Being financially prepared for 2026

If you plan to retire in 2026 – or just want to be a big step closer – now’s the moment to line up a few practical projects you can chip away at over the next twelve months. Don’t think “perfect plan.” Think “progress.” Pick three to start in the first quarter, then add more as you build momentum.

1. Put your retirement date in writing.

Circle a target year (even a ballpark) and sketch out the basics: monthly spending for housing, travel, grandkids, hobbies. Then list your income sources – Social Security, pensions, rental income – and calculate your gap. Getting it down on paper turns a fuzzy goal into a plan you can act on.

2. Make your 2026 savings goal explicit.

Not just a percentage – write down a dollar amount for the year and translate it to “per paycheck.” Then automate it via payroll deferrals and recurring IRA deposits. Automation beats good intentions every time.

3. Align your investments with your time frame.

Builders (10+ years to retirement), Transitioners (about 5 years before to 5 years after), and Sustainers (already retired) all need different risk profiles. Check your investment mix: cash for emergencies and one year’s worth of withdrawals, fixed income for the next 5-10 years of planned draws, and equities for long-term growth and dividend compounding. If you’re off target, schedule a rebalance.

4. Consolidate and simplify.

List every account – 401(k), IRA, Roth IRA, bank, taxable. Label each by purpose: growth, income now, income later, reserves, legacy/charity. If you have “orphan IRAs” and accounts you haven’t looked at in a while, combine where appropriate and clean up your recordkeeping. Fewer moving parts, fewer mistakes.

5. Build your retirement paycheck on paper.

Within five years of retiring, start laying out a one-page “income map.” Add up Social Security, pensions, annuities, rentals, then subtract this total from your spending goal to see what must come from your portfolio. That insight will help you decide the withdrawal order (taxable vs. tax-deferred vs. Roth) and your investment mix. To me, that’s the essence of a True Wealth retirement – living long, living well, and living with purpose. Because the goal isn’t just to make your money last a lifetime. It’s to make the rest of your life as rich and meaningful as it can be.

6. Get intentional about Roths.

Higher tax rates or large RMDs in the future can make Roth dollars powerful. If you’re working, evaluate Roth 401(k) contributions and whether you can add to a Roth IRA (via contribution or conversion). If you’re retired, estimate your future brackets and explore modest pre-RMD conversions to “flatten” lifetime taxes – ideally coordinated with your tax professional.

7. Set a Social Security decision timeline.

Look up your estimated benefits at 62, full retirement age, and 70. Choose a default claiming age based on health, family longevity, work plans, and spousal coordination. Put a reminder on the calendar to revisit a year or two before filing. You’re not locking in yet – you’re creating a smart process.

8. Build game plan for taxes.

After you file, make note of your bracket and any surprises. Mid-year, project next year’s income, withdrawals, dividends, capital gains, and potential Roth conversions. In the fall, update your plan with better numbers and decide on year-end moves: harvesting losses, charitable strategies, or topping off a tax bracket with conversions.

9. Start creating your legacy.

Make sure your will, powers of attorney, and healthcare directives are current. Review all beneficiaries – IRAs, 401(k)s, TOD/POD accounts, life insurance – and align them with your broader plan. These are gifts of clarity to the people you love.

10. Strengthen your defenses.

Review life, disability, and umbrella liability coverages – confirm what still fits and shop if needed. Understand your Medicare options and costs before open enrollment. Address long-term care funding. For privacy, use a password manager, enable two-factor authentication, and keep an up-to-date list of accounts and key contacts. Ensure at least one trusted person knows how to access your information securely.

Relax. You don’t have to check everything off in January. Start with three projects that matter most, get some early wins, and let that momentum carry you through the rest. A year from now, you’ll likely feel lighter, clearer, and closer to your version of True Wealth.

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Investing involves risk and you may incur a profit or loss regardless of strategy selected, including diversification and asset allocation. Raymond James and its advisors do not offer tax or legal advice. You should discuss any tax or legal matters with the appropriate professional.