Preparing for Retirement Income
We were recently asked this question, “I’m a few years out from retirement. What are some things I should be considering?”
It was a great question, and one that applies to all of us. With that in mind, we decided to share our answer with everyone.
As you prepare for your retirement, I encourage you to do the following:
- OUTGO: Calculate your “needed” and “desired” retirement income
- “Needed” income is what is absolutely necessary to maintain your life – giving, saving for known, upcoming non-monthly expenses (Christmas, vacations, property taxes, car maintenance/replacement, homeowner’s association fees, insurance deductibles, etc), food, car insurance, etc.
- “Desired” income is what you would like to have in monthly income – it covers your “needed” income plus the extras you would like to be able to do throughout retirement
- INCOME: Visit SSA.gov to determine your options
- Upon establishment of your personal account, you will be able to see all of the available options including early retirement, full retirement, and delaying benefits until sometime past full retirement age.
- INCOME: Determine other sources of income you expect to receive throughout retirement
- Do you have any pensions?
- Do you have any rental income sources?
- Do you have any 401k, 403b, 457, TSP, Roth IRA, IRA, or other similar investments?
- Do you have any assets (property, precious metals, business interest) you expect to sell to help fund retirement?
- Calculate your retirement nest-egg from multiple sources
- You can use the I Was Broke. Now I’m Not. Calculator
- I also like the Voya Retirement Calculator
- The Fidelity Retirement Score is also helpful
It’s NEVER too early to start thinking about and planning for those retirement years!