Retirement advice can be useful or useless.
Retirement is coming sooner or later.
You do not know exactly what to expect, right?
You wish you had some solid advice regarding how to make the most of retirement.
According to a recent The Motley Fool article titled “5 Retirement Tips for 2019—and Beyond,” there are five pieces of advice that can benefit any retiree.
What are they?
Retirement finances should be more than Social Security.
Some think Social Security will suffice.
On average a yearly benefit is $17,532.
Most people require more to live on.
How about you?
If you have medical expenses, you will definitely require more to live on.
Make saving a priority from now until retirement.
Taxes will apply to most retirement income.
Taxes do not disappear with your nine to five.
Withdrawals from a traditional IRA and a 401(k) will trigger income taxes.
Roth IRA withdrawals will not trigger taxes.
The contributions were made post-tax.
You can convert your IRA and your 401(k) to Roth.
Although you will pay taxes on the conversion, you will be able to make withdrawals free from taxation after the rollover.
Also, any gains from non-retirement account investments will require taxes.
Retire near friends and family.
Retirees are more likely to become depressed than those who are working.
Many jobs have come with social interaction and relationships.
These are not a given in retirement.
Having friends and family nearby will allow you to remain relationally fulfilled, rather than lonely.
After all, there is a reason "solitary confinement" can be worse than any other form of prison punishment.
Consider returning to work.
Life can bring unexpected complications.
Whether through home repairs or health care bills, you may require more money than you anticipated.
You may need to return to work.
Have a plan for how you might earn extra income should the need arise.
Create or update your estate plan.
If you do not yet have an estate plan, find an experienced estate planning attorney and take care of business.
If you already created a plan, review it.
You will need your last will and your powers of attorney in the event you die or become incapacitated.
Visualize a rewarding retirement.
Make plans for family, hobbies, and community involvement.
Retirement does not mean the cessation of purposeful living.
Reference: The Motley Fool (June 2, 2019) “5 Retirement Tips for 2019—and Beyond”