It can be frustrating when the numbers don't match! But, you still have options -- you can get the numbers to work for you and you can retire, perhaps even sooner than you think.
What To Do When Your Numbers Don’t Match
First, double check your figures and recalculate to be sure that your numbers are accurate. If, after you’ve run your numbers a second time, you find that things still don’t look like you want them to, you have several options:
Start putting away more money now. Look for low-fee, tax-advantaged methods of saving like those offered by FutureAdvisor.
Delay retirement and work for a few more years to boost your savings. Again, be sure to look for low-fee, tax-advantaged methods of saving.
Consider working part-time during your retirement. For many people, this isn’t as bad as it sounds. You might want to keep busy and one easy way to do that is to work a couple days of the week. You would get the best of both worlds—gainful employment with a steady paycheck, and increased leisure hours.
Save where you’ve been splurging. Cutting a few corners here and there can make a huge difference over a number of years. For instance, think about your living expenses in retirement. Selling a house in an expensive market, then buying a smaller one in a significantly cheaper market might make all the difference you’re looking for. Alternatively, you may consider keeping the big house and renting out part of it.
Evaluate alternative ways of maintaining an income stream during your retirement. Maybe you were looking at your annuity as a way to cover your expenses when really your best option for paying for retirement is the yield from your investments. Or perhaps you can pay yourself by divvying up your principle.
If the figures you come up with aren’t working for you, don’t despair—keep working your options. Outside-the-box thinking might be just what you need in order to make your golden years precisely what you want them to be.