It is easy to identify things you could have done differently knowing what you know today. If only we had a crystal ball, life could be so much easier.
Here are some regrets often heard from retirees that you may want to consider as you make important decisions about your future.
Starting a transition plan earlier
Obviously, the sooner you start saving for retirement, the longer growth compounds for you over time. But saving isn’t the only thing retirees regret putting off. Many retirees wait until the last few weeks or months before they want to retire to begin planning for the actual transition.
After learning of what is involved with their transition into retirement – from accumulating assets to helping to protect and prepare to distribute assets – many retirees often wish they would have started planning their retirement sooner. They admit that there is more to preparation than they thought was needed.
A huge retirement myth is the thought of having a large 401(k) or investment account is all that is needed to retire, but there is more to it than simply having enough money and choosing a date. It is best to map things out a few years before the big day.
Getting help with high-level strategies sooner
Making assumptions about your retirement is a slippery slope because there is so much to be considered, and time is of the essence for a plan to unfold and be successful.
If you want to help avoid adding to your “woulda, coulda, shoulda” list, don’t navigate the maze of decisions, actions, and products alone. Even if you have a heightened understanding of the markets, your access to products and understanding the tax implications of retirement is difficult for even a seasoned financial advisor to keep up with, much less someone in an unrelated field.
Being open to changing strategies
There are certain phases of growing assets that require a different approach and knowing when you are entering into another phase is critical for capitalizing on these opportunities.
Many times, when an investor begins saving for retirement, they begin investing in mutual funds and will often blow right past timely forks in the road to ultimately find themselves at retirement with the same approach as they had when they started. To compound the problem, some will even maintain this approach well into their retirement, never considering there may be a better way to hold assets. This is concerning because there is so much more that can be done to grow, utilize, and help protect assets if time would be taken to understand the possibilities.
Putting off difficult decisions
Procrastination is something many people struggle with. We all have things we really should get done that we don’t want to deal with.
For retirees, the discussion around estate planning and long-term care brings to light our mortality and the realization that some will need assisted living later in life. No one wants to discuss this or face the possibilities while trying to plan for retirement but, the truth is that it is an ideal time to discuss it since your entire financial situation is being reconstructed to provide you with the means to retire.
There is a lot to take in from those who have paved the path before you and while some of these points may seem like common sense, the reality is that they are being followed.