Adapting Your Money Habits for a Confident Retirement

After decades of building wealth, shifting from accumulation to distribution can be challenging and is often accompanied by questions and uncertainty. You’re not just changing your financial strategy. You’re changing a mindset. That means the habits that served you well during your working years may need adjustment in the coming months and years.

It’s important to note that this transition doesn’t necessarily mean that your financial growth stops once you hit retirement. Depending on your personal situation, needs, and lifestyle goals, you may continue to build your wealth and legacy throughout retirement.

In either case, success in this stage is less about maximizing income and more about managing cash flow, protecting your savings, and making thoughtful decisions. As you prepare to transition into retirement and begin to shift your financial mindset, here are five habits that can help you feel confident and prepared for the road ahead.

1. Schedule Regular Financial Check-Ins

Just as you visit your physician for an annual physical, regular financial check-ins with your financial professional can help protect your financial health and prevent problems down the road. Even in retirement, your financial plan isn’t a “set it and forget it” strategy. Markets evolve, tax laws change, and personal needs shift. Your plan should be responsive to these changes.

A good habit is to meet with your financial professional at least once a year. This frequency might increase temporarily as you approach and transition into retirement or face major life changes. This simple habit can help keep your plan aligned with your life and help you feel confident in making complex or emotionally-charged decisions.

Turn Check-Ins Into Opportunities for Growth

Think of each financial review as more than a status update—it’s a chance to refine, improve, and optimize your strategy. Your financial professional can:

• Review portfolio performance against your goals
• Revisit your withdrawal strategy
• Update your spending plan and income sources
• Stress-test your plan against inflation, market downturns, or unexpected expenses

Partner with your financial professional to make your next financial review a meaningful step toward a stronger retirement.

2. Increase Retirement Contributions While You Can

For many people, their final working years are peak earning years. As such, this might also be the perfect time to give your retirement accounts a boost. In fact, if you’re 50 or older, you can take advantage of catch-up contributions in accounts like 401(k)s and IRAs. Even small increases—say, bumping your savings rate by 1–2%—can make a meaningful difference over time.

If you’ve already maxed out your retirement plan, consider other options like Health Savings Accounts (HSAs), taxable investment accounts, or after-tax contributions where appropriate. The key is to make the most of these last years of earned income before you transition into the distribution phase.

3. Adjust Spending and Saving Habits for Future Income Changes

Your retirement income will likely come from a combination of sources: Social Security, pensions, retirement accounts, and perhaps part-time work or sources of passive income, like investment properties. Unlike a regular paycheck, this income may fluctuate depending on markets, withdrawal rates, and timing of benefits.

To prepare, practice living on your projected retirement budget before you actually retire. Try a three- to six-month “test run” where you limit spending to what your retirement income will be. This can reveal whether your planned lifestyle is realistic or needs adjusting.

When considering your future income needs, remember to account for rising health care costs and inflation. Today’s $100 won’t buy the same amount 10 years from now, so it’s wise to keep discretionary expenses flexible. Consider whether downsizing, paying off debt, or scaling back on large purchases now might be helpful to free up more resources for the future.

4. Recognize Emotional Triggers

Retirement can stir up a wide range of emotions—excitement, uncertainty, even fear of running out of money. Left unchecked, those feelings often influence financial decisions, especially during times of market volatility or significant life changes.

It’s important to recognize the emotional triggers that might push you toward impulsive choices. Common examples include reacting to short-term market dips, comparing your spending habits to friends or family, or facing a sudden health issue.

A healthy habit is to pause before making big financial moves. Build in a waiting period before acting on large withdrawals, portfolio shifts, or major purchases. Even just a week can help you gain clarity on your situation and options. Additionally, make it a habit to lean on your financial professional as a sounding board to provide perspective and strategy, and to keep you focused on the bigger picture.

5. Streamline and Update Accounts for Consistency

Over the course of your career, you may have collected multiple retirement plans, investment accounts, or bank relationships. Juggling all of them can make it harder to see the full picture of your wealth and increase the risk of missing important requirements like required minimum distributions (RMDs).

Make it a habit to review and streamline your accounts regularly. Rolling old 401(k)s and IRAs into fewer accounts can simplify management and reduce oversight errors. Just as important, review account titles and beneficiaries annually to ensure they reflect your wishes.

Keeping account access up to date—passwords, contact information, and documentation—can also enable loved ones and your advisory team to support you if needed. Streamlining isn’t just about convenience; it’s a proactive way to help protect your financial well-being and legacy.

Building Confidence for the Road Ahead

Retirement is the beginning of a new chapter, and like any transition, it comes with adjustments. By focusing on these habits—working with your financial professional, maximizing contributions, adapting your spending, recognizing emotional triggers, and streamlining accounts—you can create a retirement that feels both secure and fulfilling.

With personal structure and professional support, you can not only work to preserve what you’ve built but also enjoy your wealth and independence on your terms.

^{This material was developed and prepared by a third party for use by your Registered Representative. The opinions expressed and material provided are for general information and should not be considered a solicitation for the purchase or sale of any security. The content is developed from sources believed to be providing accurate information.}