Despite the fact that your are retired, your money needs to keep working. Actually, your money needs to work even harder. If you’ve spent years participating in your employer’s retirement plan and concentrating on accumulating assets for retirement, you should now be concerned with harvesting those assets and maximizing your income. If you are like most individuals, you change the oil in your car more often than you review your portfolio. Given the uncertainty of the future, now is a good time to put yourself through a financial “tune-up.”

There are basic considerations in planning for the lifestyle you expect to maintain during retirement. How long does your money need to last? What are your expenses? What are your sources of income? There are also things over which you have little to no control.

Unanticipated expenses such as long-term health care, the rate of inflation, and your investment returns are among several unpredictable factors that make it difficult to plan your financial future with accuracy. Therefore we have to develop a plan based on reasonable estimates and projections. Even though you’re already retired, it’s not too late to develop a plan if you haven’t already.

Determining if you have enough to live the lifestyle you want.

Most financial planners say that you should plan to live until at least age 90. Experts also estimate that most people will need between 70 to 80 percent of their pre-retirement income during retirement. This must be adjusted according to the lifestyle you wish to lead. Do you like to travel, or are you happy to just putter in your garden? Do you plan to stay in your house, or lower your housing expenses by moving into a smaller house or condo? And keep in mind that the hours you previously spent working will now need to be filled with something else.

Managing Health Care Coverage

Health care is another major cost of retirement, especially if you retire before you or your spouse are eligible for Medicare. Even once Medicare goes into effect, you may need to purchase “Medigap” insurance to cover all of the routine expenses not covered by Medicare. Lucky retirees are insured by their previous employer’s health policies, although this is not as common as in the past. Additionally, you should consider long-term care insurance in case you or your spouse need to go into a nursing home.

“We never considered the cost of long-term care, but at $200 a day my wife’s six-month stay cost us about $36,000. Fortunately she recovered and is now back at home with me,” said Louis, a retired accountant.

“A financial adviser ran some projections which showed me that if I kept my money conservatively invested, I’d run out of money in 14 years!” said Joan, a retired pediatrician. “That clearly wasn’t acceptable, so we reallocated my portfolio and lowered my spending. Now my money should last until I’m 90 without having to compromise the lifestyle I’ve grown accustomed to.”

Fortunately, Joan went through this exercise early in her retirement.

Whether you are already retired, or will be shortly, you can take steps now to help reach your goals. It’s time to enjoy your retirement years, knowing that your money is working as hard as you did.

Marc A. Pellerin is an associate vice president and investment advisor with Advest Inc. in Lewiston.