Nurses spend long hours in the hospital and take very good care of their patients. As you already know, you fulfill a societal need every day and offer remarkable value to the people under your care.
You’ve been working for decades now and you’re considering retiring. However you need to first decipher how your paychecks can be replaced with other sources of income such as social security, retirement accounts and any other income generating assets you own. As your final working years approach, certain questions may start looming and if you haven’t figured out your plans and the answers to those questions, the retirement stage could be an uncomfortable one especially in terms of finance.
You don’t know exactly how long your savings will last
A major concern of people who are retired is whether or not their overall savings will provide a lifetime income for them. They worry that advances in medicine and health care are enabling people live longer and so wonder if they have enough saved up.
Sometimes, nurses entering retirement think that income throughout this new phase in life doesn’t have to increase over time and that having a fixed income schedule is all they need. However, they are often surprised when eventually they realize that inflation doesn’t end just because they have retired. Costs for travel, food, entertainment and other expenses will continually increase all through retirement period therefore, you need a longevity financial plan as well as a plan that accommodates “pay” increases over time.
If you strongly believe that you only need specific amount of money in your retirement account then you’re probably not quite ready to retire yet. Rather than work towards having a particular amount, try looking at other factors like your life expectancy, your health and unforeseen expenses as well as ways you can build additional structured income plan that will outlive you.
You do not understand how social security works
As soon as you clock 62 years, you are qualified to start getting your Social Security benefits. You can also defer it until you reach 70 years. Waiting to reach 70 years most times seem appealing because the benefits are more compared with 62 years or 66 years. What you need to do is sit with a financial coach and develop a plan that takes all your other assets into consideration and analyze the most efficient time to start collecting your social security benefits.
And if you think that your Social Security benefits will just happen and that there’s no need to map out how best to utilize those benefits, you’re probably not quite ready to stop working. Study the Social Security system and get to understand how it actually works. Consult a professional to ensure that you make the overall best financial decision around social security.
You do not have a plan with your partner.
As a couple, your retirement ought to be a fresh exiting stage in your life together but if you haven’t built a joint monetary plan, surprises may crop up. There are lots of decisions that must be made jointly, for instance how money will be spent, how to get earnings, how to create a survivorship plan to enable the surviving partner continue with the same lifestyle. You both also need to agree on the things you’d like to spend time doing when you retire. Do you intend to travel a lot or would you rather stay at home and spend time in your locality?
You’re most likely not quite ready to give up work if you and your partner are yet to design a dream picture of what retirement ought to look like. That comprises the things you desire to do and how your income can help accomplish this.
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