Before your first visit, most financial professionals will ask you to pull together a lot of paperwork.
They’ll want to see tax returns, retirement account statements, Social Security benefit statements and so on.
But it’s just as important — maybe more important when meeting with a retirement specialist — that you gather your thoughts before you go.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.
Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
A good adviser will want to learn all about you: what you want to accomplish in retirement, what kind of lifestyle you hope to have and what you worry about most. You might think the answers are top of mind — after all, you’ve probably been thinking about this for a decade or more. But you’d be surprised at how many people go blank when their adviser stops talking about his experience and abilities and says, “Now, let’s chat about you.”
When we put together a comprehensive retirement plan for our clients, the starting place is always with your retirement wish list.
So get out a notepad or laptop, and start now!
Ask yourself:
- In a perfect world, when will I retire? Do you like your job? Do you have health issues? Do you need more time to save money? Make sure you and your spouse are on the same page, so you’re working toward the goal together.
- What are my short-, mid- and long-term financial goals? Surveys tell us the No. 1 worry of today’s retirees is that they’ll run out of money, so we know they’re preparing for a long haul. But what about the first years of retirement? Think about how much income you’ll need at each stage of your life.
- What are my needs, wants and wishes? Be clear on the differences between what you need to have and what you’d like to have so you know from the start what is most important to you.
- Where will I retire? Do you want to stay in the same town you’re in now, or are you ready for a change – a move to a mountain cabin or someplace warm? Will you want to downsize, or will you try to age in place?
- If I had all the money I would ever need, how would I spend my time? Having a clear plan for how you’ll fill your days is crucial to your mental and physical health. All those hours you used to spend working will now be free for other activities. Do you have hobbies? Will you volunteer? Some of our clients can’t believe how busy they are in retirement. Others have nothing but idle time on their hands; they’re bored and miserable.
- How much money does it cost to live today? Some people have never made a budget, but in retirement planning, it’s a must. If you plan to maintain a lifestyle similar to the one you have while working, you have to consider inflation, taxes and health care costs.
- What about health care? What would happen to your financial picture if you got sick for an extended period? What would happen to your spouse’s financial well-being? Do you have a plan for how you’ll pay for long-term care?
- Will my wishes be carried out in the event of disability or death? Do you and your spouse have a will, durable powers of attorney and a living trust, and are all those documents current?
These answers are crucial to understanding your desired lifestyle, and whether you’ll be financially, physically and emotionally ready for retirement — so take the time to consider each one.
Make that first meeting with your adviser as meaningful as possible, and be sure you come prepared.
-
Dave Ramsey Tells Us the Biggest Retirement Mistake You Can MakeThe talk-show host, author and podcaster tells Kiplinger what people can do to ensure a happy retirement.
-
Pros and Cons of Alternative Assets in Workplace Retirement PlansWhile alternatives offer diversification and higher potential returns, including them in your workplace retirement plan would require careful consideration.
-
I'm a Wealth Adviser: These Are the Pros and Cons of Alternative Investments in Workplace Retirement Accounts
While alternatives offer diversification and higher potential returns, including them in your workplace retirement plan would require careful consideration.
-
I'm a Financial Planner: If You're Within 10 Years of Retiring, Do This TodayDon't want to run out of money in retirement? You need a retirement plan that accounts for income, market risk, taxes and more. Don't regret putting it off.
-
Five Keys to Retirement Happiness That Have Nothing to Do With MoneyConsider how your housing needs will change, what you'll do with your time, maintaining social connections and keeping mentally and physically fit.
-
Budget Hacks Won't Cut It: These Five Strategies From a Financial Planner Can Help Build Significant WealthCutting out your daily latte might make you feel virtuous, but tracking pennies won't pay off. Here are some strategies that can actually build wealth.
-
To Unwrap a Budget-Friendly Holiday, Consider These Smart Moves From a Financial ProfessionalYou can avoid a 'holiday hangover' of debt by setting a realistic budget, making a detailed list, considering alternative gifts, starting to save now and more.
-
Treat Home Equity Like Other Investments in Your Retirement Plan: Look at Its Track RecordHomeowners who are considering using home equity in their retirement plan can analyze it like they do their other investments. Here's how.
-
Why Does It Take Insurers So Darn Long to Pay Claims? An Insurance Expert ExplainsThe process of verification, investigation and cost assessment after a loss is complex and goes beyond simply cutting a check.
-
Two Reasons to Consider Deferred Compensation in the Wake of the OBBB, From a Financial PlannerDeferred compensation plans let you potentially lower your current taxes and help to keep you out of a higher tax bracket. It's important to consider the risks.
