P:icture yourself in Retirement

Patricia Lovett-Reid provides these scenarios to help you more easily picture yourself in retirement:

Pre-Retirement Planning Strategy:

• Make sure you begin with a positive attitude and an open mind
• Set realistic goals and be specific about what you want to accomplish. Do you want the same lifestyle that you have now or do you want to upgrade or downsize?
• Picture your retirement. Begin to dream about what you and your spouse want to do in retirement. If you haven't discussed your retirement plans with your partner now would be the time.
• Calculate your retirement number and focus on the contribution number that will help you achieve your retirement dream.
• Establish and develop a financial/lifestyle plan that will help you reach your ideal contribution number
• Adjust your budget and make your savings plan match your established financial plan
• Commit to a start date. How about RIGHT NOW!
• Relax, there are a lot of ways to invest and save
• Decide on your comfort level. What is your investment comfort level, do you want to control the investments yourself or have an advisor?
• Arm yourself. Learn about your investment options and then choose the investment, savings, and protection tools that will best help you achieve your goals. After all, Knowledge is power.
• Imagine your performance
• Remove any Distractions

At-Retirement Strategy:

• Pre-plan and cover all contingencies
• Look at tax strategies. Convert RRSP to annuities or RRIFS
• Look at portfolio composition and consider the two most important things, diversification and asset allocation
• Look at creative options for your retirement such as part-time work
• Structure your days to make the adjustment easier
• Consider whether you want to live close to family or friends or move to your dream location
• Consider gift planning and its tax implications

In-Retirement Strategy:

• Simplify your life by making a monthly budget that matches your lifestyle plan
• Integrate income from different sources such as CPP, OAS, and RRIFS
• Look into tax strategies
• Consider whether you still want to work.