Most people know (at least mentally) it can take a lot of planning to retire properly. There are many areas to consider, not just which golf courses you are going to play ore where you are going to travel. It is imperative to have your finances in order so you fully understand what you can and can’t do after retirement. This is usually one of the greatest areas of stress for someone looking to retire…will I have enough money?
Another critically important area is to ensure you have everything in order so that you can start receiving your Social Security benefits. This includes such aspects as when you want to start them and to have all the beneficiary information in order. The other area, closely related to Social Security benefits is to enroll in Medicare. There are deadlines for this and it is important to not miss them since it can dramatically impact your benefit.
It might be tempting to stop planning after retirement. However, there is still some planning that needs to continue, as the Wills, Trusts & Estates Prof Blog explained in "Post-Retirement Planning: A Checklist for Seniors."
Retirees need to plan for emergencies and the possibility of no longer being able to handle their own affairs. Having a general durable power of attorney, a health care power of attorney, and a living will are among a few of the most critical plans to have in place.
This is more, much more, than just putting some documents in place. There are a number of questions that need to be answered based on where you are today and where you want to be in the future. It involves lots of discussion about your loved ones and how you want to take care of them today and into the future as well. Having these discussions well in advance of retiring is a wise choice and something I highly recommend for everyone, regardless of your financial or health status.
If something happens to you when you are retired, the people designated to help immediately need to be able to step into their roles. That means all the information necessary for them needs to be gathered into one place. You would be amazed with just how much information you have accumulated over the years, especially in the last decade where almost everything is online and digital. Some of the information you should have in order includes a list of financial, investment, and digital accounts, just to name a few. It also includes having your legal documents stored in the same secure place. Finally, it is very important to have a trusted friend or family member who knows where to find everything, if needed.
Don’t be overwhelmed…just plan. It is a pretty straightforward process when you take the time to put your plans in place ahead of retiring. Talk to your estate planning attorney if you have questions about what you need to do to plan after you retire or give me us a call and we would be happy to answer your questions and guide you through the process. Either way, having this in place can give you tremendous peace of mind when it’s all in order.