As people approach their retirement years, they become more serious about planning for life after work. A little diligence in the years prior to retirement can be the difference between financial struggle and relative comfort and security.

While many regard age 65 as the typical retirement age, many people retire even earlier. The United States Social Security System regards age 62 as the earliest age to receive retirement benefits, with age 70 being the oldest. Retirement age can depend on one's vocation. Teachers and government workers may retire at age 55 or younger. Actors and athletes may retire in their thirties, while others may not give up working until their seventies or eighties.

The primary need for a retired person is financial stability. Most people do not want to have to keep working once they reach age 65. Some people may desire to keep working beyond the normal retirement age, but that should be their choice, and not a necessity.

There are several factors necessary for achieving financial security. A retired person should have a steady, reliable stream of income, or adequate savings to fund any expenditures. The main sources of income would typically be Social Security benefits, pensions and 401(k) or other Individual Retirement Accounts (IRAs).

Unfortunately, Social Security benefits may not be a given in the future. The United States Social Security System is projected to start incurring losses in 2018. That means that the system's expenditures will exceed tax revenue. At that point, the government will need to dip into the Social Security Trust Fund, which is projected to be exhausted by 2042. Depending on one's age, a person should look closely at whether they can expect to receive Social Security benefits on an ongoing basis.

Given the uncertainty of Social Security, a retiree should have other sources of income. Pension plans and IRAs are investments that should be contributed to on a regular basis in one's younger years. Periodic monitoring and reallocating these investments will ensure that a person has enough financial security to live comfortably from their sixties on. The American stock market has historically shown that one would need to live on about 4% of their total investment portfolio per year to be financially stable through their retirement years. Anyone who has not consulted with a financial advisor regarding these kinds of investments by age 40 should do so immediately.

No one should enter their forties without a life insurance policy. This will provide money for a person's beneficiaries should anything happen to the policy holder. A well-planned policy will give the beneficiaries income to live on for many years, even through retirement.

A paid-off house can be a wonderful tool for keeping monthly expenses low. Homeowner's equity can also be a convenient source of money if any unexpected financial needs arise. Many times, a retired person or couple will sell their larger home and purchase a smaller one. They can then put the income from the sale into a savings account or a similar, interest-bearing instrument.

An important factor in achieving financial stability in the retirement years is keeping expenses to a minimum. The level at which this concept can be put into practice depends on one's income, resources, and lifestyle. As mentioned above, it's a good idea to own a house that's completely paid off. Regular exercise and sensible eating habits will promote good health, which will mean less medical bills. Cutting out expensive habits like smoking will help keep one's costs at a reasonable level.

Aside from financial stability, there are other factors for a retired person to consider. One should be able to adopt a lifestyle that suits their health, values, and social needs. Retirement communities have become very popular among retirees in recent years. These locales support a slower, quieter pace of life, which appeals to a good deal of retired persons.

When a person reaches their seventies or eighties, they often need additional care beyond what they can provide for themselves. The preferred option for most people is to have their own family members care for them. A person is usually closest with their family members, and will feel more comfortable with familiar faces and sounds.

Being able to hire a caretaker is also a good way to meet healthcare needs, because the retiree can stay in their own residence. Many older people resist the thought of moving out of their home or dwelling place. If a home caretaker is not an option, then retirement or nursing homes offer similar care, but the ongoing cost can be expensive.

Planning one's social needs and daily activity can be an important part of any retirement. Surrounding oneself with friends and family can promote happiness and better physical and mental health. We all need a certain level of intimacy in our lives to live life abundantly. Many retirees enjoy having a daily routine that involves people, exercise, and rest. All of these things, along with volunteering and travel, will provide a retiree with enjoyment and purpose.

Finally, a person approaching retirement should always have a living will. A living will is a document which expresses a person's desire when it comes to caregiving of the individual. This allows a person to give clear directives concerning the extent and type of treatment in case they become incapacitated. The absence of a living will can lead to confusion on the part of healthcare workers, and also to family conflict.