The Best Financial Planning Tips for Seniors
Senior Living | 08/2/18
According to The Washington Post, as of last year, there were about nine million senior citizens still working because they could not afford to fully retire. In fact, 21 percent of retirees said they had less than $1,000 saved up for retirement. This is a concerning statistic, especially considering retirement is supposed to be a new and comfortable chapter of your life. For this reason, it’s vital that you take a look at your financial portfolio regularly to ensure you can retire comfortably with a secure plan for your future set in place.
Planning for a Better Future
Financial planning is an important aspect of any retirement strategy, especially due to the fact that no one can really predict what the future may hold. You want to make sure you are financially prepared for the changes in lifestyle that come along with retirement, including knowing how you’ll pay for health and long-term care needs should they arise. Here are a few retirement tips to help you properly plan ahead:
- Get a professional’s advice. There’s generally no harm in going to friends when you need advice, but when it comes to money, consult a professional. Financial advisors make the business of managing your finances that much easier and can provide sound advice on investments, as well as how to manage your savings so that it will last you throughout your retirement. Ask friends and family for recommendations for financial advisors they’ve worked with in the past if you aren’t sure where to start.
- Create a long-term budget. Don’t be a part of the 21 percent of seniors who only have $1,000 saved up. That money will not last long, therefore it is important to include a long-term budget in your retirement planning. Perhaps, that budget might include the sale of your house and moving into a maintenance-free senior living community. Another great reason to visit a financial advisor is that they can help you create a budget while providing insight on certain aging factors that you might not have thought about, including changes in your overall health and care needs.
- Update your financial portfolio. Keep in mind that changes in your lifestyle and your health will alter your portfolio, so it is important to make sure that you’re keeping it updated. While it can be difficult to anticipate your future needs, the fact remains that you still should try to the best of your ability to plan ahead as much as possible. It will then be easier to evaluate where you stand financially and how you might have to alter your lifestyle.
- Account for inflation. It’s common to forget to factor in inflation when you’re planning for your future. Your money gradually will be worth less over time, thanks to inflation, so it’s important to anticipate inflation and plan ahead to make sure you’re living comfortably not just today, but in the days and years to come.
- Dump your debt. As soon as you start planning for your retirement, you should also start planning how you can eliminate as much of your debt as possible. You should be entering retirement with as little debt as possible, as any old or new debt will just eat away at your savings. It’s time to buckle down and stop any frivolous spending and avoid taking on new debt. Live within your means.
A Secure Retirement at Monroe Village
We at Monroe Village, believe that retirement is the time to renew, enhance and live your life to the fullest. By choosing to downsize from your home to our maintenance-free community, you’ll find unmatched financial value, comfortable living options, a vibrant lifestyle and peace of mind for your future. To learn more about our continuing care retirement community in Monroe Township, New Jersey, we invite you to contact us and schedule your personal tour.