A retirement plan helps you enjoy a stress-free life in your post-retirement phase. It involves identifying your retirement goals and working towards achieving those goals.
In some cases, retirement planning enables you to build trust for those in n...
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A retirement plan helps you enjoy a stress-free life in your post-retirement phase. It involves identifying your retirement goals and working towards achieving those goals.
Why is Retirement Planning Important?
There is a general perception that you can start financial planning for your retired life much later. So, here we shall discuss why Retirement Planning must be a part of your financial planning since your initial work life.
1. Increasing average life expectancy
Life expectancy in the U.S is nearly 80 years, which continues to rise. This means that your post-retirement life will be longer than before. So, it becomes imperative that you start planning early to have sufficient funds to live a comfortable life at the time of retirement.
2. Less stress equals better health.
When your steady source of income ceases on retirement, it can become a cause of worry. Financial security ensures that your physical and mental health is not adversely affected and your quality-of-life post-retirement is in no way compromised.
3. Unexpected financial hurdles
We expect to be more financially secure with increased experience and better job prospects. But factors like health complications or company lay-offs may affect your plans and can even in premature retirement. A retirement plan ensures that you are financially prepared.
4. Ensures a happy married life
Lack of agreement in financial investments can cause discord in marital life. A shared goal for a secure future wherein you can enjoy the passions you could not pursue earlier is a big incentive to invest in a retirement plan.
5. Will not be a burden on your children.
Retired life includes medical expenses and long-term care costs, and if you plan your finances for retired life well, you can live an independent life. It must not be your children's responsibility to cover the expenses.
6. Allows you to be an active grandparent
Your financial independence gives you the confidence to actively participate and contribute to your grandkids' milestones and special events.
7. Avoid complete dependence on Government-funded schemes.
You can avail of a low-cost medical plan through Medicare and financial aid from Social Security, but it must not be your only source of income in your retired life.
8. Make judicious life decisions.
Having a clear idea of your retirement goals helps you make informed decisions towards a financially comfortable retired life.
9. Continue your legacy
In some cases, retirement planning enables you to build trust for those in need. This fund can help them in various ways to improve their lives.
Premier Protection offers Retirement Benefit Analysis that helps federal employees with Federal Retired Planning. We familiarise you with various plans that you can benefit from, like the Federal Retirement Thrift Savings plan for a secure retired life. For postal employees, Postal Retirement Benefits help ensure that you are financially comfortable in your post-retirement life.
