Four Simple Steps to Get the Most from Your Retirement Savings

June 1, 2024

For many people, retirement marks a profound shift in identity. Many have difficulty adjusting away from the career that defined them. After all, you’re not just retiring; you’re redefining who you are. One aspect of this is how you view and use money. AMBA is here to help you embrace this new and exciting chapter with insightful planning and an optimistic, intelligent strategy.

1. Overcome Fear and Embrace the Opportunities

We all know FDR’s great quote, “We have nothing to fear but fear itself.” For many, the fear of running out of money in retirement can be overwhelming. This is called “negativity bias.” For example, if you’re told you have a 99% chance of a successful retirement, many people focus on that tiny 1% chance of failure. 

Uncertainty has power over us, but we can limit its negative impact by accepting and embracing it rather than worrying about it. 

“Positive reframing” lets you take control. It redefines money as a means for joy and fulfillment instead of an ever-eroding defense against potential downsides. This shift in perspective encourages us to see money as a tool to enrich life experiences. Emphasizing the value and impact of purchases instead of their cost can help reframe your spending. 

2. Giving More Can Give You More

If you feel you already have everything you need, you can use your means to help others. Research demonstrates that spending money on others can have a more significant positive impact on one’s happiness than spending it on yourself. Using money purposefully, such as through supporting loved ones or charitable giving, benefits yourself as much as it benefits others. Keep in mind, you need to keep these contributions within your budget just like any spending. 

3. Frame Your Future

What passions did you put on pause or have you been unable to pursue while you focused on your career and family? Retirement allows you to rediscover them. Ask yourself, “What new pursuits most excite me?” 

As you align your spending with your interests and goals, your financial decisions gain a more profound sense of purpose.

The key to happiness at every stage of life is to focus on what is within your control and make time to pursue your passions. Your healthy lifestyle includes living with a sense of goal-driven purpose.

Accepting uncertainty isn’t about resignation but navigating life’s inevitable challenges and adjusting when the unexpected occurs. By recognizing what is and isn’t within your control and budget, you are more empowered to direct your attention to the things that bring you joy.

4. Consider an Annuity from AMBA

Get guaranteed income with the Tax-Deferred Asset Protection from AMBA to help protect your retirement. This annuity is a smart and safe way to diversify your savings and can earn much more interest than CDs or savings accounts. Your association and AMBA’s Tax-Deferred Asset Protection Plan features tax-deferred accumulation of interest, a guaranteed competitive interest rate, multiple payout options, and a nursing home waiver.

Get more info at myambabenefits.info or speak with a knowledgeable AMBA Call Center representative at 1-866-610-4558 M-F 8am-5pm CT.

Source: https://pubmed.ncbi.nlm.nih.gov/18356530

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