Retirement Revoked?

It’s no secret that the cost of essentials like housing, food, transportation, medicine, and just about everything else is skyrocketing.

And yet, wages are stagnant.

But it’s not just the working class that’s affected.

In fact, anyone who wants to retire in the future (and maintain their lifestyle) should take note, because higher costs will affect them, too.

After all, many retired Americans are on a fixed income. They likely have a pension of some sort, but that income is usually modest and doesn’t keep up with future inflation projections.

If you’re not retired yet, how can you protect yourself? After all, inflation will always be with us.

  1. Diversify Your Investment Portfolio: A well-diversified portfolio can help protect your savings from market volatility and inflation. This could include a mix of stocks, bonds, real estate, and other assets.
  2. Maintain An Emergency Fund: A healthy emergency fund can prevent dipping into your retirement savings for unexpected expenses.
  3. Review and Adjust Your Spending: Developing a budget that accounts for rising costs can help you manage your spending more effectively in retirement.
  4. Delay Social Security Benefits: If possible, delaying your Social Security benefits can result in a higher monthly payout. This can be a strategic move to counteract the impact of inflation over time.
  5. Plan for Healthcare Costs: Healthcare costs rise faster than general inflation. Consider investing in a Health Savings Account (HSA) if you’re eligible, and make sure to account for healthcare expenses in your retirement budget.
  6. Keep Working or Find Part-time Employment: Working longer or taking up part-time employment during retirement can provide additional income to help manage rising costs.

Oh, and…

  1. Review Your Plan Regularly: Your financial plan should evolve as your situation and the economic environment change. Regularly reviewing and adjusting your plan can help you stay on track.
  2. Consult with a Financial Advisor: A financial advisor can provide personalized advice and help you create and implement a plan based on your individual financial situation, goals, and risk tolerance.

Even if you never decide to work with a financial advisor, you need to create a plan for the future that accounts for inflation.

If you don’t already have that plan, the best time to get one was yesterday.

The second best time is today.

DIYing your plan will only get you so far, so it might be time to bring a professional on board.

It starts with a 15-minute consultation, so book yours any time by phone or reserve a spot in my calendar (click the buttons below).