The Top 4 Retirement Concerns—And How To Handle Them
Retirement has the potential to be happy and fulfilling, but there are challenges, too Here are the top 4 retirement concerns reported by retirees and those about to retire:
Paying for Health Care
Health care costs are the number one retirement concern for Americans. 28% of people are worried their medical expenses will be too high. Here are some things you can do:
- Calculate what your medications will cost and use that information to select a Medicare Part D drug plan
- Add to your emergency fund
- Consider long term care insurance
- If you are still working, look into a health care savings account
- Keep up your health insurance payments
Saving Enough Money
Social Security predicts that 25% of 65 year olds will live to 90
Calculate your existing savings and expected retirement income
Estimate how much you will need and make a budget
If you are still working, keep contributing to your IRA and 401K
Maintaining an Income Stream
Stay in you job a few years longer
Work part time
Look into new streams of income. Many retirees start online businesses to supplement their income.
Having Too Much Debt
How to reduce your debt
- Organize your debt. Know all your sources of debt, amounts, interest rates and payment terms
- Prioritize your payments. One strategy that may help you reduce your debt the fastest is to pay the minimum on all of your debts each month – except for the one with the highest rate.
- Consider consolidating your debt.