4 Step Retirement Plan 

Investing during your retirement years in much trickier than saving for your retirement.  Our recently retired clients often ask us:

  • Is my money at risk in the stock market?
  • Should I be ultra-conservative with my money?
  • Will I outlive my money?

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 retirement. 

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 power.

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 outpacing inflation.***

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.