Financial Goals for Every Decade of Life: 40s, 50s, 60s, and Beyond

No matter how you spin it, managing your money is an important part of life. Unfortunately, it doesn’t get any easier with age. The market is always changing, and so should your financial strategies as you progress through various stages of life.

To help make things easier, the financial advisors at American Investment Planners, LLC have put together a list of financial goals you should strive to accomplish during each decade of your life.

This article focuses on your 40s, 50s, 60s, and beyond. To view a list of financial goals for your 20s and 30s, please click here.

Financial goals for your 40s

As you enter your forties, it is important to start honing in on retirement, while also thinking about your spouse, children, and other dependents:

• Max out retirement contributions each year. If you are a little behind on your retirement savings, now is the time to catch up. With no more debt to pay off, you should be able to make the maximum annual contributions to your 401(k) and Roth IRA.
• Look into life insurance. Your life insurance policy should be enough to provide for your family in the event of your death.
• Create/update your estate plan. At the very least, you should have a legally-valid will that clearly states the distribution of your assets and the care of your dependents.

Financial goals for your 50s

If all is going according to plan, retirement is close. Your fifties are a good time to minimize expenses and fine-tune your retirement plan:

• Pay off your mortgage. The sooner you can pay off your mortgage, the easier it is to pay for everything else.
• Rebalance your retirement portfolio. With retirement drawing near, now is a good time to sit down with your financial advisor and make sure your investments carry minimal risk.
• Begin budgeting your retirement. Know what your post-retirement income and expenses will look like, and plan accordingly.

Financial goals for your 60s and beyond

You’ve spent your entire life saving for this moment, you don’t want to run out of money too quickly. Here is how to make the most out of your retirement:

• Downsize. A smaller home can reduce your property taxes and other expenses. Consider moving to a retirement community, which can also offer social benefits.
• Sell unneeded assets. Have a vacation home, RV, or other assets you no longer need? Sell them off and put that money towards your retirement.
• Review your investments. Does your current nest egg allow for the post-retirement lifestyle you envision?

No matter which stage of life you are at, the financial advisors at American Investment Planners, LLC can help you achieve your goals.  To schedule an appointment with one of our professional consultants, please call (516) 932-5130 or email info@americaninvestmentplanners.com.