To Retire or Not to Retire
For some of us, the coronavirus pandemic has complicated the question. As Yahoo! Finance reports, a Harris Poll study conducted this past summer found that 25% of Gen Xers and 14% of baby boomers think they will retire later than they planned, because of the pandemic's financial impact on their lives.
Will this perception be fleeting? Forty-nine percent of respondents cited the current state of the economy as the biggest obstacle to realizing their retirement goals, but the economy frequently changes course. Long-term retirement strategies consider potential short-term economic ups and downs.
If you are a retirement-minded baby boomer or Gen Xer, you might want to think about three factors.
- One, how did your investments perform in 2020.
- Two, the degree to which the pandemic is impacting your job security. If you feel you might be let go as a result of the pandemic's economic stress on your employer, then it may be time to begin creating a retirement transition strategy.
- Three, the timing of retiring in 2021. If spending the first year of your retirement in a global pandemic has you down, consider waiting until 2022 or later to wrap up your career could be a better choice.1
1. Yahoo Finance, December 4, 2020
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