4 Essential Retirement Assets

Having robust TSP savings is important, but these are four other retirement assets that should not be overlooked.

We all know that the Thrift Savings Plan (TSP) is important in retirement, but there are 4 other assets that are often overlooked but are key factors in having a great retirement.

After all, I don’t know anyone that wants just an “okay” or “average” retirement. I certainly want an incredible retirement and I hope you do too. 

Vroom Equals Freedom

Having a reliable car is one of the most important things to own in retirement for two important reasons. 

  1. A reliable car gives you the power to do what you want to do when you want to do it.
  2. As you age, it is much harder to deal with car problems. 

A good car gives you the freedom to go do all your long-awaited retirement adventures without worrying about major car problems. After all, having car problems on a road trip is much more difficult at age 75 compared to 45, but a reliable car doesn’t have to mean an expensive car.

Health is Wealth

Your retirement will only be as good as your health. You can only experience things as well as your body will let you experience them. Your body is often the limiting factor so it is crucial you take care of it, especially as you age. 

One of the best ways to ensure an active retirement is by staying active now. Having gym equipment at home or even a gym membership can often be the difference between having a long and active retirement and a much shorter one, but of course, it is up to you to use the equipment 🙂 

Emergencies Love Retirement

Emergencies happen, but for some reason, they seem to happen a lot more once you retire. It is just a matter of time before your roof needs to be replaced or your car gives out. 

Having an emergency fund even once you are retired is crucial to make sure you are prepared. 

Some people might use their TSP as their emergency fund and this can sometimes work fine, but keep in mind that traditional TSP withdrawals are taxable, so having some sort of an emergency fund outside the TSP (on which the taxes are already paid) can make emergencies less stressful as you wouldn’t have to worry about the tax implications when something comes up. 

The Coverage Paradox

Having the right insurance in retirement can be the difference between an okay retirement and a great one. 

The three types of insurance that tend to be the most important in retirement are Health, Life, and Long Term Care Insurance. 

  • For health insurance, you want to make sure you have a great FEHB that merges well with Medicare.
  • For life insurance, you want to think through if you need any coverage at all and then find the best place to get it.
  • For long-term care insurance, you want to think through if getting a policy makes sense for you or if you should just self-insure.

About the Author

Dallen Haws is a Financial Advisor who is dedicated to helping federal employees live their best life and plan an incredible retirement. He hosts a podcast and YouTube channel all about federal benefits and retirement. You can learn more about him at Haws Federal Advisors.