It’s never too early (or too late) to create a retirement plan. A few strategies and the right advice can help you better plan for your golden years.
Are you on track to retire? While almost 40% of adults start putting away money for retirement in their 20s, 54% of people didn’t even begin creating a retirement plan until they were in their 50s, according to a study by Morning Consult.
While your lifelong earnings determine your retirement funds, how you handle them is influenced by the life you wish to lead. In this blog, we’ll talk about how to retire on your terms. Here’s what you should know.
Choosing the Ideal Retirement Age
The societal norm might peg 65 as the standard retirement age, but it’s essential to identify what works best for you. Some might aim for early retirement by consolidating wealth swiftly. In contrast, others may find solace in a more extended work period, helping to ensure they’re financially comfortable when they retire.
While Medicare (accessible at 65) and Social Security (accessible between 62-67) play significant roles, they shouldn’t be the sole determinants of your retirement timeline. Proper planning allows you to design your retirement based on your aspirations.
Crafting Your Retirement Vision
You might have waited eagerly for retirement, but have you considered the life you want during this time of life? It could be traveling to different countries, pampering your grandchildren, or savoring weekend golf sessions. However you choose to spend your retirement, your vision helps shape a financial plan. Once you have a clear picture of your desired lifestyle, you can make the necessary financial adjustments. The goal is to ensure that your retirement years are everything you hoped for without fearing depleting your resources.
Let’s look at how aligning your lifestyle and financial goals can help you in the long run.
Aligning Lifestyle and Finances
Retirement is often seen as an extended vacation after years of hard work, and many of us dream of carrying our current lifestyle into this phase. However, evaluating if your financial assets can sustain that lifestyle is crucial to realizing this dream.
For many, the journey continues beyond merely having a substantial financial portfolio. The real challenge emerges in discerning asset allocation. Aligning your lifestyle and finances means safeguarding your wealth against the market’s volatility and ensuring a steady, lucrative income that suits post-retirement tastes. However, if there’s a scenario where the accumulated wealth might not suffice to sustain your envisioned retirement (like the potential to outlive your retirement savings), there are two key strategies to consider:
Strategy 1: Re-evaluate and refine your lifestyle ambitions. This doesn’t necessarily mean a downgrade. It’s an opportunity to transition into a luxurious yet more manageable residence, resulting in substantial savings. It might also be a chance to restructure spending while potentially curbing extra expenses.
Strategy 2: Diversify your investment portfolios beyond your initial retirement age. This strategy could mean exploring different roles or investing in or mentoring startups. Such ventures provide financial gains and can be immensely fulfilling, blending passion with purpose.
Once that picture is clear, shape your financial strategies to bring that vision to life. It’s essential to be proactive flexible, and avoid confining your retirement dreams within the boundaries of pre-existing financial blueprints. Your retirement should continue your life’s story; with proper planning, it can be its most fulfilling chapter.
Working With CKS Summit Group
A prosperous retirement isn’t solely dependent on financial security. While financial stability is essential, leading a meaningful and fulfilling life defines retirement success. At CKS Summit Group, we recognize that shaping retirement according to your terms is an evolving process. It’s about being proactive and adaptive, regardless of market conditions.
We are advocates for managing portfolios, encompassing both stock and non-stock markets, believing that this approach offers growth potential while safeguarding your primary investment. By blending non-stock and managed market accounts, we aim to craft portfolios that simultaneously promise growth, asset preservation, safety, and adaptability.
Final Thoughts
It’s imperative to remember that while societal norms and financial milestones can guide you, they should not dictate your retirement journey. Each individual’s path is unique, shaped by personal aspirations, financial education, and lifestyle expectations.
As you get closer to retiring, make sure you’re doing everything you can to set your savings up for success. At CKS Summit Group, our focus is to bring you fresh new ideas for your retirement income. Our cutting edge tactical portfolios help our clients achieve safe, healthy growth of their savings and preservation of their principal balance.
Contact us today to set up your complimentary strategy session here today.
