Retiring in 2026? 3 Essential Moves to Make This December.

For many people, 2026 is shaping up to be a pretty ordinary year (aside from the threat of tariffs, persistent inflation, and the fear of a broad economic meltdown). But if you're planning to retire in 2026, it's a year you may be pretty darn excited for (aside from, you know, all the stuff just mentioned).

But if you're looking to retire in 2026, it's important to be prepared financially. Here are three moves to make in December if that's your game plan.

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1. Figure out if you should claim Social Security benefits

If you'll be at least 62 years old in 2026, you'll be eligible to sign up for Social Security. But that doesn't mean you should.

You're not eligible for your monthly Social Security benefits without a reduction until full retirement age arrives. If you were born in 1960 or later, that's not until age 67.

The Social Security Administration will also reward you with boosted benefits for delaying your claim past full retirement age. Each year you hold off gives you an 8% lift, and that incentive doesn't run out until age 70. So you could, theoretically, boost your benefits by up to 24% if 67 is your full retirement age.

Either way, it's important to decide what you're doing as far as Social Security is concerned before you retire. Don't assume that claiming benefits immediately is your best bet, since it could mean slashing a crucial income stream for life.

2. Estimate out how much income you'll get from your savings

Hopefully, if you're gearing up to retire in 2026, it means you're pretty happy with your IRA or 401(k) balance. But while you may be looking at a pretty sweet number on screen, it's important to understand how much annual income your savings will provide you with. From there, you can set a budget to make sure your needs and wants are covered.

Now a lot of financial experts will probably tell you to use the 4% rule to manage your IRA or 401(k). If you follow that guidance, you'll withdraw 4% of your retirement plan balance in 2026 and adjust withdrawals in future years for inflation.

But you definitely don't have to use the 4% rule to manage your savings. And you probably shouldn't use it if these factors apply to you:

• You're retiring at a notably early or late age (for example, before age 60 or after age 70)
• Your portfolio is heavily loaded with either stocks or bonds, as opposed to being more balanced

The reason is that the 4% rule is designed to help your money last for 30 years. If you're retiring in your 50s, you may need it to last longer. If you're retiring in your 70s, you may not be looking at 30 years of withdrawals.

The 4% rule also assumes that your portfolio contains a fairly even mix of stocks and bonds. If you're more stock-heavy, you can probably get away with larger withdrawals (though make sure you understand the risk of having a lot of your money in stocks). If you're more bond-heavy, a 4% withdrawal rate may be too aggressive.

3. Schedule out your newfound free time

The idea of not having a job to report to might sound incredible -- until you realize how boring it could be to not work. This isn't to say that you can't fill your days with meaningful plans and activities. But it's important to know what you'll do with your time before your retirement begins.

A good way to start off retirement on a sour note is to resign from your job and simply wing it in the weeks and months that follow. Instead, come up with a schedule to make that transition easier. And it doesn't have to be a particularly compelling one.

Your schedule might look something like this:

• Monday – errands (supermarket, bank, etc.)
• Tuesday – cook for the week
• Wednesday -- explore a hiking trail or park you've never visited before (or watch a new movie or two if the weather doesn't cooperate)
• Thursday -- volunteer at a local food pantry or animal shelter
• Friday -- tackle a home improvement project
• Saturday -- visit your grandkids
• Sunday -- clean, do laundry, take a break for a nice brunch in town

This is, of course, just one example. And you also do not have to stick to the same schedule week in, week out during retirement. The point, however, is to have a game plan initially so you don't end up lost.

Retirement is certainly a milestone to look forward to. If 2026 is the year you think that's happening, then make sure to tackle these important moves first so you go in truly prepared.

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