enough money for yourself, and possibly your spouse, to last you for the rest of your lives.
That is why it is important to avoid making these retirement mistakes. Not only can it affect how much money you have available to you, but it could jeopardize your health or your quality of life.
Working Until 70
Do you plan on working until 70? Of course you do. Not only do you get to maximize the amount of money that you get from social security, but you feel great and don’t need to retire any time soon.
While that is a great thing to strive for, the truth of the matter is that most people never make it in the workforce until 70. Health issues, buyouts or even layoffs prevent people from working for as long as they would like to.
If this happens to you, then you might find yourself not ready to retire and having to make ends meet. Avoid all the trouble by planning to retire early. That way, if you can work longer, then it is a bonus. If you are then forced to exit the workforce, you won’t find yourself in financial trouble.
Start Saving Now
No matter what age you are, you should be saving for retirement. The longer you save, the more money you will have available to you. Choosing to aggressively save for retirement now means that there will be more money available to you for everything that you would like to do in retirement. Compound interest is a magical thing when allowed to work.
You do have the option of catch-up donations when you reach the age of 50, but don’t wait. Start saving now and put as much away as you possibly can.
So you’ve always wanted to retire to Florida. You file the paperwork, pack your bags and buy a condo. The problem is you didn’t really plan for the additional costs of your new place in comparison to your old one.
There is no rush to relocate once you are retired. Take your time, look around and test the waters before pulling up stakes and moving elsewhere.You would hate to waste the equity you spent building in your house by moving into a community that you didn’t like or into an area you find you don’t want to live in.
Consider renting before buying. It is a great way to try a place out before you end up there permanently. While the lure of constant 70 degree temperatures might be high, there may be unknown consequences for not thinking things through.
Need Help with Your Estate Plan?
If you are thinking about retirement, you should have an estate plan in place to handle things should the worst happen. Contact Stano Law group today to get started on yours.