There are many things to think about when planning your retirement living.
If you are going to retire in Billings MT, there are certain aspects that you need to take into account to make sure that your retirement is happy ad fulfilling. Various situations will come up during your retirement that could greatly affect your plans; health of you or your spouse, the economy, the health and plans of your children, along with a myriad of other factors.
Be smart (as well as realistic) about your retirement plans and follow some of these tips to help you along the way.
The first thing that you need to do in your retirement is to control your spending. Nobody has an unlimited amount of money and this could be your single biggest step to making sure that your retirement goes as planned. The goal is to not outlive your money and many people take the outlook that retirement is one long vacation. Following this mindset, you don’t want to run out of money midway through your vacation. Usually the first year or two is the most crucial and you don’t want to drain your saving during this time.
Your retirement portfolio may look like it will cover the next 20-30 years, but things come up and circumstances change. Health insurance as well as personal insurance costs can spiral out of control quite easily. If you handle your money much as you did for your entire lifetime and simply live within your means, you will be well on your way to a happy retirement living.
The second thing to keep in mind is to not forget about taxes. Much of the money that you withdraw from your retirement accounts can and will be taxable. It may not have been taxable when you put it in, such as in the case of an IRA etc, but it certainly is when you take it out. You will need to withdraw your funds in such a way that will minimize your tax liability.
If you have a way to keep earning some sort of income such as a part time job or business that you own, you will be able to defer taxes longer on your retirement accounts because you will not have to withdraw it as quickly.
Speaking of part time jobs…..
It is wise to consider a part time job during your retirement for several reasons. First of all, the extra income can be very nice, but even if you don’t need the income, it is a very good idea to stay active. Having a part time job can keep you socially involved and your mind active. Work can keep us involved with other people and therefore, a part of the community.
Many times your friends might be co-workers and that will not necessarily change just because you are retired. You most likely have many decades ahead of you in your retirement living and the more active you can stay, the more you will enjoy them.
Making time for your family is another great way to stay active. Many of us have gotten busy being busy over the years with our jobs etc, and not that you are retired, you’ll have plenty of time to spend with family when that may not have been the case earlier in your lifetime. In particular if you have grandchildren, you are going to want to be available for them as much as possible.
Now is the time to make sure you enjoy your family.
Make sure that your estate is in order. Many people will put off estate planning, but now that you are in your retirement, it is unavoidable. Make sure that you have planned for a smooth transfer of your assets upon your death. A will is the best way to accomplish that, but there are other things you can do as well to provide a blueprint for the distribution of your estate. The last thing you want to do is leave a mess for your loved ones, or leave questions unanswered that can create conflict among your children or grandchildren. Take the time now to make sure that your wishes are fulfilled once you pass away.
Having a good financial advisor can also be very key to a happy retirement. There are many avenues that you will need to navigate during your retirement, from tax liabilities to estate planning, etc. Having someone that you can trust to advise you on your finances can be crucial, especially if you have a large retirement portfolio. Sure, you will pay some fees to have the help available, but it can be well worth it and it will also free you up to enjoy yourself rather than having to worry about planning your finances all the time.
Making out a ‘bucket list’ is another thing that many people do once they hit retirement. Now is the time to accomplish the things you have always wanted to accomplish and there is no reason to put them off any longer. Write down and prioritize your goals and you will not only be able to achieve them, but enjoy it more while doing so.
You should also make sure that you have some type of emergency fund. No matter how well your retirement living is planned out, unforeseen events will always occur. It could have to do with your health or the health of your spouse, but there may also by unforeseen expenses that will come up with your children or even your grandchildren.
Take the time to have that emergency fund stashed away so that these events don’t catch you by surprise. You don’t want to have to tap into your retirement savings every time something unexpected arises.
The last thing to remember is to take care of yourself and your health. When you reach retirement age, your health is more important than ever before and you need to make sure you are taking care of yourself. Stay active. Exercise as much as you can, even if it is simply taking a short walk in the evening. Good health will result in a higher energy level and an improved outlook on life.
You want to enjoy your retirement; you’ve earned it! Staying healthy will help you do so.
