Plan for a successful retirement.
Retirement should be enjoyable, right?
Retirement, however, is not immune from challenges.
According to a recent Wealth Advisor article titled “The Three Risks To Prepare For In Retirement,” you should take steps now to avoid, minimize, or manage risks in the future.
For what risks should you plan?
Complacency
It is easy to treat retirement as just a check mark on a to-do list.
You should periodically review and inspect your retirement.
This is not one of those set it and forget it programs.
You can use one of many online calculators tool to help you ensure you are on track.
Personally, I recommend that you have your own financial advisor.
Be sure to leave padding for long-term care and medical expenses in retirement.
Emotional
Tension and stress can cause you to make decisions based on emotion.
Not good.
Emotional decisions can put your retirement investments at risk.
How do you manage these risks?
Put your plan in writing.
Include your risk tolerance and your goals.
Longevity
You do not want to underestimate how long you will live.
Outliving your financial resources will cause issues.
If you do not agree, you should take a look at an actuaries longevity illustrator.
This look can help you see the impact of being ill-prepared for your life.
As you plan for retirement, do not neglect your estate plan.
If you have one, you should review it.
If you do not have one, get on it!
This will allow you to distribute (and protect) the assets you leave behind from your successful retirement planning.
Reference: Wealth Advisor (December 20, 2018) “The Three Risks To Prepare For In Retirement”
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