It is never too early to start planning for retirement. Planning for retirement requires a combination of saving, investing, managing income, and managing debt. If you are beginning to think about the end of your working days, be sure to consider the following essential numbers so you can create an effective retirement plan.
Life Expectancy
You might not realize it, but the life expectancy for people who share your gender in your family could impact your retirement plans. Take a look at family members and their age when they died to try to determine when you should retire and how much you need to plan before that time. Although you can never be sure of your own life expectancy, it can help with your planning if you think about family members and their lifespans.
Cost of Living
It is also very important to consider the cost of living in your area and how much you can expect it to change once you retire. Knowing how much it costs to maintain your current lifestyle gives you a better idea of how long you should work before you retire and what kind of money you should save to ensure that you can continue to enjoy a comfortable lifestyle.
Current Income
You should consider your current income when you are trying to decide how and when to retire. This number gives you a better understanding of how much money it takes to live the way you currently live. It can also help you determine how long you need to keep working to build up a retirement fund that provides a similar amount of money for your needs.
If you want help with retirement planning in Tucson, Financial Directions, LLC is here for you. We work with you to determine your specific needs and find the best way to put your interests first. To learn more about our financial services or our qualified team of advisors, call (520) 408-7777.
