As you approach your expected retirement date, you probably picture yourself enjoying a long, healthy retirement. You have many years ahead of you to enjoy the best of what life has to offer! But of course, we all must consider alternate scenarios, in which our health is compromised or memory and reasoning skills decline. Since preparation and prevention are the best “medicine” for most problems, make a plan to continue honing your financial skills in order to protect yourself as you get older.
Exercise regularly. You might already be planning to continue your favorite activities, such as hiking, playing tennis or golf, or other forms of exercise. If not, it’s never too late to start (under a physician’s guidance, of course). Studies have repeatedly demonstrated a link between daily exercise and improved cognitive functioning, so staying active can keep you both physically and mentally healthy.
Exercise your mind, too. Continue to take an active role in financial planning, just as you have always done. Beyond that, picking up hobbies that exercise your mind will keep you sharp in all areas.
Establish secure income. It can be fun to continue “playing the market” a bit, but at some point most retirees prefer to switch to a more conservative, stable investment strategy. This way if your health ever needs to take priority in your life, your income will be automatically generated so that you don’t have to worry about complex decisions.
Streamline accounts. It’s easier to forget something when you have a long list of things to remember. Often retirees consolidate their checking accounts, reduce the number of credit cards held, and take other measures to streamline their financial lives. You’ll enjoy your retirement more without all of that extra hassle, anyway.
Consider protective legal strategies. Identifying a power of attorney will allow a trusted person to step in and manage your financial or legal affairs in the event that you become ill or otherwise incapacitated. A living trust can be another excellent option. It will allow immediate transfer of your assets to the person you’ve previously chosen.
Consider to meet with us regularly. Retirement planning involves numerous complex decisions, but those decisions don’t stop once you’re retired. Continue to meet with us and take an active role in planning for this next stage in your life, and we can customize your income plan to meet your needs and concerns.