Financial Changes in Retirement
March 14, 2024
Spring is a period of change and transition. And while that language is usually directed at nature or social activities, the same idea can be used for those who are preparing their financial future for significant differences. There may be large changes on the horizon regarding income and expenses when comparing the working life of several decades to a life of enjoying retirement.
Knowing where your money is coming from – and going – is vital to building your plans for making the most of your retirement.
Covering Your Costs
Depending on your age, the weight of your costs could vary. Those just entering retirement could see changes effecting their expenses concerned with travel, entertainment, and checking off bucket lists goals. While there should be room for money to spend on personal enjoyment throughout retirement, some older retirees will likely have more expenses concerning medical treatment, medicine costs, and possible long-term care considerations.
Where Will Your Money Come From?
There are various income streams that could help fund your retirement. Retirement accounts such as 401(k)s and IRAs are very common. Pensions and selling portions of investments are also possible methods of keeping your bank account healthy once you exit the workforce. And, of course, there are also Social Security benefits that will help supplement your income as years of paying into the program will begin to reward your hard work.
Embrace Retirement – Let Someone Else do the Work
A thorough consideration of your costs and sources of income can help take much of the guesswork out of planning retirement finances. While you should be excited for whatever you choose to do in retirement, you will get even more out of your experience if you are confident about what you can afford and how you will cover costs. Contact us today to schedule a retirement income planning consultation. We look forward to talking with you!