If retirement looms for you and your partner, the timing of when each of you decides to leave workforce may not align. In such scenarios, where one spouse is still actively employed while the other has already transitioned into retirement, navigating this period can present challenges. Yahoo Finance's Kerry Hannon joins Wealth! to provide valuable insights on how couples should strategize and manage this phase of their lives.

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This post was written by Angel Smith

BRAD SMITH: Well, retirements it's an exciting time, so I hear. But what happens when your partner retires before you? To break down how to balance money conversations when one half of the couple is retired we have Yahoo Finance reporter Kerry Hannon. Hey, Kerry.

KERRY HANNON: Hey, Brad. Great to be here. This is a big issue, particularly this year, which is peak 65, which means more people are turning 65 this year than in any other year previously. So a lot of people think about retirement. And a study I saw last week, Ameriprise came out with a study, said that most people or most couples are fine with the other person retiring, but very few couples retire at the same time.

And so that becomes an issue because you're shifting from saving to spending. So your roles are shifting in your relationship. And what happens is resentment can really build up because most couples actually do not agree on spending priorities. So it's really critical for people to pay attention to some of these very basic things before this resentment starts to fester.

And so I recommend people really take the time to, you know, have a money date. I mean, prior to stepping away from the workplace, if one partner is stepping away, you need to have that conversation about, OK, where's the money coming from? Like I said to my-- my husband decided he wanted to step out at age 70, but I said, hey, you know, OK, so how are you going to pay yourself?

So you need to think about setting up what we're used to getting a paycheck. So you need to set up which accounts are you going to pull from. These are big questions to ask. And you also need to think about, you know, I think it's a great idea not only to have that money date but also to bring in a financial advisor.

If you're not already working with somebody, it's really important to bring somebody who's sort of unbiased that can holistically look at all your accounts and say, OK, let's set up a recurring payment that's going to cover these costs going into the accounts so that there isn't this disconnect about one person earning and one spending. And so this can become an issue.

And frankly, what's really important is you've got to think about marriage. Marriage is at its very heart a business partnership. So it's cash flow. It's income in. It's spending out. So you really need to be on the same page. And I just think a lot of couples are going to be facing this in the next period of time. So it's important to get a grip on it.

Link:
Retiring at different times? Here are some things to discuss - Yahoo Finance