On April 19, 2013

Colorado residents expecting to retire in the next year should start planning for it. Retirement is something many individuals spend much of their lives looking forward to, but for people to be able to enjoy it, they should prepare accordingly. To ensure that retirement is relatively free of stress and that one’s future is taken care of, they should get their finances and estate planning documents in order.

One of the things that people should think about as their retirement nears is when to apply for social security. There are financial advantages, such as larger payments, if individuals delay their payments until they are at retirement age, which is between 65 and 67. However, if someone ends up retiring sooner than expected, they can apply for benefits at the age of 62. A person’s current financial state and retirement and savings accounts will play a large role in if they can afford to delay.

Those who are retiring should also be sure that they establish and keep estate planning documents up to date. In addition to a will, people should look into health care proxies, setting up a power of attorney and creating trusts if needed. It is also important that family members are aware of where these documents are and what investments and bank accounts someone has.

For someone to ensure that their legal documents are in order and created to protect their rights and assets, they may benefit from speaking with an attorney. An attorney could explain what each document does and if it is necessary for an individual based on their circumstances.

Source: Fox Business, “Eight Money Moves to Make the Year Before you Retire,” Amy E. Buttell, April 2, 2013

Categories: Estate Planning

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