Investing during your retirement years in much trickier
than saving for your retirement. Our recently retired clients often ask
- Is my money at risk in the stock
- Should I be ultra-conservative with my
- Will I outlive my
As you near retirement age, you should be weighing
personal concerns with other realities you may not be considering. First, we’re living
longer; it’s not unusual for retirement to last 30-35 years. Also, the cost of living
continues to rise. Factoring in an average historical inflation of 3%*, and your
retirement income needs can triple over a 30-year retirement.
Balancing all these factors can be challenging, and you
don’t want to be financially teetering in your
Our “Four Step Retirement Plan” is designed to help
you reach your goals.
Guaranteed Income: This includes Social Security,
pensions, and possibly income annuities. We recommend that you have enough
guaranteed income to cover your monthly expenses.
Inflation Protected Bonds (TIPS)**: These U.S.
government bonds adjust for inflation to preserve your purchasing
A Return-Driven Portfolio: This diversified portfolio
of stocks and bonds is more volatile than the first two parts of our plan. However, solid
investments may give you a better opportunity of increasing the value of your portfolio and
Withdrawals: This is perhaps the most important part
of your plan. Your money needs to sustain you throughout your retirement. We'll n
help you determine how much you can withdraw annually so your money will last longer,
and you can maintain your lifestyle.
Let’s sit down and create your four step retirement plan to help you
achieve the financial freedom to choose how you’ll spend your time.
* - Historical inflation rates are not an indicator of future inflation rates.
** - Treasury Inflation Protected Securities (TIPS) are a treasury security that is indexed to
inflation in or-der to protect investors from the negative effects of inflation. TIPS are
considered an extremely low-risk investment since they are backed by the U.S. government and since
their par value rises with inflation, as measured by the Consumer Price Index, while their interest
rate remains fixed.
*** - Diversification does not guarantee a profit or protect against loss.