Could you retire now?

BY MOLLY O’SHAUGHNESSY

How do you want to spend your retirement?

If you haven’t started to think about it yet, now is the time to figure out how you would like to spend your days in retirement Will you be travelling? Playing golf? Volunteering your time? Maybe start your own business? Having a clear vision will assist in calculating the finances you will need to live comfortably while enjoying your days in retirement

Have you created a retirement plan?

With advances in technology and medicine, Americans are living longer According to the U S Social Security Administration website, the average life expectancy for a man turning 65 today is 83, and for a woman it is 85 This is an optimal time to meet with a financial advisor who can assist in building a diversified portfolio designed to help provide for long-term growth while keeping pace with inflation Do not forget to budget for increasing health care costs.

Will you outlive your assets?

Social Security is your first line of defense against outliving your savings as your payments will continue for the rest of your life. However, you may want to consider delaying taking payments until age 70 to receive 76 percent more than if you collect at age 62 Paying off your mortgage prior to retiring will eliminate one of your largest monthly bills and allow you to tap into your equity in cases of emergency Talk with your advisor about what percent of your savings you can withdraw annually during retirement. Disciplined investors may be able to gradually draw down their savings in a way that will likely last as long as they live

Achieving the dream of a comfortable, secure retirement is much easier when you plan your finances Engage your spouse to envision how you each plan on spending your later years and how you will finance your activities. Deciding together now will make you both happier in the long run PB

Molly O’Shaughnessy Financial Advisor

Merrill Lynch Molly oshaughnessy@ml com

M e rrill L y n c h W e alt h M an ag e m e n t m ake s av ailab le p ro d u c t s an d s e rv ic e s o ffe re d b y M e rrill

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