What should I consider before retirement?

If retirement is in your near future, there are some things you should think about before dive. Retirement can be scary for all, but especially for those who are approaching time without a fixed plan. Here are a few things that you should take into account before retirement.

Get as much pension counseling as possible. Talk to a financial planner or participate in pension workshops to get a better idea of ​​what to expect and how to approach planning. Try to get the process at least a year before the actual retirement date, so you have enough time to change if necessary. In fact, experts recommend that you start planning four to five years before retirement, so you can go through the process at your own pace before taking care of it.

Find out what expenses you will have after retirement. Do you have outstanding loans or credit card debt? Will your mortgage be completely paid at the time of the awayDo you retire? How do you plan to live retirement? You will travel and if so, how often? Are you planning to spend money on your hobbies? Where do you plan to live? Do you keep your current home or plan to reduce?

Work out a plan. If you intend to continue working part -time after retirement, you may have any health coverage or other income on your way. Either way, you will have to apply for social security benefits at least three months before the actual year of retirement. You also have to explore the benefits of social security, government pension plans and life insurance coverage to know what you can expect after retirement.

A common mistake is retirement without canceling emergency funds. In addition to the money you need for everyday life, plan to have a specified amount for urgent situations such as unexpected travel expenses, AU repairTomobil or house and even emergency medical care. Having a separate emergency fund means you won't have to dive into your savings.

Another question you can ask before retirement is whether you are ready to retire, both financially and emotionally? Some people do not retire well, so you can be better to go into a partial retirement than to do it all at once.