RETIREMENT CHOICES – The choices you make during your working years and at the beginning of retirement affect how comfortably you will live in old age. Here are a few to ponder:
• When you start saving. That would be yesterday.
• Whether you get a 401(k) match. Get it if you can.
• Cashing out your 401(k). Don’t do it even once. It results in a significantly smaller nest egg in retirement.
• The age you collect Social Security. Assuming good health, it is best to wait as long as you can but after age 70, there is no additional benefit for waiting.
• Meeting Medicare’s deadlines. Sign up for Medicare during the seven-month initial enrollment period that begins three months before you turn 65.
• The age you retire. The age you retire has a huge impact on how much money you can safely spend each year. Also for many the definition of retirement is not ‘not working,’ but not doing what they don’t like.
• Remembering to take required minimum distributions. Beginning after age 70-1/2, you are required to take withdrawals from traditional retirement accounts.
~Courtesy: Financial Services Online