Key Takeaways
- To create a realistic financial plan, consider all possible future expenditures.
- Slashing spending and earning extra cash can accelerate your retirement date.
- Capitalize on every workplace perk to further fuel your early retirement dreams.
- A financial professional can crunch the numbers and help you determine an ideal retirement age.
Many Americans feel anxious about their retirement prospects these days: More than half of nonretired people say they don't think they will have enough money to live comfortably, according to a Gallup poll. That echoes findings from Fidelity's most recent Retirement Savings Assessment, which found that Americans' retirement readiness has slipped since 2020.
Despite the dour feelings, all is hardly lost. Not only are there ways to improve your retirement readiness, you may even be able to move that retirement date up by 5 years. With planning, perseverance, and maybe some tradeoffs, it's often possible.
At its core, retirement is a math problem: You have a certain amount of money to cover your expenses for a number of years. Changing one of the variables can change the outcome of the equation. In order to lengthen your retirement, you may need more money, lower expenses, or both.
To make it happen, “You have to set up a plan,” says Ryan Viktorin, CFP, a Fidelity Investments vice president and financial consultant.
Your plan needs to factor in everything from future income sources and health care costs to longevity. The overarching goal: “You want your assets to be here if you are still here,” Viktorin says.
Here are 5 tips to help you retire 5 years earlier.
Read More
