You Shredded your AARP card. Now What?

People say 50 is the new 40, but delivered with your birthday cards when you turn 50 is your AARP membership card. Yes it's true, your official "Go Pass" in the American Association of Retired. Quite ironic, since retired 50 are not plausible or realistic for 99.9% of us.

So having shredded your AARP card (not special dinners early risers necessary), it's time to get realistic about what you need to do to get your insurance and financial life in 'order. Here's a quick checklist to help you do it.

Make sure your retirement planning is on track. Hiding your head in the sand because your 401 (k) has taken a beating over the past several years is not a pension plan. While it can be painful to dissect what you have now and what you have to register (probably more than you are), it's better than the alternative :. Living in poverty in retirement

Add your life insurance coverage. life insurance rates have fallen recently and is often less today than 10 years ago. Sit down with an agent to make sure you are not too much for your coverage and you have coverage tailored to your risk.

Explore the long-term care insurance. It is important to understand that these are not "home insurance nursing" -80% of people who need long term care services are received in a Community framework, which for many of us will be our home. the long term care insurance protects against financial risk (aka drain your retirement funds) potentially needing long-term care services at home or in an institution, due to illness chronic or disability.

Review your estate plan (or get one if you do not have it). I know this is huge, as it is for me too, and I'm in this business. Keep in mind that the plan you had in place 20 years ago (when choosing a guardian for your children was the key) must be reconsidered. Now it is about more about managing your assets, reducing property taxes and debt. Your advisor may be able to help you with this, or can refer you to someone who can.

Get your legal documents in order. Make sure that you have durable power of attorney, a legal document that gives someone that you trust the ability to act on your behalf if you were to become disabled or incapacitated. Also, be sure to write a health care directive, which gives instructions on medical treatment if you are unconscious or terminally phase permanently.

You did not go alone. If you do not have an advisor, you can find one in your community here.