As the end of summer approaches, it’s a great time to plan that trip you’ve always wanted to take. Or perhaps redo a favorite vacation. Or even visit with family and friends to reconnect after spending time apart. If not a trip, what is left on your bucket list?
Ask yourself how important your bucket list items are to you and the significant others in your life, and how important those items are to the quality of your life. Some financial advisors even ask their clients questions such as, “If you found out that your life was coming to an end tomorrow, what would you regret not doing?” What would be your answer to this question? What is your plan to make sure you don’t have regrets?
Your expenses during retirement are likely to change over time. Many people spend more money in their Go-Go years (age 65 to 75) than when they reach the Slow-Go years (age 76 to 85) and No-Go years (age 86 to 100).
As you plan your retirement activities, it is worth considering that your Go-Go years are the time when you’ll have the most energy and resources to finish bucket list items that you feel are important. A bucket list item, no matter how large or small, may turn into a regret if you wait too long to fulfill it by the time you reach your Slow-Go and No-Go years. The Go-Go years are the time to build and start executing your bucket list plan.
Why doesn’t everyone work on completing their bucket list? Being mindful of spending is very important to sound retirement planning, especially when gas prices are skyrocketing and the cost of living is increasing. Some people without a budget or with inadequate savings may not be able to achieve the things on their bucket lists. However, some people are more frugal than they need to be. Retirees often offer the following reasons why they underspend compared to their potential:
- I don’t know how long I (we) may live, so I could run out of money.
- I’m concerned about potential long-term care expenses.
- I'm afraid of market volatility and inflation.
- I’m worried about potential medical expenses.
These and other concerns are very real and should be taken seriously. But are these concerns holding you back from completing your bucket list?
Working with a CFP® professional can help you understand how you can afford to check off those bucket list items, secure your retirement income, and mitigate future risks. If you and your family finally decide to take that cross-country road trip that’s been waiting on your bucket list, you’ll probably use a GPS to help you navigate changing road conditions and detours. Similarly, your CFP® professional can help you establish a financial plan that functions like a GPS to navigate retirement, with an income plan that addresses both your needs (the basics) and your wants (the bucket list).
LetsMakeAPlan.org features many articles on planning for and enjoying retirement, as well as a tool to help you find a CERTIFIED FINANCIAL PLANNER™ professional to help you create your plan. Having a financial plan can help you maximize your Go-Go years and complete your bucket list.