It’s always advisable to enter your retirement period with a plan in hand to achieve your various goals and have sufficient money to live a happier life. But even if you have crossed the age of 50 and have still not yet made your plan, you should still try to have a plan in place. Here’s how to Plan For Retirement In Your 50s without losing hope.

Check Your Current Financial Status

When you start planning for your retirement after the age of 50, it means you have less than 10 years left in hand to work on your retirement plan. So, it’s important to know what financial resources you have already accumulated for your retirement and what extra financial effort you have to put in till your retirement. It will give you a clear picture of all the things for which you have to make a financial plan.

For instance, suppose you have accumulated a fund of Rs 1 crore when you reach the age of 51 and for retirement, you need a corpus of Rs 5 crore, it means you need a plan to accumulate another Rs 4 crore along with the existing corpus to get the desired retirement corpus. You should try to make a realistic and achievable retirement plan that suits your risk appetite and optimally utilizes your financial capacity.

Assess Your Financial Needs After Retirement

When making a financial plan, assess your expected financial needs after retirement. It will help you in making a more realistic financial plan and you will be able to focus on your essential goals. Make a plan based on your priorities, i.e., high-priority goals should be on the top of your planning list and low-priority goals can be placed lower in the list. It will help you in effectively utilising your financial resources towards achieving important retirement goals.

Also Read: 6 Factors To Keep In Mind For Early Retirement

Re-Assess Your Budget And Make Catch-Up Investments To Meet Your Retirement Goals

You must re-assess your budget and make the spending priority list again when you plan retirement in your 50s. Try to avoid any expenses that are placed lower on the list. The money saved by avoiding low-priority expenses can be used as a catch-up investment to recover the lost time and to achieve most of your goals when you reach your retirement age.

Things To Keep In Mind

When you start your retirement plan late, you need to take greater risks, invest more and give up unnecessary or low-priority goals. It is important to avoid chasing unrealistic targets and taking too much risk. With strict financial discipline and a little extra financial discipline, you can easily achieve the retirement plan that you make in your 50s.

The author is an Independent Financial Journalist