Now’s the time to assess whether you’re on track to retire, how much income you’ll need, your living arrangements and whether you’ll continue to work in retirement.
What about catch-up contributions?
Life events can derail even the best-laid retirement plans. If you’ll be 50 years of age or older before the end of the year, you may be able to make additional pre-tax contributions to your retirement plan.
Making catch-up contributions gives you all the advantages of your retirement plan, including tax deferment, low fees and employer match. Most importantly, it may be your best opportunity to make up for lost time.
Are you planning to relocate after retirement?
Before you finalize your plans to move, be sure to check the state, local and estate taxes in your new location. When is the best time—if at all—to sell your current home? Would it make more sense to rent or buy your next residence?
Would you consider working in retirement?
Retirement isn’t what it used to be—in some ways it’s even more fulfilling. For many retirees, continued employment provides an ongoing sense of purpose, and staying in the working world can offer social and lifestyle benefits as well as additional income.
Countdown to Retirement: Pay Off the Mortgage