If you are over 40 and haven’t started planning for retirement, you might feel anxious or overwhelmed. You are not alone. According to a Bankrate survey, nearly 25% of workers haven’t contributed to their retirement accounts in a year and 56% of workers feel they are behind on their retirement savings.1 But don’t panic. It’s never too late to start saving and investing for your future. In this post, we will share some tips and strategies to help you plan for retirement over 40 and make the most of your money.

Assess your current situation
The first step to planning for retirement is to assess your current financial situation. You need to know how much you have saved, how much you owe, and how much you need to save. To do this, you can log in to your Voya online retirement account experience, connect your outside accounts with your Voya account, to see your full financial picture. Once you do that, here are some questions to ask yourself:

  • How much do you have in your retirement accounts, such as your workplace retirement plan, IRA or Roth IRA?
  • How much do you have in other savings or investments, such as stocks, bonds or real estate?
  • How much debt do you have, such as mortgage, student loans, credit cards or car loans?
  • How much income do you expect to receive from Social Security, pensions or annuities?
  • How much do you spend on your living expenses, such as housing, food, transportation, health care and entertainment?
  • How much do you want to spend in retirement, and what kind of lifestyle do you want to have?

Once you have a clear picture of your current situation, you can estimate how much you need to save for retirement and get an estimate of your health care expenses in retirement by using the myOrangeMoney® calculator1. A common rule of thumb is to aim for 80% of your pre-retirement income, but this may vary depending on your personal goals and preferences.

Set your retirement goals and priorities
The next step to planning for retirement is to set your retirement goals and priorities. You need to decide when you want to retire, how long you expect to live and what kind of lifestyle you want to have. You also need to consider your health, family and personal interests. Here are some questions to ask yourself:

  • When do you want to retire, and how flexible are you with your retirement date?
  • How long do you expect to live, and what are the chances of living longer or shorter than average?
  • What kind of activities do you want to do in retirement, such as travel, hobbies, volunteering or working part-time?
  • Where do you want to live in retirement, and how will that affect your cost of living and taxes?
  • How important is it for you to leave a legacy or inheritance to your family or charity?

Once you have a clear vision of your retirement goals and priorities, you can align your saving and investing strategies with them. You can also adjust your goals and priorities as your situation changes over time.