Retirement planning is the process of making plans for a comfortable retirement for yourself. It is one of the most important plans that will decide how your life will be like after retirement. The following factors should all be taken into consideration: the age you want to retire, the money needed to support your daily expenses, the sources of income and possible risks in the future.

Retirement planning options are widely available. If your employer does not offer any option, you can still all rely on yourself or the guidance of financial planners.

Different stages of your life require different focuses on retirement planning.

If you are under 35, chances are that you only have limited amount of money for investment. But it is always better to start early than late. A few bucks a month to be saved aside suffice to make a difference while you are young. Do not delay the habit of saving until you enter the midlife. Besides, it would be crucial for middle-aged people to continue saving and investing and make use of 401(k) programs despite all the payments you will have to make.

Saving and investing wisely is always a good principle to hold on in whatever stage of your life. As for people under 65, since most of the expenses have already been paid off, you can make more investments to get better returns from your financial input.

Necessary information for retirement planning:

  1. Available investment options
  2. Annual income after tax
  3. Risk and return of investments and assets
  4. Age and length of service to retire

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