Mar 31, 2022
What are some signs you are in good financial health? When it comes to planning for retirement, we don’t want to rely on beginner’s luck. On today’s episode, we are going to discuss how to recognize when you are on the right track and how you can stay on the pathway to financial freedom.
You spend less than you make.
If you’re working and spending less than you make and putting money away for the future, that’s great. Even in retirement, a good sign of financial health and longevity is spending less than what you’re bringing in.
You understand the future tax implications of your savings.
Inevitably, we are all probably going to be faced with some kind of tax surprise in our lifetime. But we can better prepare ourselves for our tax bill in retirement if we understand these implications ahead of time on our retirement accounts.
If you’re married, both you and your spouse know enough about the retirement plan to be able to manage it if something were to happen to one partner.
This might be an obvious one to some of us, but you would be surprised how many couples rely on one partner to organize the finances. Pensions, life insurance, and Social Security plans are all things both partners need to be aware of. Do both of you know when and where you are taking income from?
You have a retirement income plan.
A lot of people put away money for retirement without considering how they’ll take that money out. If you don’t have an income plan, how do you know how much to take out on a monthly basis? You want to be sure you won’t run out of money in the long run.
You don’t worry about your financial future.
If you aren’t worried about your financial future, then you probably have most of these covered! You know that you are covered if something unexpected happens. Good financial health means you probably don’t worry about the financial future.
1:29 – Being on the right track
2:40 – Spend less than you make
4:25 – You understand your tax implications
6:42 – Both partners know the retirement plan
9:06 – You have a retirement income plan
11:39 – You don’t worry about your financial future
12:52 – Once you are in the financial red zone
15:00 – Retirement date risk
17:01 – When is retirement planning easier?
19:37 – You’re more likely to be out of debt!
20:16 – You’ll know what you want to do with your life
MORE INFORMATION: https://www.flemingfinancialservices.com/podcast