There is More to Retirement Planning than Balancing Income and Expenses
Retirement Planning is more art than science. Sure it involves numbers and spreadsheets,
but there are many unknowns that can dramatically effect your projections and – ultimately –
your quality of life in retirement.
Most people approaching or in retirement know that they must balance their retirement income
with their retirement expenses. The tricky part that is often not addressed is guaranteeing
the retirement income and safeguarding against unforeseen circumstances.
There are some incredibly serious issues in play when it comes to a secure retirement in this
day and age. Retirement is not as simple as working, saving and then living off of those
savings. For people either preparing for retirement or already retired, there are a number
of macro-economic and demographic factors that need to be considered.
- Do you know how long you will live?
- Are you sure the economy will behave as you think?
- Have you factored inflation and swings in financial markets into your retirement plan?
- Will government programs like Medicare and Social Security remain constant?
- Will you be able to stay in your home and live life without outside assistance?
- Are you sure insurance will cover any illnesses you develop?
- Have you estimated your expenses properly?
The good news is that there are many financial products designed to help retirees protect
themselves, their finances and their quality of life. And, these products are evolving and
But perhaps the best way to protect yourself is to understand some of the important risks
your finances will face in retirement. Forewarned is forearmed. Understanding these concerns
could mean the difference between enjoying sunsets in your golden years and dreading the
sunset because you can not pay your electric bill – even if you thought you were well prepared.
Learn more about the specific retirement risks listed below, or visit the NewRetirement
to explore how your Retirement Plan stacks up.