Are you trying to figure out what to save? How much? Where to put it? This can be very daunting. Make sure you sit with your financial advisor to go over the details of retirement planning. Here are a few items that come to mind that need to be known to make informed decisions.
1) Having the incorrect time horizon. People have the potential to live longer, healthier lives. You may be around for a while longer than you anticipate and modern medicine is doing a fine job at making this happen!
2) Not understanding the benefits of owning a Long-Term Care policy. Approximately 50% of the population will have a need for this insurance in the future.
3) Unaware of the costs and fees associated with your investment accounts and your financial plan. Review alternative options with your trusted advisor before making any important financial decision.
4) It is important to review your plan as it relates to the long-term and historical market trends. Do not get caught up in the emotions of the market. Do NOT believe everything you read or hear on TV!
5) Be open-minded to the possibility of owning an annuity – it may not be too expensive. There are many options which provide protection benefits (for a fee) that may be perfect for your individual plan.
6) Tax. Tax. Tax. Make sure any decision you make with your investments has tax implications in mind!
Listen below as Win Damon and I chat up this very subject on WNBP.com and FM Radio 106.1 in Newburyport.
Fixed annuities are long-term investment vehicles designed for retirement purposes. Gains from tax-deferred investments are taxable as ordinary income upon withdrawal. Guarantees are based on the claims paying ability of the issuing company. Withdrawals made prior to age 59 are subject to a 10% IRS penalty tax and surrender charges may apply.
Stu Steinberg of Eaglerock Financial, Inc. has worked with families and businesses for more than 20 years, helping them work toward their financial goals through a holistic, well-rounded approach rooted in objectivity, education, and empowerment. Stu is highly regarded by clients and colleagues for his unique combination of investment, CPA and entrepreneurial experience in the high net worth market.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.
Advisory services offered through LPL Financial, A registered investment advisor.
17 May 2016