You've worked hard all your life, and now, you're finally beginning the countdown until your retirement date rolls around. The months leading up to your official workforce exit can be exciting. But it's also important to tackle some essential moves during that time. If you're planning to wrap up your career in 2024, here are a few key items to discuss with your employer now.
1. Payouts for time off not taken
Your company may have a policy that entitles employees to get paid out for things like accrued and unused vacation and sick time. Take the opportunity to discuss that with your employer so you can see how much of a payday, if any, is coming your way upon your retirement.
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Many people worry that their savings won't hold up well once they need to start tapping their nest eggs. But let's say you also have a lump sum of money coming from your employer. That might make you feel better about making the transition from full-time work to retirement.
2. Ongoing part-time work
Retirement can be a challenging time for a lot of people. You may be looking forward to having your days to yourself, but it's actually quite difficult to go from a full-time work schedule to suddenly not having a job at all. You're going to be left with many hours to fill during the workweek. And if you don't have a ton of money in savings, staying busy might prove challenging.
That's why it's a good idea to discuss the possibility of ongoing work with your employer. Clearly, you don't want to uphold a full-time schedule. If you did, you wouldn't be retiring. But it may be possible to stay on your company's payroll on a part-time basis, or to consult on certain projects on an as-needed basis.
Discuss your options with your employer and make it known that that's something you're interested in. Aside from filling your days, the extra money might come in handy, especially if you find that you're struggling to get by on a combination of savings and Social Security.
3. Continuation of health insurance
Medicare eligibility begins at age 65. But you may be retiring at a younger age, which means you'll need to figure out what to do for healthcare coverage.
You may be eligible to keep your employer health insurance for a period of time through COBRA. That's an expense you'll need to pay for, though. It may also be possible to stay on your employer's health insurance plan if you remain employed on a part-time basis, which is why it's worth having that conservation. And if you can't do that, make sure to figure out the exact date your coverage will end so you can work on a backup plan.
If you have your eyes on a 2024 retirement, then now's a good time to start tackling some key last-minute tasks, like assessing your investments and getting an estimate of your monthly Social Security benefit. Talking to your employer about the above items could put you in a stronger position to retire with confidence and on schedule.
