Heres Everything You Need To Know On How To Retire Well

Published: Nov. 10, 2016, 4:36 p.m.

b'We all work hard to save for retirement.\\xa0 There are a few who start saving and investing early, plan things out with financial advisors, and essentially do everything right. But most of us get busy with \\u201clife,\\u201d settling ourselves into a career, raising a family, buying a home, sending our kids off to college, and then carrying on as empty nesters\\u2014all part of life\\u2019s big changes and surprises, the joys, the hardships, and the heartaches.
So it\\u2019s not a big surprise that retirement planning often takes a back seat.
There are also many amongst us who do not even start thinking about retirement until they are in their 50s, which is quite late. But still, you should never throw your hands up and give up on retirement planning. And even though I say it\\u2019s never too late to start, those who do start late have to deal with some unfortunate realities.
Whatever the case, the fact is that retirement can be overwhelming. There\\u2019s a lot to think about, a lot to plan, and a lot to do, which is why even people who think they are well prepared for retirement might find that there are things for which they simply forgot to plan or didn\\u2019t know they needed to plan.
As a heads-up, here are some of those \\u201cunplanned things\\u201d that might surprise you in retirement:
The emotional side
I\\u2019ve actually addressed this on my show a few times: The fact that people often aren\\u2019t emotionally prepared to retire because too much of their self-worth and self-esteem is tied into what they do for a living. Their careers, their job responsibilities, their job titles, the daily routine that gives meaning to their lives, shapes their feelings about themselves.
But once you stop working, how do you cope with the loss of so much of your sense of self? And what do you do with all the free time? Many of us cannot deal with the idea of retirement and a lot of people go back to work because they just aren\\u2019t ready\\u2014mentally or emotionally\\u2014 for retirement. So prepare for this major life transition, perhaps by adding fulfilling activities to your life as you get ready retirement, such as volunteering at your local library, school, church, or any other organization where you can contribute something to society and keep a social life intact.
Enrolling in Medicare
This is one you must simply add to your digital calendar, perhaps as a Reminder to Self on your 65th birthday: \\u201cEnroll in Medicare at 65.\\u201d You do not automatically qualify for Medicare unless you enroll and will pay permanent financial penalties if you are late, so you pay a 10 percent penalty for every 12 months that you are late. If someone waits 24 months, they pay a 20 percent penalty that is built in.\\xa0 Please do not neglect this! Medicare enrollment starts three months before your 65th birthday to three months after your 65th birthday, so you have a nice, wide six-month window to do so\\u2014and really have no excuse not to enroll on time.
Some people believe Medicare and Social Security are in the same bucket, but they are not. While you can delay taking your Social Security, you still have to actively enroll in Medicare on your own.
Continuing on these \\u201cunplanned things\\u201d that you might not be preparing for in retirement:
Health-care costs
Here\\u2019s one that might shock many of you. Health-care costs\\u2014yeah, I know, we are all well aware of rising health care costs, but did you know studies project that health care will cost $250,000 for a couple in retirement? That\\u2019s about $5,000 per person per year or $10,000 per couple and assumes an average retired life of 25 years. That\\u2019s a lot of money, so make sure you do not underestimate health-care costs in retirement\\u2014 for routine care, prescription drugs, procedures and long-term care\\u2014and plan for this substantial amount.
And while we are talking health, let\\u2019s not forget that we tend to lose our teeth as we age. Dental expenses, too, can add up and Medicare does not cover dental expenses.'