Turning 60 comes with its own set of doubts, especially when it comes to money. After decades of working hard, saving, and maybe a few financial ups and downs, you might start wondering if you’re really set for the years ahead. The shift from focusing on building wealth to making sure you can live comfortably—and even thrive—into your golden years is a whole new ball game.
It’s not just about having a retirement fund or a Social Security check to look forward to. It’s about having the freedom to enjoy life without constantly worrying about finances. Maybe you’re thinking about travel, hobbies, helping family, or simply having peace of mind that you won’t outlive your savings. These are the kinds of thoughts that pop up more and more once the traditional work years are behind you.
So, how do you know if you’re in a good place financially? Here are 14 signs that show you’re doing just fine. If you can relate to most of these, you’re likely cruising into retirement with confidence.
1. You’ve Paid Off Debt
One of the biggest financial milestones you can hit by 60 is being debt-free. No mortgage, no lingering credit card balances—just you and your money. Without debt weighing you down, your income and savings are truly yours to enjoy.
It’s a major stress reliever if you’re not worried about monthly payments dragging on your retirement income. That sense of financial freedom means you can focus on the fun parts of retirement.
2. Your Emergency Fund is Solid
Even in retirement, life can throw unexpected expenses your way. If you’ve built a healthy emergency fund—enough to cover at least three to six months of living expenses—you’re financially secure.
This cushion means that when something unexpected happens, like home repairs or medical costs, you won’t have to dip into your long-term savings. It’s all about peace of mind, knowing you’re prepared for whatever life might bring.
3. Healthcare Costs Aren’t a Concern
One of the biggest worries for anyone over 60 is healthcare. If you’ve got a solid health insurance plan or Medicare supplemental coverage, you’re ahead of the game. Knowing your healthcare costs won’t drain your savings is a huge relief.
And if you’ve built up an HSA (Health Savings Account) over the years, even better. It shows you’ve been planning for those inevitable healthcare expenses and won’t be caught off guard financially.
4. You Have Multiple Income Streams
Relying solely on Social Security? Not ideal. If you’ve managed to create multiple income streams—whether from pensions, investments, rental properties, or even part-time work—you’re on solid ground.
Diversifying your income means you’re not putting all your eggs in one basket. Having multiple streams also gives you flexibility and stability, which are both invaluable in retirement.
5. Your Retirement Accounts Look Healthy
Take a look at your retirement savings—are they on track? If your 401(k), IRA, or other retirement accounts are where they need to be to support your lifestyle, you’re in good shape. Ideally, you’ve saved enough to cover 70-80% of your pre-retirement income.
Feeling confident when you check your accounts means you’ve been disciplined about saving, and that’s going to pay off in the long run. Retirement’s a marathon, not a sprint, and your financial planning reflects that.
6. You Can Afford to Travel or Enjoy Hobbies
Being able to spend money on what makes you happy—without stressing about it—is a huge sign that you’re financially well off. Whether it’s travel, hobbies, or spoiling the grandkids, having extra money for the fun stuff shows you’re living comfortably.
If you’re booking trips or investing in hobbies with ease, that’s a great indicator that your financial base is strong enough to support your passions.
7. You’re Generous Without Stressing
Are you able to help out your kids, grandkids, or charities without worrying it will throw off your own financial plan? That’s a major sign of financial security. It feels good to give, and doing so without putting yourself in a tight spot shows you’ve done something right with your money.
Being in a position to give back, whether it’s helping with a down payment on a house or supporting a cause you care about, means you’ve got your finances in order.
8. Monthly Bills Aren’t a Source of Anxiety
If your monthly bills are easily covered by your retirement income and savings, you’re in a solid financial place. A big part of financial comfort after 60 is knowing that the essentials—housing, utilities, food—are taken care of without much stress.
When you don’t have to second-guess whether you’ll be able to afford groceries or pay the electric bill, it’s a sure sign your finances are where they should be.
9. You’ve Got a Diversified Portfolio
Having a well-diversified investment portfolio isn’t just something to think about in your younger years—it’s crucial in retirement, too. If your assets are spread across different types of investments (stocks, bonds, real estate), you’re reducing risk and ensuring financial longevity.
A diversified portfolio helps smooth out the bumps in the market, and being smart with your investments means you’ve set yourself up for a comfortable, stable future.
10. You’re Not Raiding Your Savings Too Soon
If you’ve been able to keep your hands off your retirement savings—or only draw what you need—you’re setting yourself up for success. The longer you let your money grow, the more comfortable your future will be.
Being disciplined about withdrawals shows you’re managing your finances wisely, ensuring that your savings will last as long as you do.
11. You’ve Got Long-Term Care Insurance
Long-term care is one of those things you hope you’ll never need, but if you’ve planned ahead and secured long-term care insurance, you’ve taken a huge step in protecting your future.
This coverage means that if you ever need assisted living or nursing care, you won’t have to deplete your retirement savings to pay for it. It’s a thoughtful, responsible move that shows you’re serious about your financial stability.
12. You Have an Estate Plan in Place
Having a will or estate plan set up is a sign you’ve thought ahead and are taking care of the future. It ensures your assets are distributed how you want and spares your loved ones from legal headaches down the road.
If you’ve put your estate in order, it’s not just a sign of financial responsibility—it’s future calmness for you and your family.
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With an honors degree in financial engineering, Omega Ukama deeply understands finance. Before pursuing journalism, he honed his skills at a private equity firm, giving him invaluable real-world experience. This combination of financial literacy and journalistic flair allows him to translate complex financial matters into clear and concise insights for his readers.
With an honors degree in financial engineering, Omega Ukama deeply understands finance. Before pursuing journalism, he honed his skills at a private equity firm, giving him invaluable real-world experience. This combination of financial literacy and journalistic flair allows him to translate complex financial matters into clear and concise insights for his readers.
