Here is a list of the top five financial retirement tips for Maryland residents, who want to make sure they are being proactive in meeting their retirement goals.
Have a yearly checkup
It is a good idea to take an overall look at what is going on.
- Check where your money is invested.
- Review the performance.
- Make sure you are on track to accumulate enough money to cover your expenses and do the things that you want to in retirement.
Make sure to learn the rules or have a trusted advisor that knows them
The financing rules in retirement can be confusing, but you do not have to be a genius to understand them. Take some time to do a little bit of research or hire an experienced advisor to help you.
Some of them are:
- Roth IRA
- Traditional IRA
- Tax Deductible Contributions
- Tax Free Withdrawals
- Social Security
Have cash reserves
Being retired and 100% invested can be a bad idea.
You always want to have a buffer in case of emergencies. You always want to protect yourself against a bear market. This way you will be able to meet your expenses and not have to liquidate your investments at a down time in the market.
You can make sure that you have some of your money in lower risk category investments to ensure that you will always have enough cash if you happen to need it.
You want to make sure that you fill in the account beneficiaries, otherwise your family could have to spend a long time in probate court. You may want to set aside some time to go through your documents to make sure your accounts have named beneficiaries. You want to make sure they are clearly defined as an attorney’s letter may not be enough.
- Life Insurance
Pay Down Your Debts
Without debt in your life it is much easier to save for your retirement. Especially student debt. Studies have shown that workers with outstanding debt contribute less of their salaries to retirement savings.
Try your best to pay down any debt, such as credit cards, high interest rate loans, and student debt. It’s not just kids a few years out of college with student debt, as gen. X and baby boomers still have student loan payments.
Here’s What To Do Now
If you would like some assistance in reviewing your current finances, contact us today for a complimentary review. Call 410-435-3270 or simply click here to request online.
We will help you uncover your main goals and make sure that you will be on track to accumulate enough wealth to meet those goals so that you can live care free in your retirement years.