It is easy to watch the numbers growing in your retirement accounts, and gain a false sense of security that you are financially set for life. Unfortunately, there are a few pitfalls that can be detrimental to your long term financial security if you aren’t vigilant. Here are a few to avoid.
Don’t overspend right out of the gate. Retiring means you suddenly have time to travel more or engage in activities you have always wanted to do. However, splurging on activities, toys or supplies that you didn’t plan for can quickly deplete those savings early on. Avoid impulsive spending and maintain a budget. On this same note, just because you have stopped working doesn’t mean you should stop adding to your savings. Continue working with a financial planner to invest throughout retirement. While you don’t want to make too risky of moves, you also don’t want to be too conservative in your choices. Find a balance between the two so you can keep up with inflation while maintaining a sense of comfort. Also, be sure you don’t let retirement from work translate to retirement from healthy habits. Engage in preventative health measures to reduce unexpected medical costs, which can wreak havoc on your retirement fund. Learn more about the dos and don’ts of retirement planning as well as tips to continue earning by clicking on the following infographic.
Retiring Well Infographic Presented By One Reverse Mortgage