Couples Retirement Planning – Do it together

by Kristina on March 25, 2013 · 2 comments

Good morning Dinks.  One of the main goals that we all have is to plan for retirement. We take on spending fasts, we find a second income and we live on a budget all so that we can save for retirement.  If you aren’t spending your money now then you must be saving it for later.

Do you and your spouse share the same retirement goals?

Saving money for your retirement is just not enough, it takes planning. Saving money is a good start but you have to calculate how much you have to save, what age you want to retire and how much money you need in each year during retirement to support the lifestyle that you want to have.

Maybe you and your spouse plan to retire at exactly the same time, but this is rarely the case.  When I was working as a financial planner in a bank branch very often one spouse retired before the other and that means that one spouse was at home all day while the other was still at work. If you and your spouse don’t retire at the same time, what will you do all day if you are home alone?

Retirement is a great time to have the freedom and the lifestyle that you haven’t yet experienced.  Maybe you want to take up a hobby, volunteer your time or move to a warmer climate.  It’s important to talk with your spouse about your retirement plans to make sure that you are both working (and saving) towards the same goals.

What is your secret for saving for retirement?

I am sorry to say this but it’s true; a lot of people don’t save for retirement. There are so many short term goals that people want to achieve before retirement that they don’t focus on their long term goals.

Some people don’t save for the long term because they expect their family and the government to pay for their retirement. Some people feel that they want to enjoy their hard earned money now and therefore they don’t worry about saving for retirement. But the truth is that no one will help us achieve our goals except ourselves.

How much money you need to save for retirement depends on the lifestyle that you want to have during retirement and the income that you will need to support your lifestyle.  Starting to plan for retirement at a young age allows us to save a smaller amount of money each month as we save over the long term.  If you start saving for retirement at a later age you will have to save more money each month in order to achieve the retirement that you want and some of us can’t afford to do that.

I don’t necessarily save any of my own money for retirement.  I have other goals that I want to achieve.  I take advantage of my employer pension plan and my employer stock ownership plan for my retirement savings.  I also contribute my annual bonus into my retirement savings account; this helps me save for retirement without spending any of my own money.


Photo by uberculture

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