You have put in all of the work, and it is almost time for you to reap the benefits. You will be retiring in less than a year. You need to get prepared. Here are some of the most important aspects of your life that you need to consider in order to make your retirement the most comfortable one that it can be.
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Make sure that your assets are in order. If you are preparing to retire in under a year, you must be sure that your assets are set up to pay out in an annuity-type fashion upon the cessation of your day-to-day income. If you do not have annuity investments, there are certain financial vehicles that will immediately begin turning around and paying you in return for a lump sum deposit.
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Take stock of your liabilities and prepare ways to reduce them. Many of the bills that people have during their working lives can easily be reduced during their retirement. For instance, transportation costs should go down drastically. You may want to make the investment in a hybrid car so that you can cut down on gas even more. You should also determine the likelihood of relocation based on if you have to pay off your house or not and the day-to-day cost of living in your current geographical area.
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Get the help that you need from a reputable financial professional. There is no reason that you should have to take on the transition to retirement alone. If you do not have a financial professional to advise you in the ways of saving money and extending your financial reach, then you should begin to create these relationships. This is time that is well spent and will pay itself back to you in spades.
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Take advantage of government subsidies. There are many insurance programs and other benefits that the government provides for its senior citizens. Familiarize yourself of all of these resources at first. If it turns out that you do not need them after a while, you can certainly drop them in the future. In the present, however, you will likely run into unexpected expenses throughout the transition. You should have all of the paperwork in place to receive the help that you need from the government if something goes wrong.
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Prepare your financial structure. Divide your assets into two classes: those that can be sold in the short-term and those that you want to keep either for the sentimental value or for their interest-bearing capabilities. Protect the assets that are long-term and never take money out of them in order to pay short-term expenses. Use liability reducing strategies as well as government subsidies in order to cover these day-to-day expenses. These long-term assets are what will sustain you throughout the rest of your retirement life.
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Look into a reverse mortgage. If you’ve been saving for retirement, you may think you’re prepared for any situation. However, if you have any expensive home repairs or an unexpected medical emergency, you could find yourself in a pinch. A reverse mortgage is one way to get the funds you need, so it’s important to learn what you can about it before you find yourself needing it.
