Retirement planning doesn’t stop when you retire. Once you stop working, you’ll still need to carefully manage your assets so that you’ll have enough money to continue living comfortably. Here are some ways to do just that:
Consider an annuity. Looking for reliable retirement income even though you didn’t save as much as you had hoped? Worried about outliving your savings? Ask your financial adviser about annuities. There are a variety of different types of annuities which can provide you with a steady source of income for a set number of years, or for life.
Stick with a budget. Many retirees struggle with spending in the first year or two. Time to shop! Time to travel! You want to enjoy your free time, but you need to still monitor your spending. Now isn’t the time to stop clipping coupons and comparison shopping. Careful spending can help you make sure you’re not using up too much of your retirement stash too fast. Remember, one of the biggest mistakes retirees make is withdrawing too much of their money in the first few years post-retirement.
Learn about Social Security. The decision of when to start receiving your Social Security retirement benefits is an important one. Some retirees choose to receive their Social Security retirement benefit as early as age 62. But the longer you wait, the greater the benefit you may be able to receive. A financial adviser can help you determine what is right for you.
Take it slow. Explore all your options when it comes to retiring. Perhaps a part-time job or some consulting work would help ease the financial – and emotional – transition to retirement. However, make sure to consult with a financial professional who can help you determine if this makes sense for you.
Review your insurance needs. In retirement, your insurance needs may change. That’s why it’s always a good idea to schedule an insurance review after you stop working to make sure you are adequately insured for this new phase in your life.