Some retirement tips from Kiplinger include consolidating your savings as you approach retirement and increasing your contributions to a retirement plan if you are 50 or older. Having all your savings in one Individual Retirement Account lets you keep track of your savings and investments as opposed to having multiple plans with former employers. Guard against financial scams by keeping your personal information and bank account details secret.
Consolidating your savings lowers your investment costs and offers more fund choices. Once you’re ready to make withdrawals from your savings, it’s easier to do so from a central account than from former employers’ plans. If you are able to keep working after turning 62, when you are eligible for Social Security benefits, you can delay the monthly checks and increase your benefits by at least 33 percent, says Kiplinger. If you are a high-earning employee, delaying retirement may displace the lower earnings of your formative, lower-earning years.
As a new retiree, consider having 50 percent of your investments in stocks and income annuities that provide a guaranteed monthly benefits for the remainder of your life. Consider downsizing by moving to a smaller house to save on taxes, utilities and insurance or selling your spare car to lower the car-ownership costs, recommends Kiplinger.