Are You Ready For Retirement
Unfortunately, many of the latest statistics suggest that the majority of
Americans nearing their 60s are not ready for retirement. Although recent
findings indicate that people are better prepared for retirement than they
were less than a decade ago, all is still not well. Over half of the baby
boomer generation will not be ready for retirement, in fact, many will not
even have enough money during retirement to meet the cost of their basic
living needs and medical expenses.
If you are a member of the baby boomer generation and you are not prepared
for retirement, you need to take action now. One of the first things you’ll
want to do is start saving as much money as possible. It is important to
understand that even if you begin saving now, you still may not have enough
time to fully fund your retirement so you will likely have to do more than
Baby boomers will very likely need to employ a combination of strategies to
ensure that they have a secure retirement.
Don’t Spend as Much – Basically, the less you spend now the more money
you can put away for retirement. Look for ways that you can save money on
everyday living expenses, as well as big-ticket items. For example, if your
TV still works well, you probably don’t need to go out and buy that new –
high cost TV.
Delay Retirement – If you keep working past the age that you wanted to
retire, you will likely be in a better financial situation after you retire.
Delaying your retirement by a few years can have a dramatic affect on your
financial security during retirement.
Don’t Run Out and Apply for Social Security – One of the biggest
mistakes that people make is to start taking their Social Security benefits too
early. Instead of collecting your benefits when you turn 62, wait until you
reach full retirement age. If possible, you may want to wait a few years past
your full retirement age so that you will get higher monthly benefits.
Make Use of Your Home Equity – If you own your home, the equity
you’ve built up can be very useful during retirement. You can downsize and
rent out your home, or sell it and invest the money in your retirement. There
is also the possibility of reverse mortgage, which means that you can take
advantage of your home’s equity while remaining in the home.
The biggest mistake you can make when planning your retirement is to not
take action as soon as possible.
Experienced estate planning attorneys Mobile AL of the Ryan Hicks
Cumpton & Cumpton LLP offers estate planning and business planning
resources to residents of Mobile AL. To learn more about these free
resources, please visit www.epattorneys.com today.