Five Year Retirement Plans
It may seem impossible to have a retirement plan that works within five years of your set retirement date. Due to the high rate of seniors who are not prepared for their retirement or who do not have enough money for retirement due to healthcare costs, these plans are becoming increasingly popular. So, what is a five year retirement plan and how do they work? Do they work for everyone? Here are a few things to know about these plans and how they may work for you.
What is a Five Year Retirement Plan
A five year retirement plan is for seniors or baby boomers who are facing their retirement years. The plan is designed to either help you save more money or to save at least some money if none is already set aside for retirement.
How Does a Five Year Retirement Plan Work?
The first step in this type of retirement plan is to assess your situation. You look over your current finances, income, savings and compare it with the kind of retirement lifestyle you want. It is to help you determine if you have enough money saved, how much money you need to save and where to begin to maximize the next five years if you have no money saved at all.
What Knowledge is Required?
The truth is that the only preliminary knowledge you need for a five year retirement plan is yourself. If you know your own assets, savings account balance and how much you are currently making then you already have the information you need to get started. Beyond a the initial assessment and steps you may need to hire a financial planner. This is only if you want a professional solution or if you want advice on how to maximize your savings and diversify that savings. Financial planners may also be able to help you with stocks, investments and other sources that will help you build your income, savings and create a passive money stream to help you create the savings you need for retirement and stick to a five year retirement plan.
Where to Start
Starting a five year retirement plan are available from a number of resources. A great start for information and asking the right questions about the retirement plan is to look at Forbes. Forbes recently released a five year retirement plan overview that has helped many individuals, not just seniors, figure out what they need to do to set themselves up for retirement.