Retirement doesn’t arrive on a single day. It’s the end of a long runway, and what you do along the way matters. The decisions you make 10 years out are different from the ones you’ll face 5 years out, and different again in the final year.
This retirement countdown checklist breaks the runway into stages, and ties each one to the three goals of accumulation, protection, and income, from our overview, Protection, Accumulation, and Income: The 3 Goals Behind Every Annuity Decision.
The Countdown at a Glance
| Stage | Main Focus | The Big Question |
|---|---|---|
| About 10 years out | Accumulation | Is my savings growing at the right pace for my goals? |
| About 5 years out | Protection | How much of my savings can I afford to put at risk? |
| About 1 year out | Income | Will guaranteed income cover my essential expenses? |
| Retirement year | Putting it all in motion | Is everything set up to work together? |
About 10 Years Out: Focus on Accumulation
With a decade or so to go, there’s still time for your savings to grow, so this is the stage to make sure you’re taking full advantage of it.
☐ Maximize contributions, including catch-up contributions if you’re eligible
☐ Capture any employer match you’re not already getting
☐ Take stock of every account, including old 401(k)s from past employers. Our IRA Rollover Guide explains how to consolidate them without triggering unnecessary taxes.
☐ Estimate your retirement income need, using a method like the one in How Much Retirement Income Do You Actually Need?
☐ Review your savings mix, so you understand how much is exposed to market swings
About 5 Years Out: Shift Toward Protection
With five years or so left, a large market drop has less time to recover, and can do lasting damage if it happens right around the time you start withdrawals. We covered this risk in 7 Retirement Mistakes That Could Cost You Thousands.
☐ Decide how much you can afford to see drop, and consider protecting that portion
☐ Look at strategies designed to protect principal, such as fixed or fixed indexed annuities, for money you’ll need for retirement income. Our guide to What to Look for in a Fixed Indexed Annuity is a useful starting point.
☐ Start planning your Social Security claiming age, since it affects your income for life
☐ Think about health coverage, especially if you plan to retire before Medicare eligibility
☐ Reduce high-interest debt where you can, so it doesn’t follow you into retirement
About 1 Year Out: Build Your Income Plan
In the final stretch, the question shifts from “how much have I saved?” to “how much dependable income will I have?”
☐ List your guaranteed income sources, such as Social Security and any pension, and compare them with your essential expenses
☐ Identify any gap, and consider how to cover it with guaranteed income, such as a personal pension or income annuity
☐ Make pension and survivor elections carefully, since many are permanent
☐ Plan your Medicare enrollment around the window that surrounds your 65th birthday
☐ Set aside a cash cushion so a market dip doesn’t force you to sell at the wrong time
☐ Review beneficiary designations on every account and policy. See Estate Planning Basics for Retirees.
The Retirement Year: Put It All in Motion
☐ Finalize your income plan, including when each source starts
☐ Complete any rollovers using direct, trustee-to-trustee transfers
☐ Understand your withdrawal order, and how it affects taxes
☐ Know your Required Minimum Distribution timeline for tax-deferred accounts
☐ Plan for rising costs, since inflation will affect your purchasing power. See Inflation and Retirement Income.
Don’t Wait for the Last Year
The most common regret we hear isn’t about a single bad decision. It’s about waiting to look at the whole picture until the final months, when fewer options are left. Starting the countdown earlier gives you more choices, and more time to make them thoughtfully.
Where Does Your Plan Stand?
At PAG Advisory Group, we help South Carolina and Charlotte-area pre-retirees work through each of these stages, with a focus on protection, accumulation, and income. Visit our page on retirement income planning to learn more.
This article is for general educational purposes and is not tax, legal, or investment advice. Rules for contributions, Medicare, Social Security, and required distributions change over time, so confirm current rules with the appropriate agency or a qualified professional. PAG Advisory Group specializes in insurance-based retirement strategies and does not offer securities.
Not sure which stage you’re in, or what to tackle first? Schedule a free retirement review and get a clear, personalized starting point.
