Are you about to retire early? Whether you meant to or not, there’s a lot of things to consider when you leave the working world. Have you thought through all of these things?
(Want to jump ahead in the episode? Click the featured times below to skip to a specific section.)
As more companies are offering a pension and buyout, many are being forced to retire due to the pandemic. Brian has had conversations just this week with people who were planning on working a few more years but are now being shown the door early than anticipated. So, what do you need to know when retiring early (whether it was your original plan or not)?
Find out, what are you being offered for a lump sum or monthly payment. Can this be delayed? What does the plan entail? Then consider, how will you handle medical expenses, particularly before age 65?
In retirement, what is your budget? Does it include travel costs? Your donations? Home and utility bills? Where do you intend to live? Make sure you have a budget that includes what you need and the lifestyle you plan to live. Don’t forget that retirement can last a long time–for some, retirement lasts over 30 years. Does your budget account for that?
What legal documents do you have in place? From a will to power of attorney to a living will, do you have all of the necessary documents in line? You need more than just a will, so go to a qualified attorney and financial planner to see that your plan does what you want.
If you were planning to retire early or if you are unexpectedly retiring early, we hope this list of considerations help you feel ready and prepared.
Listen to the entire episode or click on the timestamps below to hear a specific segment.
[0:17] – What do you need to consider when retiring early?
[2:28] – Determine how to address medical expenses.
[4:46] – Do you have a realistic retirement budget?
[6:01] – Retirement can last over 30 years.
[8:09] – What does downsizing look like?
[12:04] – What kind of estate plan do you need?
[14:39] – How are you handling your debt?