What To Consider When Saving for Retirement

When it comes to retirement, the more time you spend planning, the better off you’ll be. Thing is, we’re not talking about just saving money. While, yes, it’s important to physically save money to support yourself later on in life, it’s also important to take a few things into account to determine how much money you need to save.

Your Ideal Retirement Age

Simply put — the early you retire, the more money you’ll need to saved to support yourself. Typically, people tend to retire later than they originally plan; however, if you experience health problems or get laid off from your job, you may be forced into early retirement — so you should account for these things when saving.

Your Life Expectancy

Take a look at your family and personal health history. If your relatives tend to live well into their 90s, you’ll want to save more money since you could be around for much longer than the average life expectancy of around 85 years.

Your Future Health-Care Needs

You may experience health issues down the line and require more medications, extended hospital visits, or an in-home nurse. If you don’t account for these things and other long-term care costs, you could be strapped for cash in retirement.

Your Lifestyle

Are you someone who likes to take frequent and/or lavish vacations throughout the year? While that may be easy to do while you’re working and have a steady income, it may prove harder to do in retirement if you don’t plan for your ideal lifestyle.

Inflation

If you don’t account for inflation, your retirement savings may not be sufficient enough by the time you need them. It’s vital to consult your retirement planner and account for the rate inflation — and ideally, exceed it.

Anything is possible in retirement if you set yourself up the right way. At American Investment Planners LLC, we make it a priority to help you prepare for the best financial future possible. From preserving your wealth to estate planning, we’re here to help with anything you may need. To schedule an appointment with one of our advisors, please call (516) 932-5130 or email info@americaninvestmentplanners.com.