Your Guide on How to Retire

When one nears the age of retirement, they may have many questions
about how to proceed to retirement. However, there are steps that
should be taken long before that time comes. Those that are planning to
retire, should have taken part in careful planning, including an
estimated budget and an estimated income. As retirement nears,
individuals should reassess those numbers to be certain that they are
financially prepared to retire.

 

In fact, around
ten years before retirement, individuals should go over their
investment plan to be certain that the numbers are matching their
estimated investment returns. It is also a good idea to reassess a
budget plan and compare the two numbers. This is a good time to make
any changes to investments, including a possible increase to 401k
contributions and pension plans, especially if it appears that the
retirement income will not cover expenses once retired.

These
assessment should be made again around five years before retirement and
every year thereafter. This can help an individual to determine if they
can in fact retire when they intend to.

 

Once an
individual has decided when  to retire, they may wish to discuss it
with their employer. This open dialogue allows the individual to
discuss any questions and concerns, as well as granting the employer
the opportunity to ask the employee to stay on a bit longer. In some
cases, employers may wish to keep their employees past the age of
retirement, even on a part time basis, as the cost of replacing them
would exceed the employees salary.

 

Once an
individual has gone through the  process and picked a date for
retirement, they should submit a retirement letter to their employer,
which lists the date they intend to retire.