Retirement Readiness



The state and/or degree of being ready for retirement. Retirement readiness typically refers to being financially prepared for retirement, or the degree to which an individual is on target to meet his or her retirement-income goals so that the standard of living enjoyed while working will be maintained after retirement.


Although retirement readiness depends on each person's financial situation, many financial experts believe that retirees need between two-thirds and three-quarters of their pre-retirement income in order to maintain the same standard of living in retirement as they enjoyed when they were working.

Financial readiness is only one part of being ready for retirement. Being prepared mentally, socially, emotionally and physically are also important; you need to take part in activities that will satisfy these aspects of your life. Knowing where you will live, when you will retire and whether you will go back to work or school are all important aspects of financial readiness.

  1. Retirement

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  3. Life Expectancy

    1. The age until which a person is expected to live. 2. The remaining number ...
  4. Spending Phase

    The period in a person's life following retirement in which earning income has ...
  5. Overcontribution

    Any contribution to a tax-deductible retirement savings plan exceeding the maximum ...
  6. Post-Retirement Risk

    The potential risks to financial security that a retired individual could encounter. ...
  7. Pension Risk Transfer

    When a defined benefit pension provider offloads some or all of the plan’s ...
  8. Death Master File (DMF)

    Also known as Social Security Death Index. A list of people whose deaths were ...
  9. To Fund

    A type of target-date retirement fund whose asset allocation becomes most conservative ...
  10. Through Fund

    A type of target-date retirement fund whose asset allocation includes higher ...
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