A person should not have to worry about money once they are in retirement, according to Robert Eisenstadt, professor emeritus of economics at the University of Louisiana Monroe.
“You don’t want to worry about things financially,” said Eisenstadt. “The one thing you want to have most taken care of is your financial concerns.”
Eisenstadt explained that a person’s expenses will lower in retirement. A person will not be buying meals such as lunch or purchasing clothing while in the workforce, according to Eisenstadt.
Eisenstadt explained that a person should begin investing in retirement in their twenties.
“I’m not saying when your age 16 but certainly by the time you’re in your mid or upper 20s,” said Eisenstadt. “I think it’s a good idea to start putting some money away in 401K or 403B or some kind of retirement planning account.”
The earlier a person starts investing, the better their return will be, according to Eisenstadt.
“If you start early you can minimize your contributions and maximize you returns,” said Eisenstadt. “I would suggest probably being able to recover at least 70 percent of your income in retirement.”
Eisenstadt said a person should retire when they feel is the right time.
“You retire when you’re ready to,” said Eisenstadt. “There is no right age.”
Eisenstadt explained that 65 is the traditionally age but in the 21st century, people are living longer and healthier so it becomes a personal preference.
Eisenstadt suggested that people planning retirement should consider what they would want to with their time once they retire.
