The 3 Phases of Retirement Planning

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As you plan for retirement, your investment allocation is not the only thing that changes as the years pass by.

In fact, the very task of retirement planning evolves over the decades.

Just remember, the sooner you start saving and investing for your future the more flexibility and security you’re giving your future self.

Retirement Planning Through the Years

These 3 stages of retirement planning discuss a typical retirement beginning in one’s mid-60s as you near eligibility for Social Security and Medicare benefits, with tips for determining an early exit plan from work life.

Phase One — Age 20 to 35 years old:

At this point, retirement is so far in the future that it seems like an almost laughable concept. It may seem ridiculous to you to plan for an event that could be three or more decades in the future.

And you would not be entirely wrong.

It’s probably not worth the mental energy at this phase to try and project what your life in retirement (and its attendant expenses) will look…