One day at work, one of my patients was a very sweet man in his 70s.
So was his wife.
He came in very sick. Trouble breathing due to underlying cancer and metastasis.
It took some time to stabilize him in the ER, and when we did, he no longer wanted to be admitted.
I was preparing them for discharge before my shift ended at 11 pm, and wanted to make sure they had a ride home, so I asked who would pick them up.
My patient’s wife calmly replied that their car was in valet, and she was driving home.
I was suddenly sad.
It was obvious they were exhausted.
I asked a few more questions and, with each answer she gave, my heart broke.
By the time I wheeled him out to valet, I was almost in tears. But all I could do then was wish them a safe journey home.
And pray for them.
Here’s why: he could hardly take care of himself without help. Unsafe at home alone, but she had to work and had no one to care for him while she was gone.
They didn’t have enough income to support themselves, and she had no idea if or when she would be able to retire.
She heading home at that late hour and had to be up at 5 am to head out to work!
Sad, right?
I don’t know their entire story but I can tell you, a major illness like his can set you back years!!
And throw the biggest monkey wrench into your dreams, goals, and plans!!
What about you?
Do you have the proper plans in place?
Such as…..
- A fully funded emergency fund: VIDEO Resource
- Life insurance: Resource
- Long term care insurance: Resource
- Disability insurance: Resource
- Advanced directives: Resource
- Retirement plans: Resource
Please don’t rest your plans solely on the idea that the government will take of you.
And please be kind to your family members by having a few plans in place.
My patient’s story is not unique….
I’m sure we all know someone like that.
What we need to do is learn from them and not make the same mistakes.
Because life happens.
And any minute, the tide can turn
So, get started today.
After years of hard work, you’re certainly entitled to a happy retirement.
Right?
But being ready to retire means more than being ready to stop waking up at 6:00 a.m. to put in long hours at a job you’re not thrilled about.
It’s not that simple.
What it really takes to retire is a solid grasp of your budget, investments, spending plan for your life savings, debt that’s under control and a plan you’re excited about for how you’ll spend your days.
In a recent survey, researchers found that more than half (51%) of American workers say their top retirement concern is outliving their investments and savings.
With that in mind, here are seven signs you’re NOT ready to retire:
1. You’re struggling to pay your bills.
If you are struggling to pay your bills now, your struggles will only increase when all you have is 75% of what you currently make. As you grow older you’ll spend less, but take into account that some expenses might increase during your retirement, expenses like healthcare costs.
2. You have lots of debt.
It’s tough to decide when you’re facing a choice between putting money in your retirement account and paying down your debt. Depending on your situation, reduce or eliminate credit card payments and car loans. Paying off your mortgage or downsizing will also help in the long run. Having large amounts of debt will severely strain your savings once you retire,
3. You haven’t tackled major expenses.
Don’t wait until you’ve retired to address major, foreseeable expenses such as replacing your roof, repaving your driveway, purchasing a vacation home or buying a new car.
4. You don’t know what you’ll get from Social Security.
While you SHOULD NOT be relying on Social Security to meet most of your expenses, you shouldn’t ignore it, either. The Social Security Administration offers a handy tool to help you estimate how much your potential monthly payments will be. If you start claiming Social Security early, at age 62, your monthly checks will be 30% smaller than if you wait until you reach your full retirement age, at 67. Working three or four extra years will give you a bigger payment each month just for waiting, and you might further increase your payment by adding more high-earning years to your benefit calculation.
5. You don’t have a monthly financial plan.
Once you retire, paychecks will stop but the bills will keep on showing up. You will need to map out your monthly cash flow before you retire. Knowing what your likely expenses will be means knowing how much income you’ll need. Having a budget is always a smart move.
6. You don’t have a long-term financial plan.
You need to know how long your savings will last and what spending level you can maintain through your retirement years. Although no one knows for sure how long they’ll live, planning for 30 years or more is recommended. It’s estimated that, for a couple retiring at age 65, there’s a 50% chance that at least one will be live to age 92 and a 25% probability at least one will be alive at age 97!
7. The Bottom Line
The big BOLD sign that you’re NOT OK to retire is when you can’t say YES to the question, ‘Am I OK to retire?’ Retirement is a major life transition that requires ample preparation and planning. So, before you make any sudden moves, work through the timing and any changes that will be needed. If you feel (or know) that you’re not fully prepared, start by taking a good look at your situation.
This may seem like a no-brainer, but many soon-to-be retirees simply forget to crunch the numbers.
If you’re not able to figure things out on your own, consider the services of a financial coach or a financial advisor.
“Whatever resources of good, character, and fortitude you bring to retirement, remember also to bring money.” Jane Bryant Quinn
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Until next time…..
Agree or disagree? I love your comments! So please let me know your thoughts in the comment section below.
I look forward to hearing from you!!!
Althea
I help Busy Nurses & Professionals Become Good Stewards of Their Financial Resources, and Show Them How to Practice Wise Financial Discipleship to Create an Amazing Life and Thrive!
PS. Financially, most of us know what to do; we just have trouble doing it. That’s where a coach can help. CONTACT ME for a FREE 15-minute consult.
