As you continue planning your retirement in your 50s, you may feel stressed or unsure about your nest egg prospects. Because you’re coming closer and closer to your twilight years, you know just how important it is to be ready for retirement. If you still have concerns—or want to remain on track for your goal—consider the following pieces of advice.
- Adjust your investments. When you were younger, hopefully you tried a portion of high-risk, high-reward investments. However, now you should ease down on anything of the sort. After all, if you lose a lot now, you won’t have the decades to recoup. Make sure that you’re making sensible, safe investments. You can also talk to your advisor to find the right choices for you.
- Get your plans in writing. Not only is it a good idea to write a will—and keep it up-to-date—but it’s also wise to make a plan of life. Essentially, make sure to create a legal document about how you want to live your golden years, where you want to live them, and what you want to happen in the case of serious illness or injury. That way, if disaster happens and you cannot speak for yourself, you can still represent your best interests.
- Cut down on unnecessary spending and double down on what matters. As you’re planning your retirement in your 50s, make sure you’re keeping up with your finances and the rate at which you’re saving. Eliminate unnecessary spending like lavish cars, daily coffee shop trips, and flash technology. Instead, double down on essentials, such as health insurance funds and your savings account. Then, you will be able to enjoy your retirement with a larger nest egg.
- Seal financial gaps. If you retire younger, that means you’ll have less access to government-based resources and IRA funding. Not only should you remain up-to-date on laws and regulations, but you should make sure that you can seal financial gaps. This may mean budgeting strictly, downsizing your home, or even renting out part of your property. Remember, the later you tap into your Social Security, the greater your benefits. If you can wait, that’s the most advisable action. Additionally, know that you can endure negative consequences—which can decrease your funds—if you withdraw too early from your IRA.
- Save raises and bonuses. Instead of spending raises and bonuses on fun vacations or big purchases, put them into your savings account. In the future, you’ll appreciate this thoughtful decision.
Though planning your retirement in your 50s can be confusing and troublesome, it will be well worth it once you’ve left the workforce to enjoy the fruits of your labor. You’re reaching the final stretch and soon, your time will be completely yours. Whether you want to go fishing, spend time with family, or take up a new hobby, saving responsibly will set you up for a successful retirement.
Invested in growing your retirement savings? So are we! Call the financial experts at Ty J. Young Inc. at 877-912-1919 to grow your nest egg—money-protected. Plus, if you want to find out more savings tips, retirement facts, and ways to spend your golden years, take a look at our blog.