• How to Prepare for Retired Life and Accept the Change

    How to Prepare for Retired Life and Accept the Change

Many of us have worked and saved for years with the hope of retirement and enjoying a comfortable, relaxing lifestyle. So, why then do some people have trouble adjusting to retired life? Well, there are a few reasons. The main one is that most people don’t adapt to change quickly. 

If your retired life is on the horizon or you are having trouble with the transition from working to retiring, you’ve come to the right place. Welcome to retired life and this is how you prepare for it.

Prepare for Retired Life

Take Stock of Your Situation

As your life expectancy increases – especially if you live in a CCRC – you may spend more time in retirement than previous generations. To prepare for this transition, reviewing your finances is highly recommended.  Analyze with your financial professional how you are positioned for retired life, what are your retirement options, what lifestyle can you afford, how conservative will you need to be, and when you can afford to retire. It’s important to understand that the decisions you make early on will affect you down the road. You may not see the results of your decisions right away, however, if you make a wrong choice you might not know until it’s too late. 

This is why the review stage is so important. You’ll want to stress-test how your finances will hold up under a number of scenarios, like changing your retirement age and life expectancy. If you can still reach your goal under all scenarios, then you can rest easy. If not, you’ve identified weak links in your retirement chain. From there, you can properly prepare for those gaps in your plan.

Understand the Coming Life Change

Most people focus on the financial factors of retirement, however, there are more aspects you should consider. Such as the emotional and psychological aspects of retired life. It is just as important to ensure that you are emotionally ready to retire. Having a plan for how to spend your extra time is a great way to avoid some of the stress or anxiety people experience during retirement. 

Build an Income Stream

Since you may no longer receive a paycheck, your income stream will play an important role during retirement. Not having that steady income can affect you psychologically and may make you resistant to spending money in retirement. Suddenly, everything you buy may trigger anxiety. However, you can establish a monthly income stream through Social Security and a solid investment plan. These together can mimic getting a paycheck and help relieve stress. To do this, you should evaluate your expenses thoroughly to know just how much you need. You can also include pensions and annuities in this stage of your preparation.

Stay Healthy

Good health is vital to a successful retired life. It allows you to be active and actually enjoy your years in retirement. Additionally, it helps you cut some costs. 

Unexpected medical costs are one of the great unknowns when it comes to retirement and health care planning. As you get older, understanding the potential for long-term costs – and the fact that they are typically not covered by Medicare – becomes vital. It is important to consult your financial advisor or a Care Coordinator while you are still in good health.
Wondering what your future has to offer in your golden years? Learn about aging on your terms with your FREE Moving to a Senior Living Community: Make Decisions Your Way.