Retirement can be a scary concept. What are you going to spend your time on (hopefully not television)? Is there some way you can give back to the community now that you don’t have to spend all day making a living? Can you quit all at once, or do you need to cut back slowly, both for financial reasons and emotional reasons?
Here is how we can help you make those decisions, and I hate to even mention it. Brace yourself….you need to do some BUDGETING. To most of us budgeting is that dreaded word we don’t speak in mixed company. However much we may dislike the exercise, retirement is one time when we had better not ignore the discipline. It does not have to be a formal monthly budget, although that might be best. It could be as informal as a one-time worksheet of expected income and expense after retirement. We have some simple retirement planning worksheets on our website under “Financial Tools…Retirement” (http://www.sutton-mccann.com/Financial-Tools). We encourage you to look over these worksheets and let them help you make your decisions. We are here to help you too, so let us know when you first start thinking that retirement is coming along. There are some financial decisions that need to start being considered a couple of years before you actually retire so don’t put off your planning too long, give us a call.Loren L McCann, CPA, MS (Tax)