Time really flies, doesn’t it? Suddenly, retirement isn’t just this fuzzy idea for “old people” – it’s for us.

Priorities shift during this phase. The decisions you make today can shape whether you’ll be chilling at a kopitiam carefree in your 70s, or stressing about paying medical bills.

Here are five questions people in their 50s often ask when it comes to retirement. Check back in tomorrow for part two of this article.

1. How much money do I need to retire comfortably?

The rule of thumb is that you want enough to replace 70-80% of your current income annually in retirement.

For many Malaysians, a ballpark of over RM1 million in total retirement funds will allow you to lead a “decent”, comfortable lifestyle.

Of course, there is no universal number. Someone who always stays at home will likely need far less than someone who travels to Japan every quarter. Similarly, someone who lives in a rural area might be just fine with a lot less, while whose in major city centres will likely find that expenses can eat you alive if you’re not careful.

The right approach is to list out your expected spending, then factor in medical needs, lifestyle plans, and even hobbies.

2. When should I start withdrawing retirement funds?

EPF is the go-to for the majority of Malaysians. Some people want to cash out as soon as they can – but withdraw too early, and you might run out of money. Withdraw too late, and you might not enjoy it while you’re still healthy.

So, plan your withdrawals in stages. Make sure they match your monthly expenses and any other income you have.

Also think about what returns you can get elsewhere. EPF returns are pretty solid for non-investors, historically better than most “safe” alternatives.

Plus, always check if your investment vehicles are regulated – don’t let your retirement fund be someone else’s payday.

3. How do I manage rising healthcare costs?

Medical costs go up with age: one surgery can wipe out RM250,000 from your nest egg.

The best move? Insurance. Get a proper medical card.

Some people opt for higher deductibles to keep premiums low: this works if you’re prepared to pay the first RM20,00-RM30,000 yourself.

Retiring with seven figures does not mean you’ll never see a hospital bill you can’t pay off. So, review your policy regularly. Cover for critical illnesses, too.

And remember: staying healthy is still the best insurance of all.

4. What’s the best investment strategy for my age?

People think 50 is “too late” for investing. Unless you plan to live for only 10 more years, it’s not. At 50, you might still have 30-40 years ahead. That’s long-term when it comes to investing.

Sure, you will want to shift a portion to safer assets like bonds or fixed deposits, but keeping some exposure to equities (good companies that grow) is smart.

Diversify based on your risk tolerance. Don’t stick to 100% in cash “just to be safe”: inflation is the silent killer of savings.

5. Should I pay off my mortgage before retirement?

Ah, the classic dilemma. It feels great to be debt-free, but draining all your liquid cash to clear your mortgage can reduce flexibility. You might miss investing opportunities or even struggle with emergencies.

Compare your mortgage interest rate to what you can realistically earn investing. If your mortgage rate is low, you might keep it and invest the difference.

If it’s weighing on you mentally or the rate is too high, consider partial repayments or refinancing. Ultimately, balance is key.

This article first appeared in kclau.com.

KC Lau’s first book ‘Top Money Tips for Malaysians’ has sold thousands of copies. He launched the first online personal-finance course specifically designed for Malaysians, the Money Automation System, and co-founded many other online financial courses including the Bursa Method, Property Method, Founder Method and REIT Method.