VIDEO: Countdown to Retirement: 6-Step Checklist if You’re Retiring in 2025
By Joe Dowdall, CFP®, RICP®, CRPC®, CCFC
With just 12 months left until your official retirement date, you may feel like you’re in the home stretch. It’s an exciting position to be in, but the last year before retirement is just as important as all the others leading up to it. There are some crucial steps you should take so your retirement plan goes off without a hitch. Take a look at this quick video where we share our 6-step checklist to keep you organized and on track.
Transcript
Introduction
Hi, I’m Joe Dowdall, a financial advisor at Worth Asset Management. My role is to provide clients with customized plans to build and safeguard their wealth through retirement. If you’re one of the fortunate individuals with only 12 months until your official retirement date, congratulations!
Preparing for Retirement
While you may feel like you’re in the home stretch, there are important steps to take to make this transition smooth. Today, I want to share six considerations to keep you on track as you prepare to retire.
Review or Create Your Retirement Plan
Start by thinking about what you want your retirement to look like. Will you have a spouse with you? Do you plan to work part-time, volunteer, travel, or spend time with your grandchildren? Your answers to these questions will inform the rest of your preparations, so it’s vital to be intentional about your plans.
Decide When to Claim Social Security Benefits
Consider your options for claiming Social Security benefits. Depending on your age at retirement, you might face reduced benefits if you collect early, receive full benefits at your full retirement age, or gain additional benefits if you delay. If you choose to retire before claiming benefits, prepare for an alternate income stream during that period.
Create a Realistic Retirement Budget
Next, examine all your sources of retirement income and create a realistic budget. Since your income will likely be fixed, holding yourself accountable to a solid budget is one of the best things you can do leading up to retirement.
Determine Your Withdrawal Strategy
The timing of your withdrawals can significantly impact your retirement savings. Withdrawals made without a plan could lead to unexpected taxes and surcharges. Developing a withdrawal strategy before retiring helps manage your accounts more strategically and minimizes tax liability.
Review Your Medicare Options
Once you turn 65, you have the opportunity to enroll in Medicare. If there’s a gap between your retirement and Medicare eligibility, you’ll need to explore alternative coverage. These options can differ widely in cost and coverage levels, so planning ahead is essential.
Partner with a Professional
Finally, consider partnering with a professional to simplify your retirement journey. Preparing for retirement can bring anxiety, but it doesn’t have to be overwhelming. At Worth Asset Management, we are here to guide you through the retirement process and help you prepare for the unexpected.
If you’re ready to take the first step toward retirement readiness, reach out to us at 469-423-1989 or email me at joe@worthassetmgmt.com. I’m happy to help. Thank you.