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Quick Check: How Ready for Retirement are You?

Retirement readiness is not an overnight success story. It is not a simple formula either. It takes dedication, hard work, and good strategies. Why? Because it is simply not just retirement savings. Below is a quick check to assess your readiness for your golden years whether you are 5-10 or even a year away from retirement!

Financial Wellbeing
As the biggest stressor of retirement, financial wellbeing is budgeting, savings, income streams, and planning. Here are some categories to review for your retirement planning

- Housing, including utilities and maintenance
- Healthcare costs (covered later)
- Daily living: food, transportation
- Entertainment and travel

Having an idea of where you stand now will help determine how much you should have for retirement assets.

Emergency Fund
Planning for the unexpected helps immensely when it comes to retirement readiness. When there is financial uncertainty, the emergency fund is the perfect security blanket. Advised to be kept separate from normal savings, the emergency fund should have roughly 3-6 months of living costs.

Debt Elimination
The less debt you need to pay in retirement, the better off you will be. Retires are often relying on fixed income streams, so beginning a repayment strategy now while you are still working would be ideal. If you can, paying down debts with higher interest rates would save a lot of money for you down the road.

Retirement Needs
As a CPA, knowing what you need and how you want to life your retirement helps set realistic goals and plans. This should include where you want to reside, what age you plan to retire, and even length of retirement. With longevity increasing by the day, it is estimated that retirement will last between 20-40 years for many. While evaluating your needs, this is a great time to also compose a timeline for when certain benefits/income streams begin.

Healthcare & Insurance
Health insurance is a major factor for retirement, and unfortunately will be the biggest expense you will face in retirement. Not including long-term care, a newly retired couple will need a minimum of $300,000 for medical expenses alone. This number is predicted to increase yearly, too. Moreover, should you have a long-term care event, without coverage, you are looking at approximately another $140,000 annually.

​Now part of health care costs is insurance. Medicare only covers so much, and that depends on the plans you go with. Other than Part A each Part or supplemental plan has a premium. You may need prescription drug coverage, which is where Part D of Medicare may help. Consider a supplemental plan under Part C. Do further research into what a private health insurance company may offer so you know what options you have and are able to get the best price for what you need. Long-term care insurance is another premium monthly, but it would help a lot should you need it. There are some options where you may add a rider to a life insurance policy to help cover the costs long-term care would entail.

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RETIREMENT PLANNING

Investment advisory services are offered through AlphaStar Capital Management, LLC, a SEC Registered investment Adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser or investment adviser representative has attained a particular level of skill or ability. Additional information about AlphaStar Capital Management, LLC is also available on the SEC’s website at www.adviserinfo.sec.gov.

CONTACT US

Main Office: 5350 Poplar Ave., Suite 880, Memphis, TN 38145

Administrative/Registered Office: ​1309 Coffeen Ave., Suite 3851, Sheridan, WY 82801

Email: support@retirementriskadvisors.com

Toll free: 1 (855) 491-0400
​Text us at: 1 (307) 264-2902

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CONTACT US

Main Office: 5350 Poplar Ave., Suite 880, Memphis, TN 38145

Administrative/Registered Office: ​1309 Coffeen Ave., Suite 3851, Sheridan, WY 82801
​
​Email: support@retirementriskadvisors.com
​
​Toll free: 1 (855) 491-0400
​​Text us at: 1 (307) 264-2902

RETIREMENT PLANNING

Investment advisory services are offered through AlphaStar Capital Management, LLC, a SEC Registered investment Adviser. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the adviser or investment adviser representative has attained a particular level of skill or ability. Additional information about AlphaStar Capital Management, LLC is also available on the SEC’s website at www.adviserinfo.sec.gov.

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© COPYRIGHT 2025 RETIREMENT RISK ADVISORS. ALL RIGHTS RESERVED.