When you’re in your 50s or 60s, retirement isn’t some far-off milestone—it’s right around the corner. You’ve worked hard to build your wealth, and now is the time to ensure your financial future is set up for the lifestyle you envision. Whether you want to travel, spend more time with family, or leave a legacy for future generations, a well-thought-out retirement strategy is key.
The Power of Smart Planning in Your Peak Earning Years
One of the biggest advantages of this stage in life is that you’re likely in your peak earning years. That means you have an opportunity to maximize your savings, align investments with your long-term financial plan, and check that your money is working efficiently for you.
If you’ve already been saving, now is the time to fine-tune your strategy to make sure your portfolio aligns with your retirement goals. If you’re behind where you’d like to be, strategic decisions—such as increasing contributions, diversifying investments, or taking advantage of catch-up contributions—can make an impact.
Making informed Desicions with Your Retirement Portfolio
With at least $1 million in investable assets, your focus may no longer be on simply accumulating wealth, but on protecting it and ensuring it aligns with your long-term goals. This stage of planning should include:
We work with clients to evaluate the timing that aligns with their financial needs and projected life expectancy. For some, delaying benefits provides the greatest advantage, while others may benefit from claiming earlier due to health considerations or other factors. Here are some of the factors we take into consideration:
- Tax-efficient withdrawal strategies: Understanding when and how to withdraw from accounts like 401(k)s, IRAs, and taxable investments can help minimize your tax burden and extend the longevity of your portfolio.
- Risk management: As you get closer to retirement, making sure your portfolio is well-diversified can help you navigate market fluctuations.
- Legacy and estate planning: Now is the time to think about wealth transfer, charitable giving, and ensuring your loved ones are taken care of.
- Healthcare planning: Factoring in the rising cost of healthcare, long-term care insurance, and Medicare planning will help prevent surprises down the road.
Flexibility for the Retirement You Want
Retirement planning isn’t just about numbers—it’s about creating the life you want. Do you want to retire early? Downshift into part-time consulting? Travel extensively? Understanding how your assets can support your desired lifestyle will help you make informed decisions now.
Additionally, financial confidence means being prepared for the unexpected—whether it’s market downturns, health challenges, or shifts in family circumstances. A well-structured plan is designed to provide peace of mind, helping you adapt to life’s twists and turns.
It’s Not Too Late to Strengthen Your Retirement Plan
If you’re within 10 years of retirement and unsure if you’re on track, don’t panic. There are still key moves you can make:
- Maximize contributions: If you’re 50 or older, you can take advantage of catch-up contributions in your retirement accounts.
- Fine-tune your investment strategy: Now is the time to assess risk tolerance and ensure your portfolio is aligned with your short- and long-term needs.
- Optimize Social Security planning: The timing of when you claim benefits can significantly impact your retirement income.
- Work with an professional: A financial advisor can help create a personalized plan that aligns with your goals, minimizes tax liabilities, and strategically align your investments to support your financial plan for retirement.
Confidently Plan Your Future with the Right Strategy
Retirement is no longer a distant dream—it’s a reality that’s rapidly approaching. Whether you’re looking to retire in ten years or fine-tune your financial plan for a comfortable transition, having a strategy in place is important.
At TandemGrowth Financial Advisors, we specialize in helping individuals make the most of their wealth in retirement. If you’re ready to take a proactive approach to planning your future, reach out today for personalized guidance tailored to your financial goals.
About the Author: Jeff Bernier
