Introduction

Why plan for retirement? If you are under 55, you probably have not given much thought to retirement. You see getting old as something that happens to other people. You tell yourself that you will plan for retirement when the time comes—that there is no need to think about it now. Wrong!

If you want the so-called golden years of your life to be truly golden, you must prepare for them now. The sooner you get started and the more you investigate and understand your situation, the better your retirement will be. Planning for your retirement will enable you to reach the following goals:

Eliminate fear and uncertainty, and achieve a sense of security. Many people approach retirement with fear and trepidation. This is quite natural because most people fear the unknown. Thinking about the future and planning for it will allow you to reach the retirement stage of your life with knowledge and preparation. The unknown will become known, and the fear and uncertainty of retirement will be replaced with a sense of security.

Prepare for the unexpected. As you move along in life, problems will constantly present themselves. Without a plan that looks into the future, you will tackle each crisis in a purely haphazard manner. If you plan ahead, however, you will not be thrown by an unexpected problem such as an illness in the family or a downturn in the economy that affects your savings or investments. You will be better able to cope with the difficulty and make the necessary adjustments.

Gain flexibility. By starting your planning early, you will have enough time to prepare for the things that you want to do when you retire. You will have time to prepare for a second career, if you want one, or to learn a new hobby or sport. If you change your mind about your choice, you will have enough time to modify your plan and try something else.

Make the right decisions. If you plan for retirement, you will not have to make hasty, ill-considered decisions. For example, housing plays a large role in shaping retirement. By investigating numerous housing locations and living arrangements during your pre-retirement years, you will be able to make an informed decision regarding your retirement housing.

We all approach retirement with different needs, interests, and attitudes. All of us, however, have the same goal: a successful retirement. That means a sound financial plan, psychological and social stability, and stimulating and ­satisfying activities that provide a sense of accomplishment and a feeling of usefulness. The purpose of this book is to help you develop a total, individualized retirement plan that will generate maximum satisfaction, security, and fulfillment.