Determining whether you’re financially prepared for retirement starts with looking at your complete financial picture. This may include your retirement savings, investment accounts, Social Security, pensions, annuities, other sources of income, and the expenses you expect to have during retirement.

It’s also important to consider how and when you plan to use your assets. The timing of withdrawals, Social Security benefits, taxes, investment returns, healthcare costs, and unexpected expenses can all affect your retirement strategy.

A retirement plan can help you evaluate different scenarios and identify areas that may need attention before you leave the workforce. It can also help you think through the transition from accumulating assets to using those assets to support your retirement.