The
five years before and after retirement are critical in the
retirement preparation process.
Pre-
Retirement Checklist
When
Do I Want To Retire?
How much
do I need to save? Nobody wants to retire only
to have to go back to work 10 years later. Retirement
is something you've worked toward your entire adult life.
How much you save now and how you invest it will determine
whether or not you outlive your accounts. With people
living longer and healthier lives, now more than ever
it's important to plan farther and farther ahead and not
trust to fate (or Social Security) to provide for us in
the future.
Where will my income
come from when I've retired? Hand in hand with
determining your savings goal will be determining where
your retirement income is coming from. How much Social
Security will you be eligible for? What about Colorado
PERA? Do you have pensions with past employers that will
contribute to your retirement income? Try to develop the
clearest possible picture of what your retirement finances
will look like to prevent unpleasant surprises later on
down the road.
Should I buy time?
Since the cost increase in 2005, for many people
buying time is no longer a viable option. In certain situations,
however, paying now to purchase service credits will create
a substantial increase in retirement pay. Worth enough
to justify the up-front costs.
How much will I need?
Which PERA retirement
option is for me: 1, 2 or 3? It's time to take
a look at what your needs, and your family's needs, will
be after you retire. Choose the option that is right for
you before you have to make a snap decision.
