Retirement is on the horizon. And that either scares you, or excites you.
Whatever the case, I’m here to help and make your future a brighter one. I’ve helped nearly-retired folks just like you navigate the complexities of their final working days. When you’re 10 years from retirement, it’s time to start your final retirement preparations.
You may be wondering:
- “Is it too late for me to start investing?”
- “Is it possible to retire earlier than I expect?”
- “Is there a financial plan that can help me stay on track leading up to retirement and beyond?”
I’m Jeff Rose, a CERTIFIED FINANCIAL PLANNER™ professional, and I’ve helped near-retirees put together and maintain financial plans to help them achieve their goals. My straightforward approach and experience will help you determine the feasibility of your ambitions.
Let me help you retire strong.
Determine if You Can – or Should – Retire Early
Whether or not you can retire early depends on two factors:
- What you’ve done up to this point
- What you’ll do as you near the traditional retirement age of 65
Have you saved and invested over the course of your working years? Are you continuing to invest? Do you have enough assets to comfortably retire early?
These are all important questions. But there are a few more non-financial questions you must answer . . . .
Does your job provide you with purpose you’d miss during retirement? Would you regret not seeing your coworkers on a day-to-day basis?
As you can see, determining whether or not you should retire early is a difficult question. There’s a lot at play. The last thing I’d want you to do is quit your job if you’d miss the work and the people.
I’d also want to make sure an early retirement is financial feasible. Don’t retire impulsively. It takes a hefty bank account, multiple income streams, or a solid investment portfolio to soundly make that move.
Here’s what I
encourage insist you do before you retire early: read the following article. It will give you 15 reasons why you may not be able to retire early. (If you still suspect that early, contact me and let’s talk about it.)
Was that last article a little discouraging? Feel like you can’t retire early yet but you still want to? Here are some ideas to help you get there before you turn 65 (the third idea in this article is unique):
Figure Out What to Do with Annuities
Annuities are, well, complicated. There are many different types including but not limited to fixed, variable, indexed, immediate, and more.
To further complicate things, each type of annuity may have different conditions. There certainly isn’t a one-size-fits-all answer when it comes to questions regarding annuities.
However, if you discover you need out of a bad annuity, here’s some advice:
Also, before you go buying an equity indexed annuity, read this gem:
Do Some Last Minute – But Wise – Investing
With 10 years to go before retirement, you still have some time to invest – albeit, you only should in non-aggressive accounts.
If you’re one of those who hasn’t invested the price of a pizza every month for thirty years (you know the example I’m referring to), don’t dismay. There’s still hope.
The truth is, life happens. Children happen. Short-term necessities are paid for and long-term planning is often thrown out the window. If that’s the boat you’re in, it’s okay. There’s a path forward.
One way to approach the goal of retirement with 10 years to go is to look at short-term investments:
A couple of the mentioned short-term investments in the article above include Prosper and Lending Club. Prosper and Lending Club are peer-to-peer lending websites that allow you to lend to others and see some nice returns.
You can read about my Prosper vs. Lending Club experiment here:
Know When Converting Retirement Accounts to a Roth IRA is a Good Idea
I’m a huge fan of the Roth IRA. No taxes at retirement? That’s a beautiful thing.
But don’t go converting your IRA or 401(k) into a Roth IRA until you know the facts about how they work. There have been times where I’ve advised against clients doing a conversion.
You can read everything you need to know about Roth IRA conversions here:
Consolidate Your 401(k) – and Other Accounts – the Right Way
Here’s the scenario.
You’ve worked at multiple jobs over the course of your career, and have several retirement accounts lingering in the stratosphere.
That can be overwhelming, and consolidation of those accounts might be the ticket.
One way to consolidate your 401(k) accounts and other accounts is to use the “Super IRA” strategy that leads to reduced fees and more buying power:
Assess Your Investing Risk Tolerance
With 10 years left to retirement, you may not have much of a tolerance for risk – and rightly so.
But the problem is, it isn’t always easy to know how much risk we’re really ready to take on until we’re placed into a real-world scenario or take a risk tolerance test.
When I meet with clients, they often struggle to assess their risk tolerance. Moreover, it becomes challenging to match their self-perceived risk tolerance with their retirement goals.
Thankfully, now there’s a simple way to assess your risk and see how it lines up with your investing goals. Best of all, it’s free:
Create a Retirement Plan
I love lists – especially checklists.
I don’t know what it is about checklists, but for some reason, they encourage me to get stuff done.
And when it comes to retirement planning, you definitely need a checklist. There’s just too much to retirement planning to keep all of it in your head.
Make it easy on yourself and consider some important factors when it comes to creating a retirement planning checklist:
While creating your own checklist is certainly helpful, it might not tell the whole story when it comes to retirement.
You might find yourself asking questions like:
- “When do I know that I have enough saved to retire comfortably?”
- “Will my investments stand the test of time and last the rest of my life?”
- “Do I have the right investments to reach my retirement goals like taking vacations and giving to my children and grandchildren?”
These are difficult questions that require in-depth analysis. That’s why I created The Financial Success Blueprint™.
The Financial Success Blueprint™ is designed to review your situation and analyze all your options.
Review Your 401(k)
Reviewing your 401(k) isn’t very much fun. There’s a lot to it.
But I can help. My 401(k) review service will provide you with:
- A personal and independent review of your 401(k) plan
- Professional research data (when possible) of your 401(k)
- Concise, customized written synopsis of your 401(k) review and suggested fund allocation chart based on stated goals, age, and risk assessment
Start your 401(k) review today:
One more thing . . . if you have a target date mutual fund I suggest you get out of it. Simply put, target date mutual funds eat through your returns. That’s not a good thing!
Here’s what you need to know about them:
Should You Consider Life Insurance?
Life insurance can come in handy – even when you’re over 50 years old.
Say, for example, you want to leave an inheritance for your children or have some money to pay for final expenses. These are appropriate reasons to get life insurance at this age.
Here’s everything you need to know about life insurance over 50:
Learn More Along Your Journey to Retirement
Financial success isn’t a one-time achievement, it’s an ongoing pursuit. Let me help you get there with my free newsletter designed for those nearing retirement.
Sign up for the newsletter here [add link], and we’ll throw in The Confident Retirement Toolkit – a variety of guides designed to help you build a better retirement.
Thank you for taking the first steps toward a better retirement. If you have any questions, feel free to reach out to me anytime.