4 Questions to Help With Transitioning to Retirement

For the most part, we all share the same common fears while on our walk to retirement: Will I be okay? Will I have enough money? How will I fill my time?

While there’s no crystal ball to answer these questions, we can find comfort in knowing that all transitions in life can be more easily managed by making adjustments to your financial plan. Rather than using age to measure where you should be in your journey to retirement, think of your life in phases, with retirement being the final phase. Once you know which phase you’re in, the transitions can be better managed.

What Does My Current Financial Situation Look Like?

As you move forward in any transition, it’s important to know where you’re coming from. Take a long look at your finances and determine what your spending patterns are. Then look at your priorities and any financial commitments – are these likely to change during a transition? A review of your portfolio is also in order, to ensure you know if market changes have impacted your financial outlook.

Do I Still Have the Same Goals?

If it’s been a decade since you first created your financial plan, your goals have most likely shifted. Maybe you thought you’d get married, but later decided you love being single. Or perhaps you saved for your child’s college education and they chose a different path. All of these are okay – life goals are supposed to shift. But, if you aren’t getting married or your savings for education won’t be used, what will you do with that money? Have a conversation with yourself about your new goals. Let your family take part in the conversation so that they can be aware of priorities too.

How Much Risk Should I Be Taking?

Life is inherently risky, and not just in investing and asset allocation. You should also look at things like life insurance; is it a good time to decrease or increase coverage? Of course, risk is personal, so what matters is that you are comfortable with the risks you want to take.

Has Anything Changed That Will Impact My Planning for the Future?

As life evolves, your plans will change. A marriage may come to an end, for example, and your plans for two may need some adjusting. Perhaps you weren’t expecting a child and find yourself expecting. These unanticipated events will require ongoing reviews of your financial plan.

If you are approaching a big life and financial transition, whether it be marriage or a big move to a new job, by thoroughly answering the above questions, you can be more confident that the transition to your next phase will be a successful one.

If you are nearing retirement, download our retirement checklist here, and to discuss any concerns about your retirement,  click here to schedule a phone call with one of our advisors.

This content is provided for informational purposes only. It is not a guarantee of future success, is subject to change, and is not intended to serve as the basis for an individual’s financial decisions. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values. Strategy Financial Group does not provide specific legal or tax advice. Please consult with a qualified professional for guidance on your individual situation. Investment advice is offered through Strategy Financial Services, LLC, a registered investment adviser. Insurance and annuity products are offered separately through Strategy Financial Insurance, LLC.