5 Smart Strategies to Make Your Money Last Longer in Retirement

What does America’s increasing life expectancy mean for retirees? It means they need to make their money last longer — up to 30 years or more. Even with a diligent savings strategy, the chance exists that you may outlive your nest egg.

Follow these five tips from the retirement professionals at American Investment Planners, LLC to make your money last as long as possible.

Have a plan.

As the old adage says, failing to plan is planning to fail. A well-thought-out withdrawal plan should take into account estimated income, expenses, tax rates, and other variable factors. Sitting down with a financial advisor at American Investment Planners, LLC can help you develop a plan that meets your needs and budget.

Delay social security.

Though you may be eligible to begin Social Security at age 62, the smarter move is to delay these benefits for as long as possible. Every year you wait to start, your paycheck increases significantly. Waiting until age 66 will boost your income by 25%, and if you can hold off until age 70, you will earn 83% more each month!

Don’t dump your stocks.

As you near retirement, most financial experts recommend shifting your money from highly-volatile stocks to more safe, conservative bonds. This strategy makes perfect sense in theory; you want to minimize risk as you grow older. However, with most bonds yielding 1% or less, you should still maintain a modest stock portfolio to encourage growth.

Take on a part-time job.

Wait a minute, isn’t the whole point of retirement not to work? Maybe, but taking on a part-time job isn’t always a bad idea. Working just a couple of days per week can help you earn more, spend less, and enjoy a sense of fulfillment.

Downsize and relocate.

Just because you can afford to live in your home now, doesn’t mean you can afford to for the rest of your life. Consider downsizing and relocating to one of these five cities, which offer affordable housing, low living costs, and generous tax advantages.

American Investment Planners, LLC has decades of experience helping individuals across the country plan for retirement. Let us help you. Schedule a sit-down meeting with one of our advisors by calling (516) 932-5130, or email info@americaninvestmentplanners.com.