When To Start Retirement Planning: Finances and More

No matter where you are in your career or path to retirement, the best time to start planning is now. Retirement planning is important because: 

• It ensures you have sufficient financial resources to cover your living expenses and provide a safety net for unexpected costs.
• It allows you to maintain your desired lifestyle during your retirement years.
• It protects your resources from inflation.
• It provides peace of mind for you and your loved ones that you will have everything you need in your retirement years.

Whether you plan to retire five or 25 years from now, it’s never too late—or early—to set yourself up for success in the future. Here are a few retirement planning tips to help you get started. 

Retirement Planning in Your 20s and 30s

For a young person just starting in the workforce, retirement can feel like a problem to consider later. However, the earlier you start planning, the more advantage you have with time and compounding interest. 

Action Plan: If you’re in your 20s or 30s, now is the time to build strong financial habits and start contributing to retirement accounts that will grow over time. When you’re this young, many financial advisors recommend approaching investment with a greater risk tolerance. This is because you’ll have more time for your funds to level out. 

In Your 40s and 50s

If you’re in the middle of your career, now is the time to get serious about your retirement plans. If you haven’t started contributing to a retirement account, start as soon as possible.

Action Plan: Focus on increasing retirement savings, reassessing investment strategies and considering long-term financial goals.  

In Your Late 50s and 60s

As retirement approaches, you can still make the most of the time you have to plan and prepare. You have the advantage of being closer to your retirement years, which gives you a better idea of the lifestyle that appeals to you. This can help when making plans for where you want to live during retirement. Make sure you take time to discuss your plans with your spouse and any adult children. 

Read Blog: Talking to Adult Children About Your Retirement Plans 

Now is also a good time to take steps to minimize debt and adjust investments to a more conservative approach to protect any wealth you have accumulated.  

Action Plan: Focus on fine-tuning your retirement goals, reviewing investment allocations, estimating retirement expenses and developing a withdrawal strategy.  

Retirement Planning in Your 60s and Beyond

In your late 60s, you have now reached the age where many adults have begun to transition into a retirement lifestyle. Some adults choose to retire sooner, based on pension plans or other financial factors.  

Read Blog: Considering an Early Retirement? Here’s What You Need to Know 

If you haven’t made any preparations for retirement, speak with a financial advisor to evaluate your options and assets. Seeking guidance from a retirement planning professional can be helpful at any stage to ensure you have enough funds saved for the future.  

Action Plan: Focus on finalizing your retirement plans, and consider any Social Security claiming strategies, healthcare needs and additional income sources.  

Affordable Retirement Options at ACV

Members who live in our faith-based community at Advent Christian Village enjoy the flexibility of financial arrangements that cater to different income levels, including those with a pension – and there is no entrance fee. Membership benefits include free use of our wellness center, emergency and security response, out-of-town medical transportation, free shuttle bus transportation around campus and more.  

Advent Christian Village offers options for members with different resources, health concerns and retirement goals, and we might just be the perfect fit for you. Schedule a tour at our Live Oak retirement community today – we’d love to speak with you.    

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