Retirement presents a new adventure and most individuals are interested in achieving financial security or the ability to maintain their desired lifestyle without being employed. In depth analysis is required to gain a proper understanding of funding requirements and to project life, work and retirement expectancies. When beginning your retirement plan, its important to understand how you will pay for your expenses. We want to forecast the cost of your retirement and its important to remember that these costs will likely go up not down. i.e medical, food, travel, utilities, entertainment, etc…. We want to generate an optimal distribution amount that will provide sufficient income to maintain a retiree’s lifestyle.
Factors that affect retirement
- Inflation- causes a loss of purchasing power
- Market Volatility
- Poor Investments
- Lack of understanding
Understanding how these risks impact us and how to safeguard assets is vital to maintain income that has little or no risk of being depleted.
Retirement plans, offer individuals the opportunity to accumulate assets that can be used to provide financial security during retirement. The rules that govern them are frequently amended by new legislation and current rules and choices have the ability to change at any time.