Retirement Planning – Already Retired

Age 55+: During this stage, it all comes down to one thing – knowing that you have the resources you need to relax and enjoy life…

1. Make a plan when distributing funds
2. Examine your entire portfolio
3. Protect Against the Unexpected
4. Establish your Legacy
5. Decide when to take Social Security Benefits
6. Sign up for Medicare & Prescription Drug

Make a plan when distributing funds

Consider how much to withdraw. A lower withdrawal amount may help you avoid outliving your money. Use the retirement savings calculator to see how long your savings will last.

As a general rule of thumb, take money from your taxable accounts first. Leave your tax-deferred accounts growing longer, but do what makes sense in your situation. (You may want to consult a tax advisor.)

Generally at age 70 ½ you must start taking required minimum distributions from Traditional IRAs, SEP IRAs, SIMPLE IRAs, 403(b)s and 401(k)s.

Examine your entire portfolio

Americans are living longer so demands on your resources are greater than ever before. While some of your investments may be more conservative, consider leaving a portion of your investments with a tolerance for risk that is adjusted for a longer timeline.

Make sure you can handle downturns in the market. Consider having 2 to 3 years of expense being more liquid. Interest Bearing Savings, Checking, or Money Market accounts can be used.

Explore your rollover scenarios. Rolling over distributions from your 401(k) and other employer sponsored plans might be another option. Use this chart (PDF 32 KB) to make your decision. Learn more about rollovers &  transfers.

Protect Against the Unexpected

Concerned about the high cost of medical services and long-term care arrangements? Long-term care insurance can be the answer.

Monetary decisions are not your only concern. Stay mentally, socially, and physically fit. Choose the lifestyle that fits you best…possibly get a part-time job, volunteer for your favorite non-profit, or join a gym.

Establish Your Legacy

Rest easier knowing your loved ones may be better provided for down the road, especially when you’re no longer here to help.

• Learn more about Life insurance.
• Make sure your will is up to date.
• Make sure your estate is taken care of by you instead of the state. Make provisions to pass along assets to your heirs or favorite charity.

Decide when to take Social Security Benefits

You can sign up as early as 62 but waiting will entitle you to the full retirement benefit. Decide which option is best for you.

Sign up for Medicare & Prescription Drug

Generally, 3 months before your 65th Birthday, sign up for Medicare Benefits. State Farm® offers Medicare Supplement plans that help fill in where Medicare falls short.

Check into Medicare Part D (Prescription Drug Plan Coverage). A State Farm agent is able to offer you this option through a strategic alliance with Humana®*.

Note: Ideas listed above are only suggestions. See a State Farm agent for help with your personalized retirement plan.

*Humana health products are underwritten and issued by Humana Insurance Company, Louisville, Kentucky, which is financially responsible for these products. No member of the State Farm family of companies is financially responsible for these products. Humana, Inc, Humana MarketPoint, Inc, and Humana Insurance Company are not affiliates of State Farm.