The goal, of all workers, is that of a satisfying retirement. There are many things that retiring baby boomers need to consider before retiring. This article will give examples and suggestions for those considerations.
For most retirees, this is the most important issue that they need to consider. When you get older, you can plan on more expenses for healthcare. Another factor is that of the rising cost of healthcare. If you are going to count on Medicare, you need to plan for supplemental healthcare insurance. A supplemental insurance plan will pick up the things that are not covered by your regular plan.
This is needed if you are laid up for long periods of time. Nursing home expenses might be needed, for you and your spouse. It is something that all retirees should consider.
Once you retire all dental expenses will have to be paid out of pocket. If you have any major dental work that needs to be done get it finished before you retire.
Once you retire, the day of large pay increases come to an end. Yes, you may get a small yearly percentage increase in your retirement. However, it probably won’t even amount to a cost of living increase. If you live on your 401k, once it’s gone, it’s gone. If you count on social security, it will be a low amount. Keep in mind, that social security’s main purpose was to supplement other retirement plans. It was not considered as a cover all retirement plan.
Your property taxes and insurance will continue. You need to factor in higher rates for each. A good rule of thumb is to check with your provider on increases. As you get older, financial surprises can be be problematic.
Wills and Legal Expenses
Try to have all of these set up before you retire. They can be added expenses to your budget if you wait.
A living will gives you the right to a peaceful death or end of life routine. It is important that you have this legally set up within state laws. Make sure your spouse knows your last wishes. If you don’t have a spouse use a close family member.
Emergency money is for things like car breakdowns and home repairs. Try to have this amount set aside as a backup for unexpected expenses. When you use it, start replenishing it as quickly as you can.
Travel and Vacations
Many boomers like the thought of traveling when retired. This can be expensive. Limit your travel plans. Consider staying with friends instead of in hotels and be realistic when it comes to travel expenses. Travel expenses can eat up a retiree’s budget quickly.
Consider taking advantage of senior discounts. There is nothing wrong, with asking for a McDonald’s Senior coffee. Double check menus for Seniors. They are usually located in a special section, on the menu. Always check newspapers and magazines for special meal coupons.
Change your thought process, from having a lot to having little. Think in terms of conserving in all walks of life.
Recoup Some Income
Find a way to bring in some extra cash on the side. Look for a hobby that generates an income flow.
If you have been an upper class person, have the courage to lower your standards. This includes your standard of living. Have the courage to abandon the old life and start a new one. There are a lot of good things about being retired and it isn’t all bad.