Retirement

Should You Borrow From Your 401(K)?

The average household with credit card debt had a balance of $15,983 in 2017, nearly eclipsing the peak of $16,900 in 2008.¹ With the average credit card annual percentage rate sitting at 14.9%, it represents an expensive way to fund spending.² Which leads many individuals to ask, “Does it make sense to borrow from my 401(k) to pay off debt or to make a major purchase?”³ Borrowing from Your 401(k) No Credit Check—If you have [...]

2018-11-29T17:35:05-04:00Retirement|

Thinking Of Retiring Abroad?

According to a 2017 report from International Living Magazine, Mexico tops the list of places to retire abroad. Panama ranks second, followed by Ecuador, Costa Rica, and Colombia.¹ Many retirees consider moving out of the country in search of greater affordability, adventure, and a change in lifestyle. However exciting retiring abroad may sound, it deserves considerable planning. Things to consider Where do you want to retire? There are many starting points for this search, but [...]

2018-11-29T17:37:32-04:00Retirement|

Certain Uncertainties In Retirement

The uncertainties we face in retirement can erode our sense of confidence, potentially undermining our outlook during those years. Indeed, according to the 2017 Retirement Confidence Survey by the Employee Benefits Research Institute, only 18% of retirees say they are “very confident” about having enough assets to live comfortably in retirement. Almost 40% were either “not too confident” or “not at all confident.“ Today’s retirees face two overarching uncertainties. While each on their own can [...]

2018-11-29T17:25:26-04:00Retirement|

Money That Buys Good Health Is Never Ill Spent

According to the Kaiser Family Foundation, the average person covered by Medicare has out-of-pocket medical expenses in excess of $5,500 a year. Premium costs accounted for 28% of the total, while long-term facility costs, medical supplies, prescription drugs, and dental care claim the rest.¹ With healthcare expenses in the spotlight, it’s incumbent upon us to make sure our retirement strategy anticipates these costs. But that’s not enough. Remember, healthcare coverage (including Medicare) typically does not [...]

2018-11-29T17:34:05-04:00Retirement|

Inflation – Back To The Future

Inflation sometimes seems like one of those afflictions of an era long since passed into the history books. While it’s true that double-digit inflation has been absent for the last 30 years or more, you may remember the high inflation years of the 1970s.¹ Will the levels of U.S. public debt and loose monetary policy revive the inflation rates of yesteryear? No one really knows. However one thing is certain—even low inflation rates over an [...]

2018-11-29T17:29:52-04:00Retirement|

Is A SEP-IRA Right For Your Business?

If you're like many small business owners, running your own business is an all-consuming endeavor. In the face of everyday demands, choosing a retirement plan for your business can become a casualty. The idea of establishing a plan could evoke worries about complicated reporting and administration. If this sounds familiar, then you may want to consider whether a Simplified Employee Pension (SEP) may be right for you. A SEP can be established by sole proprietors, [...]

2018-11-29T17:30:22-04:00Retirement|

Choosing A Retirement Plan That Fits Your Business

One survey found that 79% of small business owners expect at least some of their retirement income to come from tax-advantaged retirement savings accounts.¹ If you have yet to develop a retirement plan for your business, or if you're not sure the plan you've chosen is the right one, here are some things to consider. How much can my business afford to contribute? The cost of contributions may be managed by the plan type. A [...]

2018-11-29T17:25:56-04:00Retirement|

A Bucket Plan To Go With Your Bucket List

The baby boomers have re-defined everything they’ve touched, from music to marriage to parenting and, more lately, to what “old” means—60 is the new 50! Longer, healthier living, however, can put greater stress on the sustainability of retirement assets. There is no easy answer to this challenge, but let’s begin by discussing one idea—a bucket approach to building your retirement income plan. The Bucket Strategy can take two forms. The Expenses Bucket Strategy: With this approach, [...]

2018-11-29T17:24:25-04:00Retirement|

Your Changing Definition Of Risk In Retirement

During your accumulation years, you may have categorized your risk as “conservative,” “moderate,” or “aggressive” and that guided how your portfolio was built. Maybe you concerned yourself with finding the “best-performing funds,” even though you knew past performance does not guarantee future results. What occurs with many retirees is a change in mindset—it’s less about finding the “best-performing fund” and more about consistent performance. It may be less about a risk continuum—that stretches from conservative [...]

2018-11-29T17:39:16-04:00Retirement|

Retirement Income And The Traditional Portfolio

Taking withdrawals from a traditional portfolio exposes fixed-income investors to “sequence of returns” danger. In other words, experiencing negative returns early in retirement can deplete your portfolio more quickly than you planned and potentially undermine the sustainability of your assets. So you may want to consider a couple of strategies to help mitigate this concern. Liquid Assets The first is to have a pool of very liquid assets to fund two-to-three years of retirement spending; [...]

2018-11-29T17:34:21-04:00Retirement|