Retirement is a time of great uncertainty for most people, especially if little thought has been put into planning for post retirement life. One of the biggest anxieties is whether your finances will see you through this phase of your life comfortably. Although almost everyone invests in retirement savings plans, the fear of running short of cash at this crucial stage in life still persists. One way to get rid of this fear is by evaluating your post retirement finances and saving up towards expected expenses right now.

Outstanding Debts

The first step is to take stock of your financial situation. Calculate the amount of debt, if any, that you will need to pay after retirement. Ideally, all your debts should be paid off well before your retire. See if you can make additional payments now so that you are debt free when retiring. If not, set up a fund that will take care of any outstanding debts once you retire. [Read more…]