What Should You Consider in Your Retirement Planning?

by Jeff Hale | Mar 26, 2021
What Should You Consider in Your Retirement Planning?

When turning 65, it is important to sit down and carefully develop or go over your retirement goals. You need to think about your goals, the steps you need to take to reach them, and how long you have to reach them. In this guide, we’ll explain the important things to consider in your retirement planning.

Retirement Budget

When turning 65, it is important to divide your retirement plan into different components. First, you need to consider the time frame and form a retirement plan based on the time frame. One of the steps involved in a retirement plan is creating a retirement budget. You need to create a post-retirement budget based on realistic expectations. Your retirement budget should include expenses such as vacations, groceries, and the necessary living expenses.

A big factor to consider is healthcare. The older you become, the more likely you are to have some unforeseen medical expenses. To take care of this, ensure you make provision for medical expenses and health insurance plans in your retirement budget. It is important to have an accurate estimate of what your post-retirement expenses will look like to avoid financial issues.

Health Insurance

This is an important factor to consider in your retirement planning. To avoid the financial problems that may arise as a result of unforeseen medical expenses, you should consider getting a health plan such as Medicare. Generally, you become qualified to enroll in Medicare during your Initial Enrollment Period. This starts three months before your 65th birthday and lasts up until three months after.

Medicare helps to cover important medical costs such as skilled nursing facility care, preventive screenings, doctor visits, etc. Other parts of Medicare cover expenses such as prescription drug coverage, dental, vision, and hearing, and other inpatient and outpatient medical services. If you are eligible for Original Medicare and you choose to delay your enrollment, you may have to pay a late enrollment penalty when you later enroll.

Your Savings and Assets

If you have significant assets and savings, then it is time to take stock. Retirement planning includes calculating how much you have saved and your current assets. This will help you create a retirement budget based on your retirement goals. If you need help in allocating your current investments, you may need the services of a financial advisor.

When You want to Retire

Do you want to retire at 65 or do you want to work some more? This is an important question you should consider in your retirement planning. You may get more Social Security benefits if you delay your retirement until age 67 or up to 70. Your choice should partly be determined by whether you have enough money to meet your retirement goals or not.

You may also decide to slowly reduce your workrate rather than retiring abruptly. If you have decided to retire later, you can make some low-risk investments to help you build your retirement funds.

At Bend Medicare, we understand how hard it can be to make sense of all the Medicare and other insurance options that become available to you once you’re 65, that’s why our trained and reputable team is dedicated to providing you with unmatched customer service and the best insurance solutions possible.