Worried your money won’t last through your retirement? Just how much do you need and when can you retire? David talks through all of these things you must know if you are close to retirement.
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As you near retirement, you might wonder when exactly you really can retire. How are you situated and when is a good time to step away from work from a financial standpoint? On today’s episode of the podcast and part three in this series, David talks through what you need to know about making your money last through retirement.
How long will your money last? How do you know that? And how can you feel comfortable with retiring? Statistically, if you are 60 years old now, you’ll likely live until at least until about 85 years old. You want to make sure you have proper sources of income to last that long. Look at your guaranteed monthly income such as Social Security, annuities, or a pension. Have you factored in inflation?
Your planning process needs to consider that one of you may live a lot longer. You might want to consider the probability that you or your spouse will need some form of assisted living. Have you built that into your retirement plan?
If you are coming up on retirement but the numbers don’t quite add up, what can you do? Research supports working longer and waiting an extra year or two can make a big difference when it comes to retirement. Each month you delay retirement, the more you can put into your 401(k) or other retirement accounts. There are a lot of different ways to find the right solution on how to save up more money toward retirement.
[2:19] – How long will your money last?
[8:32] – How long will you live?
[13:04] – What if the math isn’t on your side to retire at 65?
[18:05] – What are the key takeaways?
“Don’t forget about controlling expenses. The more you control your expenses, the more you have leftover that you will be able to save that big money for retirement. That may not make you wealthy, but it will certainly make you well off.”
– David Dickens