Retirement planning, in a financial context, refers to the allocation of finances for retirement. This normally means the setting aside of or other to obtain a steady at retirement. The goal of retirement planning is to achieve financial independence, so that the need to be gainfully employed is optional rather than a necessity.
The process of retirement planning aims to:
- Assess readiness-to-retire given a desired retirement age and lifestyle, i.e. whether one has enough money to retire; and
- Identify actions to improve readiness-to-retire.
- Acquire financial planning knowledge
- Encourage saving practices
Read more about Retirement Planning: Obtaining A Financial Plan, Modeling and Limitations, The Monte Carlo Method, Other Models
Famous quotes containing the words retirement and/or planning:
“The student who secures his coveted leisure and retirement by systematically shirking any labor necessary to man obtains but an ignoble and unprofitable leisure, defrauding himself of the experience which alone can make leisure fruitful.”
—Henry David Thoreau (1817–1862)
“My consciousness-raising group is still going on. Every Monday night it meets, somewhere in Greenwich Village, and it drinks a lot of red wine and eats a lot of cheese. A friend of mine who is in it tells me that at the last meeting, each of the women took her turn to explain, in considerable detail, what she was planning to stuff her Thanksgiving turkey with. I no longer go to the group.”
—Nora Ephron (b. 1941)