Retirement. The vision of one’s non-working years is alluring but are you prepared? Put these four tips to get back on track for your retirement planning.
- Figure out what you really need: This involves goal setting and thinking. Think about what percentage of your current income you need going forward. Also, build in
vacation and bucket-list annual costs. - Take advantage of matching contributions: many employers will match your contributions up to a certain level. Find out your firm’s matching percentage and make sure to take advantage of this “free money”.
- Think past your 401K: A 401k is a good start however you need to diversify your portfolio. Look to take advantage of tax-free and tax-deferred vehicles to save. Roth Ira, annuities, and cash value life insurance offer different and complimenting tax advantages.
- Plan for the unexpected: Good planning is to keep 3-6 months of income in a liquid account for emergencies. Life’s events can be unpredictable like disability, job loss, hurricane or stock market crash to name a few.
Your actions today will impact the quality of your life in retirement. It’s always good to communicate retirement goals to family members and loved ones. In retirement, surprises are usually not good!
Get a free consultation today to get your retirement planning back on track!