8 questions about retirement that everyone should answer

Retirement is a daunting prospect, especially in the United States. If given the choice, American companies will allow their employees to work until they die. Politicians are constantly trying to raise the retirement age, take away retirement benefits, and make life outside of work unbearable and difficult. The fact remains that if you work "for a living" in this country, you will have a hard time enjoying your savings when you retire.

This list covers many of the questions and tips that financial bloggers and advisors tend to neglect when giving retirement advice. These are the most important questions that need to be answered before you retire.

Why these questions in particular?

Financial bloggers and internet gurus claim that retirement is simple and easy. All you have to do is save up a few million dollars, right? But it's not just retirement money that can surprise investors. Many people don't think about the fact that there are many other questions that need to be answered before retirement. We can help you do just that.

1. What are your retirement goals?

Many senior citizens forget to ask this question. Why do I want to retire? Do you want to stop working? Do you view retirement as a reward for a hard working life? A time to relax and enjoy the money you've accumulated? Do you see it as an escape from the rat race? A time when you can do what you want to do and be who you want to be without worrying about your boss or workplace? Or are you retiring because you are forced to? Or do you retire because you have to? Do you really want to retire?

An honest answer to these simple questions can help you make a decision and prioritize the next steps in your life. The typical retirement life may not be for you. There is more to life than resting in a nursing home.

2. What retirement benefits do you have?

A 401(k) plan is an employer-sponsored retirement savings plan where employees contribute a portion of their pre-tax salary and allow that money to grow after taxes until retirement.

If you decide that a normal retirement is right for you, you should evaluate what benefits are available and what you can take advantage of in your later years. Don't take everything for granted and don't be surprised if you don't have the money you were counting on on the first day of retirement. Before you can plan for retirement, you need to understand what assets you have. How much have you saved? How much Social Security are you eligible for in your state? Are there any tax benefits available? Does your city or state have programs for seniors and senior citizens? Are there organizations or agencies you can join? Even if you don't take advantage of all of these resources, knowing what is available and how to do it will be very helpful to you and your family.

3. Where do you want to live?

Not all senior citizens own their home, and those who do may not want to live in it after retirement. If you have a limited income, it's worth planning where you will live long before you retire. Don't put this question off until the last minute. Will you live with your family in a basement apartment or a two-story house? Does your family want you to live there? Have you asked them about it? Do you plan to live in a nursing home? Will you be living on a yacht?

Remember that all of these decisions take time, but you don't have to stick to any one option. If you want to live on your own for a few years and then sell everything and move into an RV, that's definitely an option. Just plan as far in advance as possible.

4. Who can help you?

This question is especially relevant to your caregivers, whether they are family members or someone else. If you have a sudden health complication or an unexpected event happens to someone and you need to contact a doctor or relative, write down your support network and hang it up in an easy to read and accessible place.

You are no longer a spring chicken, and it is impossible to predict what problems you might have. This issue is even more important for people who have frequent accidents or health problems. Make sure everyone knows about your health problems.

5. How will you keep yourself in shape?

Just because you are getting older doesn't mean the fun has to stop. Physical, mental and emotional exercise should be part of your retirement routine. No matter what you say about work, daily physical and mental exercise will keep you healthy in many ways. Sitting at home is detrimental to your emotional, physical and mental health.

A job that you don't enjoy until you retire is also bad for your health. You don't have to carefully plan your retirement or become the most active senior citizen in your community, but expand your horizons from time to time and get outdoors regularly. Make plans to enrich your life.

6. What will be your goal in retirement?

One of the hardest things about retirement that many people approaching retirement don't consider is losing their purpose. Unfortunately, this is a symptom of a larger failure in our society, in which we look for purpose in external recognition and form our identity around work and career. Spiritual practices and other philosophical concepts can help, but you still end up in a society that demands that you have "purpose."

When you study, you are preparing for a future job; when you get a job, you are aiming for retirement; and now that you are retired, what are you aiming for? This advice is not meant to encourage you to strive for anything, but it will help you realize that these feelings arise within you and that it is up to you to manage them.

7. What is your budget?

It's time to check how well you've played capitalism! Your pension will likely be less than what you earned when you were younger. Social Security and retirement benefits combined will be less than you can live on with your current expenses. To make ends meet, you may have to cut back on expenses or move to a cheaper place to live. If you've been carefully budgeting all along, you should continue to do so. If not, it's never too late to begin. You may be surprised at how little (or how much) money you have. Who knows how many years you have left before you start flying through the air and playing guitar solos. If you have a good retirement fund, you don't want to budget too strictly lest you run out of money later, and you don't want to spend everything in the first year and be penniless for another 20 years. You need to carefully balance money and uncertain time.

8. What is your backup plan?

Whatever your plans for the future, you should have one or two backup plans. Family, health, money, finances and more can get in the way of your retirement dreams. If the worst happens, Plan B will save you time and stress.

Such a backup plan can cover all options. Were you planning to move in with your son's family, but his house burned down? What about alternative housing plans? Have you fallen for a scam and lost all of your retirement savings? Do you have a plan to pay for everything? Have you received a diagnosis that has changed your life? What options have you considered to make sure your pension is not affected?

Plan for a Fulfilling Future

Retirement can be a wonderful chapter in life, but it requires preparation beyond just saving money. By taking the time to consider your goals, resources, and support network, you can design a retirement that's healthy, purposeful, and financially secure.b Start planning today and make your golden years truly shine!