Much of the discussion concerning retirement planning is geared toward guys that are retiring from their careers with a partner who appears to be considered’along for the ride’. Perhaps that situation was true from the fifties, sixties and seventies however, for a whole lot of the populace, that’s no longer true now.
Among the Baby Boomer generation are countless unmarried women who have to plan for their retirement independent of any partner. This is a double edged sword. While this independence removes the obligation to provide for another individual in your retirement years, in addition, it means that there’s only a single source of income to finance the retirement.
Obviously, the sooner that a woman starts to consider and plan for her retirement, the better off she is if she gets into the retirement “Red Zone”. The “Zone” starts 5 years before actual retirement and ends 5 years after your retirement date. At all times until you enter the Zone, time is on your side. If you make errors or the marketplace for your investments includes a recession, you still have time to recuperate.
It’s actually important that you get some really nice and independent advice regarding your retirement planning. By “independent”, I suggest a Certified Financial Planner to whom you directly pay a commission for their advice. Do not rely upon advice from anyone who derives their income from a commission or fee depending on the investment of your funds. This would be like asking a beautician if you will need a new hairstyle!
Once you’re in the Zone, however, you do not have the benefit of time on your side and errors made during this period can prove very costly. During this time, by way of instance, your investment plan will probably become more conservative to decrease the possibility of large losses on your investment portfolio. Beware of any advice in this time that points toward more risky investments. While in the Zone, you must avoid doing anything that will disturb your retirement budget.
Many just-retired ladies, feeling free of the ties that bound them, rush off to travel the world or invest in playthings (condos, lakehouses, motor homes, etc). You have to avoid this temptation unless you’re one of the most blessed of retirees! For the majority of us, it would be helpful to look at using your free time to become involved with a post-retirement action that will generate a little additional cash and provide you something effective to do so which you may retain your sense of self worth and stay as active as you can.
Any excess money you may make from this endeavor (and there are many, many such opportunities out there!) , can be employed to lessen the amount of your retirement nest egg you will use annually. You do not have to’go to work’ at another J.O.B., which isn’t what retirement is all about! You may find chances, though, which will enable you the freedom to do and go where you want and still provide some level of revenue. You probably won’t take a huge income when you assess your retirement plan completely. But, every dollar which you can keep from spending during the”Red Zone” years will offer a higher degree of security for the remainder of your retirement years.