Mid-Point Check-In

Answer: You’re right on time to be thinking about and evaluating the health of your retirement, both fiscally and personally. Assessing resources, expenses, legacy goals, and life expectancy will keep you on track. A holistic evaluation at the halfway point can make sure you stay on track. Here are five questions to contemplate and discuss with family and friends:  

Are adjustments to my finances or estate planning documents necessary?

Begin by reviewing income and expenditures to make sure they’re in alignment with goals and longevity. You may be able to take a few trips, make some memories and spend a bit more, or it could be time to curtail expenditures and pull back a bit. This is where a CERTIFIED FINANCIAL PLANNER™ Professional can help make adjustments, confirm whether your current investment asset allocation is still appropriate, and simulate life changes and the response in your portfolio. Remember to lean on us for advice when your financial needs or wishes change. Express your retirement expectations and include those aspirations in your budget to make sure they happen.

Projections generated regarding the likelihood of various investment outcomes are hypothetical in nature, don’t reflect actual investment results, and aren’t guarantees of future results. Results may vary with each use and over time. Asset allocation doesn’t guarantee a profit nor protect against loss. The exercise is a tool for evaluation and planning purposes. 

If you’ve experienced any major life changes (such as marriages, divorces, births, or deaths) in recent years, adjustments to accommodate new intentions should be reflected in your estate planning documents and beneficiary designations.

Is my home still right for me? 

According to a study by the Bureau of Labor Statistics, retirees spend an average of 1.77 hours per day on housework, like cleaning and laundry. This varies  depending on the size of the house and if outside maintenance is required. If you’d like to ease up on household chores, downsizing or “rightsizing” could be the answer. Besides less upkeep, it provides an opportunity to declutter and simplify your life, which can be quite satisfying. 

Or you may need every square foot for visits by children, grandchildren, and friends. If hosting gatherings and holidays brings you joy, having enough space to create cherished memories may be important to you. Everyone’s situation is different, but you should ask yourself how the space is working for you. Floor plans and accessibility are important. Do you have a master bedroom that’s upstairs? This may be an issue in the future.

Location and proximity to family and friends matter, too. It’s not all about being near the beach or in the mountains. If family members are spread across the country, moving closer to children or grandchildren who can help with caregiving or errands as you age may be helpful. Companionship from family may top your priority list. 

Are any health concerns cropping up?

As you hit the midpoint of your retirement, it’s natural to experience some health changes. Even if that’s not the case for you, it’s still important to think about the availability and proximity of your doctors, as well as any insurance changes that may be necessary. If you know you’ll need a knee replacement soon, examine your health plan and consider what this upcoming surgery might cost under different options. During Medicare’s annual open enrollment from October 15 to December 7, you can make any changes necessary to your insurance coverage.

Some Medicare Advantage Plans provide access to gym memberships and fitness classes. The Silver Sneakers program is widely known and accepted at many facilities. Joining a gym gives you the opportunity to commit to regular physical activity, which can prevent health problems that come with age, but it can also give you a sense of community that benefits your mental health. 

How retirees spend the day

The Bureau of Labor Statistics reports the average daily activity breakdown as follows: 

Volunteering 2.47 hours

Educational Classes 2.43 hours

Playing Games 2.08 hours

Gardening/Lawn Care 2.07 hours

Socializing 1.96 hours

Religious Services 1.85 hours

Reviewing current situations and having the willingness to adjust isn’t an easy task. You don’t need to do it alone. Evaluating your lifestyle and associated expenditures to match your projected life expectancy and goals is what we do. No one wants to run out of money before they run out of life. One way to see if you’re on track for a fulfilling retirement is to conduct a mid-retirement review. With the right adjustments, you can ensure your financial, health and overall well-being goals are all being met. Stay focused and plan accordingly.