Your retirement may seem like you've reached the end, but most Georgia retirees will tell you that it actually marks a whole new beginning. Before you clock out one last time, however, it is important to have all your ducks in a row, or rather, make sure you're actually ready for your retirement. Doing these four things the year before you leave your job can ensure that you're ready for that next big step.
Although you don't actually need to apply for Social Security until about three months before you want to start collecting benefits, it is still a good idea to speak with a Social Security representative the year before you plan to retire. According to the Social Security Administration, your monthly benefit amount can differ substantially based on your age at the time of your retirement. Social Security officials advise that it is a good idea to have a full understanding of your options, so you can make an informed decision.
Setting aside money for emergency expenses can ease the stress of having to deal with any unexpected events that might come up, such as a car repair, a new roof for your house, or even dental work. Keep your emergency fund liquid so you can easily access it if needed. Once the account is established, remember to replace the funds if you use them to ensure that you are ready to access them again in case something else unexpected happens.
A lot of workers feel that they simply don't earn enough to put the entire amount that they can into their retirement account each year. Putting the maximum amount allowed into your retirement account before you retire allows the money to grow without the worry of paying taxes on your income now because the invested money is usually tax-deferred. In addition, if your employer matches contributed funds, it's also a way to add a little extra to your next egg.
Robert Delamontagne, author of "The Retiring Mind: How to Make the Psychological Transition to Retirement," told MarketWatch that creating a budget now that reflects your future lower income can give you a realistic idea of how your retirement is going to affect your lifestyle. Once you have run the numbers, he suggested that you can see what changes or adjustments you may have to make.
