The best way to live a satisfying life in your golden years is to live in a retirement community. The community is created to improve your overall well-being as an aging adult. You have access to different activities and programs to help you have an active lifestyle. These are ways to have an active lifestyle in independent living homes near Mission, KS:
How Much Do You Need for Retirement?
Before you consider other things for retirement, you need to have an idea of how much you will be needing during retirement. This is dependent on many factors such as annual income and the age you plan to retire.
Although, there is no right amount of money to save for retirement. Experts have suggested about $1 million or pre-retirement annual income up to 12 years. While others recommend spending below 4% of your retirement each to have a comfortable retirement. However, the situation is different for everyone so it is always advisable you settle down to calculate your retirement savings.
Assets and Liabilities
While preparing for retirement, you need to know how much you are worth. You can list out all your assets; this can include bonds, cash, personal property, investments, real estate, and vehicles. Keep track of your capital to plan for your retirement, and ensure it revolves around your personal income.
However, don’t stop there, also make a list of your liabilities. The liabilities can include auto loans, personal loans, credit card debt, and mortgages. You should always ensure to settle your debt while planning your retirement. This is because your retirement income will last longer if you don’t have a debt to settle.
Your plan for retirement should also involve consideration for healthcare expenses. You must think of a way to pay for your medical expenses and also cover your senior living costs. There is, however, medical assistance like Medicare to cover health expenses. However, Medicare cannot cover all your healthcare expenses in retirement. In addition, you have to pay monthly premiums for Medicare.
Cut Your Expenses
Whether your retirement is far or near, you can start saving now to make it more enjoyable. You don’t have to put all your money into retirement neglecting your present life. The goal is to cut expenses and increase your savings. List your bills and find out how you can reduce them.
You might need to cut down your streaming services or reduce the number of times you eat out. This will bring you closer to your retirement goals and ensure you have a good retirement experience.
Do You Need to Work?
According to the United State Bureau of Labor Statistics, the fastest-growing people in the labor force are people 65 years and above. Unless you are financially prepared and set for life, you should not hastily quit your job.
This will bring you closer to your retirement goals and pay for the life you have always wanted. Therefore, while planning for retirement you always have to find out whether your finances are good enough for retirement. You can know this by understanding how much you will need for retirement.