While adjusting to a fixed income during retirement can be stressful, you can help alleviate the stress by knowing your numbers. Many of us live with a “general idea” of our monthly income and expenses. However, a fixed income means you need a firm grasp on what’s coming in and what’s going out every month.
To find out how much you’re spending every month, start with your fixed expenses. How much is your mortgage or rent? How much do you spend on insurance? Taxes? Utilities? Medical expenses? These are the hard-and-fast expenses that you’ll need to cover every month.
Next, track how much you spend on non-fixed expenses — things like eating out, clothing and gifts. Add this amount to your fixed expenses, and you’ll have a good idea of how much you spend every month.
Finally, get a solid picture of the income you should expect every month, and from what sources. This income could include Social Security benefits, savings, investments, annuities and pensions. Not sure what income you should expect? We can help you create a financial strategy using insurance and investment products that can help you work toward your long-term retirement income needs. Our goal is to help you live a retirement that is stress-free. Contact us today
The content provided here is designed to provide general information on the subjects covered. It is not, however, intended to provide specific legal or tax advice. Contact us at email@example.com or call us at (952) 460-3260 to schedule a time to discuss your financial situation and the potential role of investments in your financial strategy.