Most people feel ready to retire mere weeks after first entering the job market. In fact, it’s a day most of us dream about for decades and one we wish would come sooner rather than later. For those of you who have put in the long years and hard work and the end is finally in sight, the temptation to rush the retirement process becomes strong.
In addition to Medicaid planning and estate planning, there are other things to consider and things to do before you retire.
Pay Off Debt
Your house payment or credit card payments may not be that big of a deal while you are getting a steady paycheck, but they become a burden when you retire. It will make a huge difference having less outgoing money so you can afford to do more in your golden years.
Eliminate Major Expenses
If you know you need a new roof or new kitchen, it is best if you get that done before you retire. Paying off these big ticket projects while you are still working is difficult enough, and it’s that much more difficult when you are retired.
Have a Talk with Your Spouse
Two things will happen after retirement; you will spend a whole lot more time with your spouse and one of you will die first. Yes, it’s something we all hate thinking about, but when you retire, you will be spending more time with your spouse.
All kidding aside, both of you need to prepare for this. You need to discuss what you want to do together with all of your free time. You want to make sure you are on the same page and you both enjoy the added time spent together.
It is inevitable that one will die before the other, so you both need to imagine and plan for a life without your spouse. You both want to be prepared financially and emotionally for when that time comes.
Let’s Get Physical
We have some very bad new for you; healthcare costs will certainly continue to rise, even after you retire. Do what you can right now to take control over the things you can, healthwise that is. Now is the perfect time to kick that 1/2 mile leisure stroll through the park every Saturday to a three to five-mile brisk walk four to six days a week.
In fact, we see no reason why you shouldn’t go out and hire a personal trainer. Also, let’s hold off on those morning donuts and late-night snacks, it’s time to re-evaluate your eating habits. If you take control of your health right now, you will save a lot of money in healthcare costs down the road.
Set Aside Emergency Funds
It is best if you set aside some extra funds, while you are still drawing a paycheck, as a buffer that will ensure to cover unexpected costs. This emergency fund should be enough to cover about three to six months expenses.
Keep in mind that retirement a big deal and there are many things you need to plan for, this is just a list to get you started.
