Entering retirement life shouldn’t mean more work.

In some cases, with poor financial planning, this is the type of unfavorable scenario that can result at a moment in life when things should flow more smoothly.

If you want to retire how you want, when you want and on your own terms, it’ll be important to follow an action plan fueled by proven financial tactics. Here are five pieces of financial advice that can put you on a smooth road toward the retirement life you always wanted.


Plan now

Regardless of how far out retirement is, it’s never too early to start.

Think about your future self, in 10 years or so. With that perspective in mind, it’s clearer how much of a difference increasing your monthly contributions can make to your retirement savings.

Now is the time to put away as much as you can afford so you can reap the full benefits of a retirement you deserve when that time arrives.

If possible, live within your means and maximize your contribution, which might even be matched by your employer based on their employee allowances. Companies are essentially giving free money away, but only if you’re willing to invest early and often.


Partner with financial planner

Like anything outside your wheelhouse, it’s important to work with a reputable financial expert.

Given the complexities of retirement life, and the changing financial landscape, it’s vital for individuals to speak with a financial planner well ahead of their retirement.

A financial expert might advise you on how to focus on your investments and the optimal amount for your equity allocation. During the Great Recession, some folks relied heavily or exclusively on equity allocation. Over a very short period of time, people on track to retire soon lost out on some substantial retirement savings as a result of the underperforming economy several years ago.


Prioritize spending in new ways

Since the start of the pandemic, consumers expressed their values. Real estate is a good example of how important homeownership is to people.

At the same time, as you ponder the long road ahead of retirement life and planning, think about your spending and reprioritize what matters the most to you.

What a lot of people learn is that their money is better spent on experiences rather than on goods alone. For some, this means increasing their frugality to focus on travel.

If you don’t need to buy something, it might be a good idea to hold off and put it away in savings instead. And when your discretionary money goes toward something more experience based, you can increase your level of happiness while also saving money for the long-term.


Right size homeownership

Buying a home is a lifelong endeavor. Over a period of 30 years, maybe less or more, you will devout a large portion of your income toward housing costs. As such, it’s important to purchase a home you can afford in the moment and in the distant future.

Savings is not just about square footage or neighborhood. Some might purchase a home that’s equipped with high-end energy efficiency features, which reduce the burden of utility costs.

Anywhere you can save on living cost, the more you can divert to your savings.


Home Equity Conversion Mortgage

As a new retiree, you can boost your buying power and hang onto liquidity by taking full advantage a home equity conversion loan.

Typically, this loan program requires a 50% commitment and in return, the borrower will no longer make monthly payments as residents of the home.

It may also be a convenient choice for retirees who loved where they live and its low cost of living.

To learn more about this opportunity to boost your income, eliminate monthly mortgage payments and to make the most of your life’s next phase, please contact us today.

*(1) at the conclusion of a reverse mortgage, the borrower must repay the loan and may have to sell the home or repay the loan from other proceeds; (2) charges will be assessed with the loan, including an origination fee, closing costs, mortgage insurance premiums and servicing fees; (3) the loan balance grows over time and interest is charged on the outstanding balance; (4) the borrower remains responsible for property taxes, hazard insurance and home maintenance, and failure to pay these amounts may result in the loss of the home; and (5) interest on a reverse mortgage is not tax deductible until the borrower makes partial or full repayment. This material is not from HUD or FHA and has not been approved by HUD or any government agency.