What are some of the “do’s” and “don’ts” of preparing for retirement?
Do “rehearse” retirement. Consider what retirement looks like for you. How will you occupy your time? What will your expenses be each month? How much travel do you plan to do? What might your healthcare involve? Simply thinking about what retirement looks like before you actually leave your career, will help you anticipate and prepare both emotionally and financially.
Don’t underestimate. When determining your retirement expenses think about the rising costs of health care, gasoline and travel (just to name a few) that you’ll continue to consume in retirement. Remember to create some contingency plans to cover unforeseen expenses. You likely won’t regret saving a little extra now for your retirement years rather than not having what you will need once you leave the workforce.