Retirement planning for baby boomers is very different than it was for their parents, when it was usually just one spouse (Dad) who retired. It is now quite common that both working spouses must make a decision together on their retirement, and each may have very different ideas of what that retirement should look like. Here are 5 key retirement planning decisions you need to make as a couple:
Timing. Financial needs and how much you enjoy your work are usually the main determining factors in when to retire. Couples also need to consider how they can maximize Social Security benefits.
Finances. If one spouse has been handling the family finances, it’s time for both to understand their financial situation and how retirement may impact it.
Healthcare. Both spouses need to have good healthcare coverage, either from Medicare and supplemental plans or, if you will continue to work in retirement, from an employer’s plan.
Lifestyle. One spouse may want to travel more in retirement, while another just wants to putter around the house. One may want to move, while the other wants to stay put. You need to reach a decision together on your retirement lifestyle.