Maybe you’re one of the people who associate fun, relaxation, leisure, and traveling with retirement. If so, how have you prepared for it?
Many Americans remain optimistic when they think about life after work. In fact, top aspirations are a hopeful bucket list: travel, spend time with family, pursue hobbies, and volunteer. Yet they concede they’ll need to replace about 66% of their income to live comfortably — and only 32% are on course to achieve that amount, according to the 2018 Aegon Retirement Readiness Survey.
Download this infographic to see where you stand when it comes to attitudes about retirement.
This study cites running out of money in retirement as the No. 1 concern. Declining physical health, not being able to do the things they enjoy, and not being able to stay active also are high on the list.
Help Alleviate worries with a plan
Worldwide, people who have a written retirement plan feel more confident they will retire with a comfortable lifestyle than those who don’t have a plan, according to the Aegon survey. Imagine your goals. What would you like to do in retirement? What does your living situation look like? As these ideas come to mind, write them down. This is the start of your plan.
Hope for health, but plan for medical costs
Smart retirement plans consider healthcare costs and unexpected medical bills. Did you know the average couple retiring have to cover health and medical expenses in retirement?
Diversify savings and investments
Don’t forget about the many ways you can create income in retirement:
- The basics: Social Security, savings accounts, pension, IRA, 401(k)
- Forward-looking: Life insurance, inheritance, investments, annuities
- Assets: Income or equity from a home, sale of a business, sales of other assets
Do any of these questions cause you concern or turn up challenges? Which ones do you feel comfortable about? Share your thoughts and see how people like you are feeling about retirement planning, too.
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