How To Stretch A 401K For Life
We hear all of the time how important it is to save for retirement. It is eqully important to think about how much you will need to live each year after you retire and how to make your money last. When many of us think of retiring we may think of traveling and other hobbies. But those things take money.
Think about what you will need each month compared to what you currently spend. In many cases your mortgage may be paid off so your housing expenses may be less but your medical expenses and others may be higher.
One way to stretch your money may be to downsize your home. Waiting until the maximum age to take Social Security may produce an additional 20 in your benefits. Also, if you are able and find a job that you enjoy you may choose to work part time. Or if you enjoy your current job you could delay retirement or see if you could cut your hours from full time and continue working.
Another expense to consider is long term care. With the life expectancy continuing to get longer there is more of a chance that you could need additional care over the years.