The Ultimate 60s Financial Checklist

You’re likely going through a big life change as you near or enter retirement! No matter what your current financial situation is, building healthy financial habits now will help you achieve your long-term goals.

Understand Tax Implications

Most advice recommends spending tax-eligible assets first, such as stocks and bank accounts. This is followed by tax-deferred assets, meaning 401ks, traditional IRAs, etc. Lastly, dig into tax-free accounts such as Roth IRAs. However, your situation may be unique and your spending strategy could be different. Always consult your advisor to ensure your maximizing your benefits.

Manage Your Debt

By your 60s, you should be debt-free or close to it. If you still have debt(s) to pay down, adjust your payment strategy so you pay it off in the least amount of time possible.

Get Your Estate Plan In Order

Update your estate plan to make sure your financial and personal legacy is passed to the proper beneficiaries as well as to make sure the estate transfer process happens as smoothly as possible. Always update your estate plan to fall in line with your overarching financial goals.

Evaluate Long-Term Care

Long-term care (LTC) insurance covers costs that are not normally covered by regular health insurance. However, if you wait too long you won’t qualify for LTC coverage. It’s important to work with your advisor to understand how long-term coverage works, and both the costs and tax benefits of long-term care insurance.

Adjust Your Investment Strategy

Your asset allocation should change with your risk tolerance. In retirement, your asset allocation strategy should become less aggressive. Instead of focusing on increasing returns, it should be focused on ensuring your current returns will hold steady and provide a constant source of income during retirement.

Review Life Insurance

Make sure the proper policy is still in place for your unique life situation. Review the type of policy, the insurance carrier terms, the required premium, insured person(s), and the beneficiary of the plan. Understand how the benefits work and what restrictions may apply to your specific situation.