When it comes to retirement, many people spend more time planning their next vacation than preparing for life after work. Even if you have saved and invested, you may worry it might not be enough. Too often people hope it will all work out, but hope is not a strategy.
A realistic concern for many who are facing retirement is the fear of outliving retirement income. Growing old is not what it used to be, and that is a good thing. People are living longer due to better educations–resulting in better health, higher income, and a higher standard of living in retirement. As people live longer, it is increasingly more important to ensure your retirement income lasts, too.
While the retirement of your dreams will not happen by accident, a little planning and strategizing, coupled with innovative financial products, will put you on a clear path to the retirement you have always dreamed of.
When it comes to retirement planning, we look to explain:
- Taxes: Are you deferring taxes? Are you paying taxes on the seed or the harvest? Do you expect tax rates to increase or decrease in the future? Do you know if your retirement plan is tax-efficient? Taxes significantly affect your net spendable income in retirement. Are you prepared?
- Market Risk: Is your retirement subject to stock market volatility? If you are at or near retirement, would a severe stock market adjustment devastate your current or projected lifestyle? Would you enjoy market gains without experiencing market losses?
- Health: The average age of a heart attack, stroke, or cancer is age 43; due to medical advances and early detection most live to age 65. When sickness strikes, it is hard to go to work, provide for your family, and continue planning for your future. For many, sickness is the #1 cause of bankruptcy in America, but it does not have to be that way.
- Lifetime Income: Due to longer life expectancies, we look for strategies to guarantee an income stream to supplement retirement income, to give you peace of mind in knowing you cannot outlive your money.
- Liquidity: Life happens, both good and bad. When it does, it is nice to have access to your money, if and when you need it, without having to pay taxes and penalties.
- Legacy: Once you and your loved ones are taken care of, you can leave a legacy for your children and grandchildren. Give your loved ones an incredible gift or leave a gift to your favorite non-profit organization. With some preparation, you can leave a financial legacy that will last.