Retirement planning is more than setting money aside—it’s about protecting your future and creating the lifestyle you want. Without a plan, many people risk running out of savings, facing rising healthcare costs, or making difficult sacrifices later in life.
A solid retirement plan provides peace of mind, financial security, and the flexibility to enjoy your later years.
This checklist covers the key steps to help you prepare and shows how the right guidance from a financial advisor can make the process easier and more effective.
The foundation of retirement planning is knowing what you want your life to look like once you stop working. Do you imagine traveling frequently, pursuing hobbies, volunteering, or even starting a part-time business?
Each vision comes with different financial requirements. For example, someone who plans to travel will need a larger budget for leisure and transportation, while someone who wants to stay close to home may place more emphasis on healthcare or family support. Having clarity about your lifestyle vision gives purpose to your financial plan and ensures you prioritize what matters most.
A common guideline is that retirees need about 70–80% of their pre-retirement income to maintain a comfortable standard of living, but your personal figure depends on your lifestyle. To estimate accurately, think through:
Someone earning $100,000 today may need between $70,000 and $80,000 annually in retirement, but the actual amount varies. Online calculators can help, but a personalized projection offers more accuracy.
Saving consistently is one of the most powerful steps in preparing for retirement. The earlier you start, the more your money can grow through compounding, but it’s never too late to strengthen your savings. Some of the most effective strategies include:
Building savings is about both quantity and quality—knowing where and how to contribute makes a long-term difference.
Retirement portfolios must balance the need for growth with the need for safety. Stocks provide growth but carry more risk, while bonds and other fixed-income investments provide stability and predictable income. Some retirees also explore annuities for guaranteed lifetime income.
Diversification helps you avoid relying too heavily on a single type of investment. Protecting against inflation is equally important, since rising costs can erode purchasing power. Adjusting your mix of investments as you age ensures you continue to benefit from growth while reducing exposure to unnecessary risks.
Social Security is a foundation of retirement income, but the timing of your claim matters greatly. Claiming benefits early at 62 locks in smaller payments, while waiting until your full retirement age (67 for many) or delaying until 70 increases the monthly amount.
If you also have a pension, you’ll need to weigh the pros and cons of different payout options. Married couples face additional choices, such as coordinating benefits to maximize household income. These are irreversible decisions, so they should be carefully planned.
A retirement budget ensures your lifestyle is sustainable over time. It’s not just about guessing—it’s about looking realistically at what you’ll spend. Key categories include:
Tracking your spending in the early years of retirement is particularly valuable, as it allows you to adjust before overspending becomes a problem. Flexibility is key, since inflation and unexpected expenses will almost certainly arise.
Healthcare is often one of the largest retirement expenses and should be a top priority in your planning. Medicare provides a foundation starting at 65, but it doesn’t cover everything, which is why many retirees purchase supplemental insurance.
Beyond basic healthcare, long-term care is a major concern. Assisted living, nursing homes, or in-home care can be extremely costly and quickly erode savings if not planned for. Options such as long-term care insurance or hybrid policies can help protect assets and reduce the burden on loved ones.
Estate planning goes beyond writing a will—it’s about making sure your assets are transferred smoothly and your wishes are respected. At a minimum, you should have:
A valid will or trust to direct how assets are distributed.
Updated beneficiary designations on retirement accounts and insurance policies.
A healthcare proxy and durable power of attorney to authorize trusted individuals to act on your behalf.
Estate planning also allows you to explore strategies to minimize estate taxes, protecting more of your wealth for your family.
The timing of your retirement directly affects how long your savings must last. Retiring earlier requires more assets, while working longer allows additional contributions and fewer withdrawal years. Choosing where to retire also has a big impact. Consider the cost of living, taxes, healthcare availability, climate, and proximity to family. A location with lower housing costs and favorable tax laws can stretch your savings much further, while lifestyle considerations ensure you enjoy your retirement years.
Even the most carefully prepared retirement plan needs regular reviews. Market conditions change, tax laws evolve, and personal circumstances shift, all of which can impact your strategy. Scheduling a retirement check-up ensures your plan stays aligned with your goals and allows you to make timely adjustments.
This is where Best Financial Advisors can make a difference. By learning about your unique needs and goals, we connect you with a vetted financial advisor who has the expertise to guide you through the complexities of retirement planning.
Instead of spending hours searching or guessing which advisor to trust, Best Financial Advisors streamlines the process, making it simple, fast, and reliable to get matched with the right professional for your situation.
Breaking retirement planning into stages makes it manageable and ensures you don’t miss important milestones.
Start saving early—compound interest turns small contributions into big results. Open a retirement account like a 401(k) or Roth IRA and contribute enough to get the match. Live below your means, avoid unnecessary debt, and focus on long-term investing through diversified funds.
Boost savings to at least 15% of your income and consolidate old retirement accounts. Protect your family with insurance and an estate plan. Start funding future expenses, like college savings, to keep retirement funds intact.
Max out contributions and consider an HSA for healthcare savings. Plan your mortgage so it doesn’t extend into retirement. Meet with a financial advisor to review your progress and adjust your plan.
Use catch-up contributions to increase savings and revisit your retirement timeline. Evaluate healthcare and long-term care needs. Begin shaping your retirement lifestyle and check in with your advisor to run different scenarios.
Finalize your retirement income plan and decide when to claim Social Security. Apply for Medicare, update your estate plan, and review withdrawal strategies. Make sure you’re financially and emotionally prepared before making the leap into retirement.
Financial advisors typically charge a percentage of assets under management—usually between 0.25% and 1%—while others may offer fixed fees or hourly rates ranging from $150 to $300 or more, depending on the complexity of services provided.
A financial advisor offers more than investment guidance—they act as your financial guide, helping you navigate key decisions like retirement planning, debt management, education funding, tax strategies, and estate planning.
If you’re confident in managing your investments and financial planning, you may not need an advisor. However, if you want expert insight, a personalized strategy, or support navigating complex financial choices, financial advisor services can add significant value.
The best time to hire a financial planner is when you face complex financial decisions, major life changes, or simply want expert guidance for peace of mind. Whether you’re managing new wealth, planning for retirement, starting a family, or reevaluating your financial goals, a trusted financial advisor can provide clarity, confidence, and a custom wealth planning strategy tailored to your needs.
Retirement planning is an evolving process that combines saving, investing, budgeting, and protecting what you’ve built. By following this checklist, you’ll gain the clarity to define your goals, the tools to save effectively, and the structure to live with confidence once you stop working.
The earlier you begin, the greater your freedom and flexibility will be, but it’s never too late to take steps toward security. At Best Financial Advisors, we make that journey easier.
We partner with a trusted network of financial experts, take the time to understand your goals, and then connect you with the advisor best suited to your needs. Instead of guessing or searching endlessly, we simplify the process and give you confidence that you’re working with the right professional.
Our mission is to help you find financial clarity and long-term security. If you’re ready to take the next step, we’ll connect you with a trusted advisor who can build a retirement plan that truly fits your life.
