Most people look forward to retirement, but unfortunately, the timing doesn’t always work out how they envisioned. Whether you find yourself dealing with layoffs, medical complications, or the end of your company as you know it, the whole process can prove overwhelming. Still, if you keep your calm and learn how to handle an unexpected, early retirement, you can prosper through the turmoil.
- Use your emergency fund. If you’re worried about how to handle an expected, early retirement but you haven’t reached that point yet, then you need to prepare. All people should already be saving up a cushion of anywhere from three to 12 months’ expenses. That way, if you find yourself in an emergency, you won’t have to plunder your savings or your retirement fund—especially if you’re not ready for it.
- Change your plans and practices. Back before your unexpected retirement, you may have been splurging a bit. Unfortunately, now is the time to dial it back. Go through all your plans and spending habits, calculating your net worth and how much you will need each month to keep the lights on. Use those numbers to figure out how much you have to retire on—and how much you still may need to earn.
- Take advantage of health insurance. For those who don’t have insurance, this becomes more and more dangerous over time. As you get older, it’s increasingly likely that you will fall ill, deal with health complications, or become injured. Make sure you have the proper health insurance now! Otherwise, you’ll be waging a financial war on two fronts.
- Increase your income. Dealing with an unexpected retirement can mean that you’re short on long-term cash. Now, you can take your pick, choosing the method (or methods) that work the best for you and your abilities. You have several options here, including:
- Doing freelance work;
- Finding side or part-time jobs; and
- Investing your savings in a money-protected fund, allowing them to grow.
At Ty J. Young Inc., we can help you figure out how to handle an early retirement by offering you a place to grow your money while keeping it 100 percent protected from stock market losses. While retiring unexpectedly is daunting, you can still make the most of your experience—and your precious golden years.
Don’t forget to call our experts at 877-912-1919. Plus, take a look at our blog for more tips, ideas, and financial information about improving your life in and out of the workforce. Here’s to a comfortable retirement!