“You need to balance the risk of losses against the risk of not having enough money in retirement,” says Thrivent’s Birr.īut don’t take this too far. If you feel behind on your savings, you could aim to be on the higher end for stocks for more growth. If you’re 55, you should have up to 65% of your portfolio in stocks, with the rest in bonds. For example, the rule of 120 says to subtract your age from 120 to find the maximum amount you should hold in stocks. As you get older, shifting your portfolio from stocks to bonds makes sense to protect your savings.

9 years: Fine-tune your investments - allocation, allocation, allocationĬheck your investment allocation. “People assume their spouse or partner has the same vision, but often they do not, especially if there’s a major age difference.” Don’t wait until retirement to find out you planned on traveling Europe while your spouse expects to stay home and golf every day. If you’re married or in a committed relationship, AARP’s John says, make sure you’re both on the same page. Otherwise, retirement can quickly get lonely because you won’t see co-workers every day. Figure out when you’ll spend time socializing with friends and family. He says this exercise can make your future retirement feel more real and motivate you to save. “Use your imagination and plot your ideal week on a calendar,” says Tim Maurer, chief advisory officer at SignatureFD, a financial adviser firm in Atlanta. This is a good time to visualize what day-to-day life will look like in retirement.

Aarp estate planning checklist