Things To Do Before You Retire

Retirement
Retiring may seem like something that we just do, but it actually takes several years of preparation to understand when and how one will go about retiring and beginning retirement. You may look around at others who are already retired, some who are learning to enjoy their retirement, and others who have been retired for years, if you're able to meet them. I do know a 97 year old man, who has been retired for as long as he has been working. He retired over 35 years ago at 62 years old and is living in an senior-independent living facility.

There are several tasks that you can take now or even just a few years before you retire. These tasks involve assessing debts and assets, spending habits, and money flow or income. The more you do now to understand how and when you will retire will ensure an easy transition. Here are a few things to ponder about long before you hit retirement or if you are a few years away, or even planning to retire in the next few months.

Not Planning For Retirement

There are people in life who never plan for anything and just wing their lives and for the few, it may work really well, but is unlikely to work for you and many others. It is best to start planning for your retirement nearly 30 years before you retire which means you should be putting away at least 6% to 12% of every paycheck towards a retirement plan. If you have not started your retirement plan, consider doing it as soon as possible, usually by registering through your company. It is not always an automatic process.

Procrastination

Why do today what I can do tomorrow? At the time, it may sound good but the process of retirement can go fairly smooth once you do accept that someday, like billions of people before you, you will grow old, you will retire, and even someday, you will die. Put together a plan of action, set aside the things you need to do for your retirement on a list and get through that list.

Retiring Too Soon or Too Late

By the time you turn 70 years old, the maximum amount social security can pay you, unless you're a young 70, you're not going to be able to spend all of the money that the United States government grants you. Very rarely do you see 70 year old on jetskis, high speed boats, or in fast cars. The life of a 70 year old is past its prime of that sort of that entertainment. It is highly recommended that you retire between 62 - 65 years old, depending on how much you have worked and whether you are ready to retire.

Retiring too early may be costly too. Don't worry, you will survive and there are plenty of programs to help you, but it is best for you to consult a financial advisor or a social security advisor on how much you are going to actually retire on and how to adjust your lifestyle accordingly, if you choose to retire at 62 years of age.

Being Ready Or Not Ready

For most people who are young, the idea and dream of retiring before 40 or 50 sounds great, but it is rare for anyone to retire at such an age, especially considering there is no government funding for 15+ more years. Knowing when you want to retire is not something you can possibly know until you are close to the age. The dire moment of knowing and understanding when and how you are ready to retire is probably between 58 - 62 years of age, especially considering that at 59 1/2, you become eligible to begin taking from your 401k.

There are many people who hardly thought they would reach the age of retirement, and yet, it is around the corner for many people. So while you may not fully be ready for retirement, and it doesn't mean you have to retire at 62, but preparing mentally for the age of retirement can help you when you are physically ready to retire.

Hire A Financial Adviser

It only makes sense that in your quest to save enough money for retirement, you actually hire someone who can understand and work with you on planning for your retirement. From how to eliminate current debts to taking on new ones, your financial advisor will work with you to ensure you are on a path to a successful retirement.

Worry Just Enough

Retirement is coming for us all and it's a good thing. If you have saved nothing at all but worked most of your life, chances are that you will actually retire with enough to live on and take care of your daily basic needs. You may even be able to save up for a vacation every year on your retirement money. You should worry about retirement, but don't worry so much that you end up losing sleep over it. You want to be ready enough to know exactly what to do and have your mind at ease during the whole process.

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