Outliving your savings: How to avoid a retirement that runs short
Planning for a long retirement can make saving enough feel daunting. But even some simple steps now can help ensure you have the funds needed to enjoy your retirement.
Tips for saving for retirement
Be proactive about preserving and increasing your savings for retirement with these tips:
Visualise your retirement.
Put your retirement savings into context by thinking about your lifestyle and the things you would like to accomplish once you retire. Whether your goal is to travel or downsize your lifestyle, it is easier to develop a plan when you visualise something.
Evaluate your assets.
Take a look at the available assets you anticipate having for your retirement to get a clearer picture of your financial situation.
Keep fueling your savings.
Even if retirement is just around the corner, it can help to continue aggressively saving as much as you can while you are still employed.
Continue working.
If you enjoy your current job, consider putting off retirement for a year or two to help boost your savings. Once you retire, you might choose to work a part-time job so your retirement savings have the potential to continue growing.
Plan prudently.
Because retirement is a new experience, it is uncharted territory. It can be a good idea to seek the assistance of a financial consultant to help reduce the risks of outliving your savings. A financial consultant can go over your options, including helping you develop a retirement budget that can help you live within your means.
Adjust your expectations.
If you are unable to save enough for the retirement you envision, you might need to reset your expectations.
To help you stay on track and reduce the chance for financial surprises, review your plan for retirement at least annually, or as significant events occur before and after you retire.