For those of you over 40, take a few minutes and contemplate your retirement. Here are a few tips on how to figure out more closely what it could be.
- Bring into focus your current financial state. In other words, where are you now?
- Recall the last time you thought about your retirement. How much income did you want to create?
- Given your current age and retirement age, if you keep doing what you’re doing now, will that income be there?
- Is that income, after tax, enough?
- If you think you might need to modify your current approach, what would you change?
- What should you do if you feel you may have to work years after your planned retirement age?
- Do you know folks over 60, still working full time, and who may have to for the foreseeable future?
It’s shocking to me the number of people I know personally who are at least partcially supporting their parents, and still haven’t asked themselves those questions. The average guy in his mid-late 50’s has less than $60,000 saved for retirement — usually in a 401(k) or IRA. He doesn’t owe much on his home, and figures if he can figure out how to pay it off in the next 10 years he’ll probably be ok. Between the safety of his free and clear home, Social Security, and his savings, retirement should be just fine. That brings up one more question.
How do you feel about that?
Brian Brady says:
“How do you feel about that?”
Depressingly, poor. (well, maybe not that bad)
Thos are tough questions for anyone to have to face, Jeff. I see it so often in the lending world; no assets.
January 22, 2007 — 10:18 pm
Jeff Brown says:
Brian – It reminds me of the time I finally faced reality about my weight and waist. It was around 1980 or so. I’d driven to another real estate office to deliver an offer, and knew the agents. They were a husband/wife team and very nice folks. She mentioned to me while we were talking that her husband had asked her to identify the ‘chubby blonde’ guy headed for their office.
Two years later I was about 45 pounds lighter. Nothing like reality smacking you upside the head. 🙂
January 22, 2007 — 10:37 pm
James says:
it is a little depressing but not all that surprising.
January 22, 2007 — 11:22 pm
Cathleen Collins says:
So the bawld guy used to be the blonde guy…
January 23, 2007 — 2:44 pm
Jeff Brown says:
James – Yep, and that feeling is often followed almost immediately by moderate to extreme anxiety.
January 23, 2007 — 3:37 pm
Jeff Brown says:
Cathleen – True enough. One of these days I’ll see if I can’t scan a picture of my senior picture from high school. My forehead has ah, grown. 🙂
January 23, 2007 — 3:40 pm