With many major purchases in life, we often have the opportunity to test out or experience the products we’re buying. We can test drive a car, tour a home, or try on a new outfit. But how can you take your retirement for a “test drive?”
Here are some ideas:
1. Start Retirement Shopping Early
Begin exploring retirement options well in advance. Whether it’s financial planning, potential destinations, or lifestyle changes, starting early allows you to make informed decisions without feeling rushed.
2. Try Living on a Fixed Retirement Income
One of the biggest adjustments in retirement is living on a fixed income. Practice by setting a budget based on your anticipated retirement income and see how it feels. This will help you understand potential challenges and adjust your spending habits accordingly.
3. Spend More Time at Home
If you’re planning to age in place, spend more time at home now to see how it feels to be in that space more often. Consider any modifications that might be needed to make your home more comfortable and accessible in the long term.
4. Connect with Hobby Groups
Engage with groups or people involved in the hobbies and pastimes you plan to pursue in retirement. This not only enriches your current life but also helps you build a community for the future.
5. Travel to Potential Retirement Destinations
Visit different destinations where you might consider retiring. Live as you would every day, not as if you’re on a luxury vacation. This gives you a realistic sense of what life in those places could be like.
6. Rent a Home in Your Desired Location
Before making a permanent move, rent a home in the area where you think you might wish to live. This allows you to experience the local culture, amenities, and lifestyle without the commitment of purchasing property.
7. Arrange an Extended Stay at a 50-Plus Community
Consider arranging an extended stay at a 50-plus community to see if it’s a good fit for your needs and preferences. Living there temporarily can provide valuable insights into the community’s dynamics and activities.
8. Try Out Gig Work or Volunteering
Plan to work a gig job or volunteer during weekends to see how it fits into your retirement plans. This can help keep you active, provide additional income, and offer a sense of purpose and fulfillment.
9. Connect with Retirees
Reach out to retirees who are living the lifestyle you envision. Gaining insights and advice from their experiences can be incredibly valuable in shaping your own retirement plans.
Conclusion
Testing out different aspects of your retirement plan can help you make more informed decisions and ensure a smoother transition into this new phase of life. By taking these steps, Boomers and Gen-Xers can better prepare for a fulfilling and enjoyable retirement.
The opinions expressed in the Blog are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product. It is only intended to provide education about the financial industry. Please consult your certified financial advisor.