- Figure out what you’ll do with your time – Although it may seem hard to believe, you might have trouble figuring out what to do with all your soon-to-be free time. Surprisingly, some might even miss the structured time and camaraderie of the workplace. Dan Sudit, a partner at Crewe Advisors in Salt Lake City, suggested that any retiree should picture their personal narrative, before deciding to retire. How will you spend your days? You won’t be locked down anymore to a job schedule that keeps you from travelling, so you can plan whatever trip you like. And then, you’ll have to consider what there is to do when you’re not travelling.
- Set up a sustainable income – Once you’ve figured out what your new schedule is going to look like, you can think about how you’re going to fund your lifestyle. Bradley Newman, CFP, a lead financial advisor at Fort Pitt Capital Group in Harrisburg, Pennsylvania, suggested that you should never neglect the most important step in the process, which is generating an accurate and detailed assessment of your post-retirement income needs and expectations. You have to make realistic assumptions for how much money your investments will bring, the taxes you’ll have to pay, plus the inflation. Inflation is a silent killer because it can really tear up your income plan. Another thing it’s worth mentioning is that your income won’t be just about food, housing, and transportation. It will also include an important aspect that is difficult to foresee: health care.
