The Better Than Nothing Retirement Plan
One day, as if out of nowhere, you realize that you are much closer to retirement age than you think. You might receive greetings from the AARP on your 50th birthday, or you might receive an exorbitant medical bill and mentally calculate how many years it will take you to pay it off and then try to figure out how to stay healthy until you become eligible for Medicare. When you start reading about how to prepare for retirement, it only makes you feel worse. Everyone makes it sound like you cannot afford to retire unless you have a million dollars in the bank. If you are stressed out, step away from the aspirational content and consider that most people retire not because they can afford it, but rather because they are no longer healthy enough to work. The fact that you own your house and have a steady job with a retirement account counts for something. For help envisioning your retirement with the resources you have, contact a Tampa estate planning lawyer.
What You Have Now Is Much Better Than Nothing
Imagine how life would be if you had no retirement savings account. After you retired, your only income would be from Social Security. It isn’t glamorous, but it is a lot of people’s reality. If you own a house, you can sell your house and move somewhere that your Social Security check will go farther, but inexpensive retirement destinations are getting harder to find. People are saying that Alabama is the new Florida for retirees, but it is hard to find somewhere dirt cheap. If you don’t, you are stuck in your rent-controlled apartment, counting your pennies until next month’s Social Security check comes in.
Your situation is at least better than that. You have saved something for retirement, and that something is earning compound interest. Even if you stopped contributing to your retirement account today and didn’t contribute another cent until retirement, the money that is already there would continue to grow. Your retirement income will at least be Social Security plus a little bit. Furthermore, you own a house, so if you keep making payments, it will be paid off by the time you retire. Your housing expenses will be minimal, and if you really need cash, you can get a reverse mortgage.
The Small Change You Can Make to Save Yourself a Lot of Stress
If you are worried about financial security in retirement, a modest investment of money can protect you from many thousands of dollars in expenses. Long-term care is a major source of financial hardship for retirees. You can stop your long-term care expenses from being financially ruinous by buying long-term care insurance or hybrid life insurance.
Contact David Toback About Realistic Plans for Retirement
A Central Florida estate planning lawyer can help you form realistic predictions about your retirement income and make plans based on it. Contact David Toback in Tampa, Florida to set up a consultation.
Source:
housingwire.com/articles/despite-financial-insecurities-retirement-may-be-relatively-attainable-forbes/
