Most people put off retirement planning until it feels “too late.” Maybe you’re in your 40s or 50s thinking you should have started decades ago. Maybe you’ve been focused on raising kids, paying off debt, or just getting by. The truth? It’s never too late to start—and small steps today can lead to big results tomorrow.
Why Retirement Planning Still Matters
Even if you’re starting later than you’d hoped, retirement planning remains crucial for three key reasons:
Longevity: People are living longer than ever. The average 65-year-old today can expect to live another 20+ years, meaning you could spend two decades or more in retirement.
Lifestyle: Without proper planning, you might face difficult choices about where to live, what activities you can afford, or whether you can help your children or grandchildren financially.
Financial Security: Social Security alone won’t cover your expenses. The average Social Security benefit replaces only about 40% of pre-retirement income, but most experts recommend having 70-90% of your working income for a comfortable retirement.
Common Fears That Hold People Back
If you’re feeling anxious about retirement planning, you’re not alone. The most common concerns we hear are:
- “I haven’t saved enough—what’s the point of starting now?”
- “What if I run out of money in retirement?”
- “How can I plan for unexpected medical expenses or long-term care?”
These fears are valid, but letting them paralyze you only makes things worse. The best antidote to fear is action, even if that action feels small.
3 Key Steps to Get Started Today
1. Calculate How Much You’ll Need
Start with a simple rule of thumb: you’ll likely need about 10-12 times your annual income saved by retirement. If you make $60,000 per year, aim for $600,000-720,000 in retirement savings. This might seem overwhelming, but remember—this includes everything: 401(k)s, IRAs, Social Security, and any pensions.
2. Review Your Existing Accounts
Take inventory of what you already have:
- Old 401(k)s from previous employers
- IRAs or Roth IRAs
- Current employer retirement benefits
- Life insurance policies with cash value
- Social Security projected benefits (check at ssa.gov)
You might be pleasantly surprised to discover you’re in better shape than you thought.
3. Protect Your Income with Insurance Solutions
One unexpected illness or disability could derail even the best retirement plan. Consider:
- Disability insurance to protect your ability to earn income
- Life insurance to protect your family if something happens to you
- Long-term care insurance to protect against devastating healthcare costs
Remember: Starting Late Is Better Than Not Starting at All
If you’re 45 and can save $500 per month with a 7% return, you’ll have about $347,000 by age 65. If you’re 55 and start with the same amount, you’ll still have about $147,000. Neither scenario might be ideal, but both are infinitely better than having nothing.
The key is to start now, increase contributions when possible, and work with professionals who can help you make the most of the time you have left.
Take Action Today
Don’t let another year go by wondering “what if.” Your future self will thank you for every step you take today, no matter how small it might seem.
Not sure where you stand? Let’s review your current plan together. A short consultation today could save you years of stress tomorrow. Contact Safe Haven Financial Services to schedule your complimentary retirement planning review @contact-us or visit safehaven to get started. Your retirement dreams are still within reach—let us help you make them a reality.
