Steps to take When You're Serious About Retiring

Step 1 : Determine how much income you will need in retirement.Make a list of all yur current expenses chances are,you'will continue to incur the same expensesin retirement that you incur now.

Step 2 : Determine your sources of income.Most people receive retirement income from
EPF or Pencen ( Gov.).

Step 3 : Factor in the Impact of inflation and taxes.Inflation,Which over teh past 20 years has averaged 5.5% per year,threatens the perchasing power of your income.In addition,most if not all your retirement income will be taxable.Make sure you concider the Impact of these costs in the Step 1 above.Make sure your investments are able to overcome taxes and inflation.

Step 4 : Consider your family obligations.Your family situation will affect many of your retirement decisions.You may still have children facing college costs,or elderly parents in need of long-term care.If you plan to sell your home,consider the costs involved such as moving,home improvements and real estate commissions.

Step 5 : Give your insurance benefits a " checkup".Most health insurance plans provide for continuing coverage after you retire.However,long-term care costs can destroy your retirement plans,so you should consider saving fpr long-term care before you retire.For those who has been relying solely on the Company's Medical Benefit,ask yourself if you are you still insurable by the time you retire.This is the time when you need your medical insurance most!You should sign up for such insurance well in advance of riterement.

Step 6 : Protect your assets from taxes and probate.A sound estate plan,which includes your will,can give vital information to others about your will,can give vital information to others about your assets and debts,provide funds should you become disabled,appoint an executor for your estate and keep taxes to a minimum after your death.Consult with lawyer who specializes in wills and trusts,as general practice lawyers may not have the expertise you need.