There are many perks when it comes to the single life, but one issue that arises with singles is that few actually plan for retirement, compared to their married counterparts, says Bill Hunter, Director of IRA Program Management at Merrill Lynch Personal Retirement Solution. Whether you’re worried about your cash or scared of what will happen to your network once you retire, check out these tips that can help you survive retirement as a single individual.
Create a Plan
CBSNews says most people spend more time planning their next vacation than planning for retirement. The scary thing is that your vacation may only last a week, whereas your retirement may last 20 to 30 years. Sit down and take a good look at your finances. How much money should you have in a retirement fund in order to support you and your spouse for the rest of your life? How long do you have to work to reach that goal? Will you have to cut down on your spending to reach that goal?
When creating your plan, don’t only focus on money, but decide how you’ll maintain a healthy social network once you retire. As a single individual, you won’t have a spouse around to keep you company during retirement, but that doesn’t mean you have to spend it alone. You could volunteer, join community groups, or start a small business with a partner among many other options.
Start Investing Now
Saving for retirement may not seem like a big deal for a single person, especially if there aren’t any children involved, but you’ll spend more money than you think. According to a 2009 report by the American Academy of Actuaries, a single person will spend 70 to 75 percent of what a couple will spend in retirement, which means the money spent on a per-person basis is higher. Clearly, you’ll need a strong set of savings to support you, so start saving and investing your money now. A few retirement savings options include:
• Contributing to a 401(k)
• Saving with an IRA
• Investing in stocks, bonds, or real estate
Think About Where You’ll Live in Retirement
As a single individual, you may not have kids and family to tie you down to one area once you retire. This means you have complete freedom to travel or buy property in your ideal paradise without your career field determining where you live. As you write your retirement plan, decide where you’re going to live. Since you’re single and won’t have a spouse to take care of you if your health declines, consider moving to a place with health staff on-hand, such as Green Hills Manor.
Get Serious About Your Health
If you don’t have children, you likely won’t have someone close to you who can take care of your declining health during retirement. If you take care of your health now, you won’t have to worry finding someone to help you out. Retirement is a huge milestone in any person’s life, but as a single individual, retirement is often different from what’s typically portrayed. Use these mentioned tips to help you prepare for retirement.
Alicia Rades is a freelance writer and blogger. When she’s not working for clients, you can find her updating her blog at TheWritingRealm.com or working on other writing projects. Learn more on her website and connect with her on Google+.
Surviving Retirement: The Single Person’s Guide
March 20, 2014 by · Leave a Comment