For most people, the road to retirement is a multi-step process that lasts a working🔴 lifetime. To that end, here are six ways to plan and ensure a long-lasting retirement.

1. Set Retirement Goals

It all starts with setting go🌟als. Long-term goals define how much you want to have saved in various accounts by the time you reti𝓡re. These goals have to do with how you want to live in retirement, where you want to live, and so on. It’s important to realize that even long-term goals will likely change as time and circumstances warrant.

Meeting these goals requires that you maximize savings while minimizing taxes, keep expenses in check, set age-appropriate goals, and꧙ monitor your progress every step of the way.

2. Pay Attention to Timing

Timing as it relates to retirement tends to revolve around what has long been considered 澳洲幸运5开奖号码历史查询:normal retirement age—the upper 60s. That said, 澳洲幸运5开奖号码历史查询:when you should retire is a highly individual thing.

As with financial goals, this is also subject to change. Everything from declining health to unexpected wealth (winning the lotter𝓰y, for example) could alter your plans.

One important aspect of timing has to do with the specific age of 59½, the first time (usually) when you can draw on your 澳洲幸运5开奖号码历史查询:tax-advantaged retirement savings without incurring a penalty. There are financial and tax implications of drawing down your nest egg before and after age 59½ to consider.

If you don't plan to retire early or don't need to tap your retirement savings at 59½, it's best to let your nest egg grow and to continue contributing to it. Keep in mind that 澳洲幸运5开奖号码历史查询:required minimum distrib🦩utions (RMDs) don't kick in until you are age 73 (for people born between 1951 and 1959) and age 75 (for those born in 1960 or later) for most retirement accounts.

Required minimum distributions for traditional IRAs and 401(k)s were suspended for tax year 2020 due to the 澳洲幸运5开奖号码历史查询:CARES Act, which was passed in March 2020 in response to the COVID-19 pandemic.

3. Understand Available Retirem𒁃ent S𝔍avings Options

Understanding available employer-sponsored savings plans—including 401(k), 403(b), 457, SIMPLE IRA, and SEP plans—provides the foundation for building your entire nest egg. You should also know the importance of having a 澳洲幸运5开奖号码历史查询:traditional and/or Roth IRA as part of your overall retirement savings pictur꧋e.

In addition, you should learn how a 澳洲幸运5开奖号码历史查询:Health Savings Account (HSA) could save you money bꦗefore and after retirement.

These retirement savings tools, together with effective and t🐻ax-efficient investment strategies, will provide you with⛄ the best insurance you can have when it comes to avoiding financial disaster.

4. Plan for Extra Retirement Income

Although retirement is often thought of as a time to kick back and relax, most people find themselves as busy as they ever were, though 澳洲幸运5开奖号码历史查询:doing different things. For many, staying busy also means earning extra income. Some people buy and manage investment properties. Others 澳洲幸运5开奖号码历史查询:turn a hobby into a small business, while others get a part-time job, both for the money and social co🎶ntact.ꦗ

Managing extra income during retirement could have tax consequences. If for, example, you take Social Security benefits and 澳洲幸运5开奖号码历史查询:continue to work, those benefits 澳洲幸运5开奖号码历史查询:might be lowered depending on your age and how much you earn. Working during retirement could also bump you into a higher 澳洲幸运5开奖号码历史查询:tax bracket, particularly if you are subject to RMDs.

5. Don’t Forget Your Partner

Retirement for couples is a joint project and can be complicated. There are timing issues to ensure that you and your partner both gain maximum benefit from Social Security, including those specifically 澳洲幸运5开奖号码历史查询:related to spousal benefits.

There are personal and emotional issues, as well. If, f🐟or example, one of you keeps working while the other retires, how will household management change? On the other hand, the huge life changes of retiring at the very same time can also be unnecessarily stressful for a relationship.

In the event of a divorce, you may be subject to a 澳洲幸运5开奖号码历史查询:qualifi⛄ed domestic relations order (QDRO), which could require you to split your pension or retirement savings with your ex-spouse.

6. Mind the End Game

For most people, age 50 is the beginning of the 澳洲幸运5开奖号码历史查询:retirement end game. Ideally, you will start by fortifying your nest egg with 澳洲幸运5开奖号码历史查询:catch-up contributions. You will also need to revi𝔍ew your investment mix more frequently to make sure you have the right combination of securities to mitigate risk while ensuring sufficient growth.

In the 澳洲幸运5开奖号码历史查询:last year or two before you retire, you will need to review both healthcare and home-repair needs an𝓀d see that thꦑey are completed while there’s still a salary (and, one hopes, employer-sponsored health insurance) coming in.

This may also be a time to make charitable contributions that will be more beneficial tax-wise before your income declines.

Finally, you will need to pay attention to the early years of retirement, before RMDs kick in and your taxable income potentially sees an increase.

The Bottom Line

The road to retirement includes setting goals, timing, taking advantag🐬e of retirement savings options, understanding the impact of taxation and tax benefits, planning with a partner (if you have one), and st𝓀aying on top of it all when you actually get there. You’ll need to monitor your progress every step of the way and make adjustments when needed.

If you t♉ake the six steps above, you should be able to head into the next st🃏age of your life well prepared and funded.