RII is a process that helps our clients to understand and plan for the risks associated with their assets in retirement. As you move toward retirement, your concerns switch from accumulation to asset distribution. While you and/or your spouse are becoming increasingly aware of this, you may wonder if your hard work and savings toward this goal will pay off. Are you on track to achieve the retirement you desire? Have you and your spouse accumulated enough assets so that you do not out live your savings? You may even wish to retire earlier than what the government is now calling “normal retirement age” of 67.
Retirement at any age requires us to address FIVE critical challenges:
Timing and Withdrawal Amounts – What is the right amount to take out on an annual basis when we couple in Social Security, private and public pensions AND how will a spousal death affect those amounts?
Taxes and Inflation – often ignored or forgotten about, these two culprits can eat away at your purchasing power and what you can afford in retirement.
Longevity – does long lifetimes exist in your family? Have you taken better care, physically, of yourself than your parents? We need to plan for one of the married couples to make it to at least age 90.
Asset Allocation and Market Volatility - what if we retire at the wrong time and the equity market collapses? Would it be important to understand what “speed limit” you are driving down the “retirement road”?
Healthcare Costs – this is one of the biggest unknowns that retirees worry about. Would unexpected healthcare costs put a wrench in your plans?
Let’s address these together.