When people plan for their retirement, they put together checklists and think that they have all of their bases covered. But when retirement actually begins, they find that they may have left out a few things in their planning.
If there is one thing that most couples leave out of their retirement planning, it is child expenses. No one expects to have to raise their grandchildren or to have their children move back home with them, but it happens. Paying off your home before you retire should give you access to just enough equity to pay for those unexpected retirement child expenses.
Large Medical Bills
One of the parts of planning for retirement is getting health insurance. But when you actually put your retirement health insurance to work, you find out that it might not cover everything you need. If you experience significant medical issues, you may end up needing to live in assisted living facilities that aren’t covered by your insurance. You can look at examples like www.OspreyLodgeTavares.com to get an idea ahead of time for the kinds of living situations you’ll want to select and plan for.
Home and Auto Repairs
You worked hard the last 10 years or so of your career to make sure that the house is paid off and you have cars that are also paid in full. Then the roof starts to leak and the contractor tells you that you have a sizable repair bill coming your way. After the contractor leaves, you see steam coming out from under the hood of your car and so you take the car to your mechanic. When he is done looking it over, the mechanic tells you that you need a new head gasket and the expense will be severe. The other problem is that the head gasket is not covered by your car’s warranty. These are the kinds of expenses you incur in retirement that you never expected.
You Are Healthier Than You Thought
No one likes to put a deadline on their retirement savings, but the money can start to run out after a couple of decades. If you are in great health and start to outlive your retirement savings, then you have to start exploring other options quickly.
Your retirement savings plans were all based on the projected cost of living the year that you retired. But the cost of living continues to go up and, after a few years of traveling with your spouse, you may soon find that inflation is eating up more of your retirement savings than you expected.
Life is full of surprises and that is true when you retire. No matter how hard you plan, there is always something you forget that could become a real problem when your golden years begin.