When Can I Retire?

Merchants Bank, Trust, Nate Birkholz

Trust products may not be FDIC insured. Please ask a Trust expert regarding FDIC insurance coverage as it relates to Trust products.

The most common question I’m asked is “Can I retire?” Of course, the biggest concern we hear is regarding the amount of money that’s set aside for retirement… “I have to dig into this bucket. I hope the bucket is big enough.” Here’s how the Trust Department tackles this tricky question on a daily basis.

Q: How will I know when I can retire?
A: There are a few factors you need to consider when building your retirement timeline: your income, spending habits, assets and retirement goals. We can build a snapshot of where you are now and then help you determine how you’ll get to where you want to go. People have different retirement goals…some people want to travel; some people want to see their money grow; some want to visit their grandchildren in different states every year. Once you pull together all these details, it’s easier to put dates and timeframes to your retirement.

Q: When is the best time to create a comprehensive retirement plan?
A: You should begin the deep planning of your retirement three to five years before you plan to retire. It’s important to take a comprehensive view of your retirement at this time, with a focus on your income, spending habits, assets and specific retirement goals.  Our Trust Department can help you create this comprehensive plan and also manage your portfolio to make sure we meet your retirement goals.

Q: What questions will be answered by my comprehensive retirement plan?
A: Through our planning process we can answer a number of questions, including:

  • How will I handle the “what if” scenarios? If I lose money, if I gain a large inheritance, etc.
  • How much more do I need to save and how do I get there?
  • Do I need to continue working and for how long?
  • Which accounts should I take my retirement money out of and when?
  • How charitable can I afford to be?

Planning doesn’t answer every question, but it does help us make informed decisions.

Your Money Working for You
We want to put together plans that help people take as little risk as possible and still accomplish their goals. It’s hard to go from working for money to money working for you, but we are here to help you manage that transition.

I would encourage anyone that’s working to be actively engaged in their retirement planning. Look at the retirement calculators on our website to get a picture of your retirement, be aware of how much you’re saving and the balance of your retirement accounts. Our trust department is also a great resource, and we would be happy to help you. Don’t hesitate to contact us today.