What lifestyle do you want—and how much will it cost?
Plan your budget: Now is the time to get a handle on what your retirement expenses may be. Consider, too, which expenses will be “must-haves” and which may be “nice-to-haves.” Then estimate how much each one may cost you.
Envision your lifestyle
- How will you spend your time and who will you spend it with?
- Will you continue to work?
- Where will you live? Will you sell or buy a home?
Some common expense categories include:
- Housing: e.g., mortgage and rent
- Utilities: e.g., electricity, gas, oil, phone, cable, and Internet
- Transportation: e.g., car payments, gas, and repairs
- Child care, eldercare
- Pets: e.g., care, vet, supplies, etc.
- Medical bills: e.g., co-pays, insurance
- Entertainment: e.g., dining out, theatre, parties, etc.
- Memberships: e.g., clubs and subscriptions
- Charitable donations: e.g., church, alma maters, community, etc.
- Other expenses
THINGS TO CONSIDER
- Leisure activities
- Career goals
- Volunteer work
- Mental fitness
- Physical fitness
- Family time
- Nearly 70% of baby boomers say they expect to continue working well into their retirement years.
- More than half-a-million 50-somethings are enrolled in undergraduate or graduate degree programs.