Unretiring is trending as older Americans are returning to the workforce, and not by choice. A Paychex survey found that more than 50% of the recent unretired admitted they had to return to work to make ends meet. They cited that being unprepared for retirement, and money concerns negatively affecting their mental health, factored into their decision to unretire. Founder and CEO of Alloy Wealth Management, Mark Henry, says that many pre-retirees and retirees make the mistake of saving to retire on 75% of their income instead of saving in preparation of maintaining their current lifestyle.
In addition, not planning for ways to stay busy in retirement is a common mistake made by pre-retirees. One-third of retirees in the U.S. experience stress, anxiety, and depression, mainly due to a lack of daily routines. Therefore, retirement planning should go beyond saving in preparation of maintaining a desired lifestyle and include planning for regular activities, volunteer opportunities, hobbies, etc. Whether your dream retirement is to live a life of leisure, or you see retirement as a time to work less and do more, it’s important to consult with a financial professional who will help you “see the big picture” and plan accordingly.
Understanding where your money will come from, what your expenses will be, how insurance can provide income in retirement, how taxes affect distributions, and how much money you will be able to withdraw each month will help answer the question of how much money you need to accumulate so that you can retire. No one wants to outlive their retirement income, and with professional retirement planning, estate planning, tax planning, and investment management services, you can enjoy a successful retirement. Call Alloy Wealth Management at 800-689-3935 to speak with one of our financial professionals.