Finance Roll

It's no secret that between the year 2007 and 2030, some 78 million baby-boomers will retire. But with the growing financial crisis looming in Social Security, many are wary of how long their benefits will last. Add to that a genuine concern over whether or not they have saved and invested enough for retirement and you can understand the stress level of 41 million people who are now ages 50 to 60.

What choices you make and what you do in the next few years will be key to your future security. This is the time to maximize your efforts to save for retirement, thoughtfully adjust your investment portfolio and carefully consider exactly what you'll do for income security when you no longer have a paycheck coming in from your job or business. Here are six practical ideas that can help you make the necessary adjustments:

• Move to a Less Expensive Region of the Country

America is full of opportunity, and there are many communities where the cost of living balanced with the lifestyle, health care services, community and recreational facilities are well-suited to your needs.

• Get a Financial Makeover

Hiring a financial advisor who has the credentials, experience and personal integrity you need would be the next step. As you close in on your retirement years, monetary accumulation shifts to protecting and preserving the money you have.

• Reconsider What You Live On

Many financial advisors suggest you limit your spending and carefully monitor where every dollar goes in the five years prior to 'pulling the trigger' on your retirement. Budgeting makes sense anytime, but when you have to make your money last longer, it's imperative that you are on top of expenditures by category and average dollar spent per month.

• This is a Drill, So Look at What You're Doing

In your five-year 'get ready' period, make up a spending budget that reflects only the income you expect from your social security, investments and other savings. Then in the first year, fastidiously track every penny. Your results in the first year can be used to adjust in the second year, third year and so on. That way, by the time you 'arrive' at retirement you'll know whether you can really stop working or whether you'll need to either find part-time work, have a business of your own, or make adjustments in your investment portfolio - or all three.

• Eyeball Your Calendar, then Circle Your Retirement Date

Many people assume that Age 65 or 67 or 70½ is their 'ideal' retirement date. If you were to circle a date on your calendar and treat that as the day you 'stop working' you may be in for something of a surprise. 'Active Retirement' is a lifestyle based on enjoying what life has to offer - time with family, enjoying recreational pursuits, travel, etc.

It can also include owning a small business of your own that you enjoy. Look at your hobbies, avocations and community interests. You might have a part-time or full-time income waiting for you in those fields. You might even have a full-time income from a part-time enterprise. For example, you might start an e-commerce business or own rental properties, etc.

• Adjust Your Retirement Account

If you have 401(k) at work, you'll probably do well to roll it over to an Individual Retirement Account ('IRA'). If you've had these plans at previous employers, you can roll it over into a 'Self-Directed IRA' and use the money for investments you're familiar with. For example, the money might be used to invest in income-producing real estate, with growth and income being in favor of your retirement account. Then when you retire, you'll enjoy the benefits of having invested well in holdings that grow in equity and have paying tenants.