There are many different mistakes that you could make in the wake of saving for retirement and ensuring that you have protected your interest as you get closer to 65 or your anticipated retirement age.
As you get closer to retirement, it becomes very important to update your financial plan and ensure that you have a budget established to align with your income sources. As you get closer to your retirement, you’ll want to maximize your individual retirement account contribution in your 401(k) and decrease your spending and debt accordingly. This will help you get a better perspective of your overall financial picture.
Carefully look at anything that might have a double-digit interest rate and eliminate it. Ideally, you don’t want anything that you are paying significant interest on as you get closer to retirement. This could even include one of the biggest expenses in your budget, which is a home mortgage.
If your loan has an interest rate that is over 4.5% this might be an appropriate time to refinance so that you can maximize your budget during the course of retirement. The more you can save and have a plan in place for your own retirement and long term care needs, the easier it will be for you to pass on assets to your loved ones in the future with peace of mind. Schedule a conference to consult with a dedicated estate planning lawyer in your area to learn more about how your long term care plan, your estate plan and your retirement plan are all intertwined.