The Importance of Planning Ahead for Retirement, Ep #26

<p>What is a retirement plan? What should a well-written retirement plan do for you? What 5 questions should it answer? Can you adjust a retirement plan? In this episode of Retirement Made Easy, I talk about the importance of planning ahead for retirement. The sooner you have a retirement plan in place, the better. Listen to find out why it’s so important! </p> <h2>You will want to hear this episode if you are interested in...</h2> <ul> <li aria-level="1">[0:22] The importance of planning ahead</li> <li aria-level="1">[2:26] The two best books on retirement</li> <li aria-level="1">[4:52] What is a retirement plan?</li> <li aria-level="1">[8:26] Adjustments you can make leading to retirement</li> <li aria-level="1">[9:33] The 5 questions a retirement plan answers</li> </ul> <h2>What is a retirement plan?</h2> <p>Many people want to know if they’re on track for retirement. A retirement plan looks at where you are currently with the resources that you have. It will make assumptions and project your future retirement. Your retirement plan will help you determine if there are changes you need to make or if it’s smooth sailing ahead. The sooner you can get a retirement plan completed, the better. If you wait until the last minute, a financial planner might find gaps in your plan—that could’ve been filled years before. </p> <p>It breaks my heart when people are excited about retirement, only to find out that they can’t afford the retirement that they had dreamed of. I find myself thinking, “I wish they had come to me years ago.” No one wants to hear that they have to live on less or delay retirement. Doing your retirement plan earlier (5+ years early) allows for adjustments to be made leading up to retirement. </p> <h2>Adjustments you can make leading to retirement</h2> <p>What adjustments could be made to your retirement plan that could change the trajectory of your retirement? We could max out your HSA or could increase your contributions to your 401k. We could come up with a strategy to pay off your house prior to re