5 Items You Can’t Afford to Overlook When Planning for Retirement

Planning for Retirement? Here Are 5 Tips You Can't Afford to Overlook

By Kelley Muhsemann
Marketing Manager

Retirement is a milestone many of us eagerly anticipate, envisioning a time of leisure, freedom, and new adventures. However, transitioning into retirement requires careful consideration and planning to ensure a smooth and fulfilling experience. As you prepare for this new chapter, here are five essential things you should know for a fulfilling retired life.

  1. The Importance of Comprehensive Financial Planning. Retirement planning goes far beyond simply saving a certain amount of money. It’s crucial to develop a comprehensive financial plan that accounts for all aspects of retirement, including living expenses, healthcare costs, inflation, and unexpected emergencies. Working with a fee-only financial advisor can help you create a tailored plan that aligns with your retirement goals and provides financial security throughout your golden years. According to the FPSB Value of Financial Planning Consumer Research study, “globally, clients of a financial planner say they experience higher quality of life, financial confidence and financial satisfaction than those who are unadvised.” In addition, “a realistic plan to achieve a more comfortable retirement” was one of the top three financial needs that an advisor met, and nearly 80% of CFP® professional advised respondents stated that they feel on track to have enough money for a happy retirement.
  2. The Emotional Impact of Retirement. Retirement isn’t just a financial decision; it’s also an emotional transition. Many retirees experience a loss of identity and purpose as they leave behind their careers and enter this new phase of life. Coined the “retirement blues,” almost 1 in 3 retirees surveyed say they feel depressed. It’s important to prepare yourself for the emotional impact of retirement and explore ways to maintain a sense of fulfillment. Remember that you’re “retiring to” not “retiring from.” Give yourself grace and think about what you may have put off for the last 30 years. Engage in meaningful activities, pursue hobbies, and connect with loved ones. Keeping busy can help ease the emotional transition and make retirement more enjoyable.
  3. The Reality of Healthcare Costs. Healthcare expenses are a significant consideration in retirement and can often be higher than anticipated. A recent study found that a 65-year-old couple could need upwards of $351,000 to cover retirement healthcare costs. From Medicare premiums to out-of-pocket costs for prescription drugs and long-term care, healthcare can quickly deplete your retirement savings if you’re not prepared. Be sure to research healthcare options, understand the coverage provided by Medicare, and plan for potential healthcare needs as you age. Explore long-term care insurance and factor healthcare costs into your retirement budget so you can ensure financial stability in retirement.
  4. The Importance of Staying Active. Maintaining an active lifestyle is crucial for physical and mental well-being in retirement. Regular exercise not only improves physical health but also enhances cognitive function, mood, and overall quality of life. In fact, recent studies found that physical activity aided in prevention of disease and reduced mortality in older people, and retirees that exercise regularly get more sleep and spend more time doing housework and gardening. As you prepare for retirement, consider how you’ll stay active and engaged in meaningful activities. Whether it’s participating in fitness classes, pursuing outdoor hobbies, or volunteering in the community, finding ways to stay active can help you enjoy a long and fulfilling retirement.
  5. The Value of Social Connections. A recent study found that social isolation is as damaging as smoking 15 cigarettes a day, or having six drinks a day. It can also increase the risk of stroke and heart disease by 30% and increases the risk of dementia by nearly 50%. Staying connected with others is essential for overall well-being. Retirees must prioritize building and maintaining social connections, as these relationships provide health benefits, emotional support, companionship, and a sense of belonging. Join clubs, attend social events, volunteer in your community, or reconnect with old friends to foster meaningful connections and enrich your retirement experience.

Retirement is an exciting and significant life transition that requires careful planning and preparation. By understanding the importance of comprehensive financial planning, acknowledging the emotional impact of retirement, preparing for healthcare costs, staying active, and valuing social connections, you can set yourself up for a fulfilling and rewarding post-career journey.

If you have questions regarding your retirement plan, contact our team of CERTIFIED FINANCIAL PLANNERTM (CFP®) professionals at 631.218.0077 or at info@rwroge.com and schedule a complimentary discovery call, or click here to get started.

R.W. Rogé & Company, Inc. is an independent, fee-only financial planning and investment management firm serving clients locally and virtually across the country, with Long Island, New York, Beverly, Massachusetts, and Naples, Florida office locations. R.W. Rogé & Company, Inc. was founded on a “client first” culture and proudly commits to acting in your best interest as a fiduciary. We help clients Plan, Achieve, and Live® the life they want since 1986. To learn more about how we do this, click here.

 The Author used elements of OpenAI to aid in creating this article: OpenAI. (2024). ChatGPT (3.5) [Large language model]. https://chat.openai.com 


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