At Peak Financial Freedom Group, we believe there are a distinct set of seven rules to live by in order to create retirement security. Today, we’re sharing the first lesson, which is that there are two stages in retirement planning when it comes to money. We detail all seven rules in our book, Momma’s Secret Recipe for Retirement Success.
One of the biggest mistakes one can make is thinking of your financial advisor as your friend, instead of looking at it as a business relationship to provide you with sound financial advice.
A friend would actually listen to you when you say you want to take less risk.
A friend wouldn’t put in writing how much risk you’re really taking.
A friend wouldn’t put in writing, how much you could lose in the next stock market crash.
A friend wouldn’t tell you not to worry and ride out all stock market losses.
A friend wouldn’t put all the fees you pay in writing, even the hidden ones.
Whether you are divorced, widowed, or a lifelong single person, planning your retirement finances and having to handle money all by yourself can be extremely challenging when you only have yourself to rely on. You only have one Social Security, maybe a pension, and the assets you as an individual have saved.
Establishing a written plan is crucial to ensuring your future financial success. A solid written financial plan should include the following:
Losing a spouse is an especially painful time. Unfortunately, many people find their grief compounded by the complexities of figuring out their finances. The process for collecting Social Security Survivor Benefits can be particularly confusing, but we hope this primer will help you wade through the confusion and better understand the benefits you may be eligible for.
It’s tempting to think about retirement savings in black and white: there’s a “right” number you need to reach, at which point you have enough money saved to sustain your retirement. The trouble is, there is no right number because every retiree has a different picture of what their ideal retirement looks like. That means the amount of money you’ll need to retire could be vastly different – either far more or far less – than others your age, or even in your social circle. In order to truly understand what your retirement savings goal should be, you need to forget arbitrary numbers and come up with you own personal estimate.
When it comes to retirement, most retirees want less risk, smaller losses, to earn a reasonable rate of return, liquidity, and income that is guaranteed for life.
That’s why we created our 3 Bucket Approach, using multiple conservative asset strategies.
Wouldn’t you love to make money when the stock market goes up but never lose anything when the stock market goes down? You can!
A fixed index annuity bases your annual gains on a portion of an index you choose, such as the S&P 500 Index, without suffering any losses in the years your index goes down. If the stock market crashes you get zero percent, so you’re completely protected against market losses.
In our many years working with clients, we have noticed a disturbing trend: most people are investing based upon two faulty premises, both of which are pervasive myths and neither of which are in an investor’s best interest:
Have you heard these? Are you investing based upon them? If so, you’re not alone. However, we’re here to tell you that these myths are old-school and outdated, and they aren’t serving you as well as you may believe.
All retirees have their own unique beliefs about what a successful retirement looks like, yet too many are unable to answer important financial questions about achieving that success. And, when you can’t find answers to your most pressing money questions, it’s difficult to feel financially secure.
In our 50+ years of experience, we’ve come to realize that there are nine specific questions you need to be able to answer about your money in order to plan – and achieve – a successful retirement:
If you can’t answer these nine questions, it means your retirement planning is based on hope and luck – not the best recipe for success. Read on to learn Momma’s Secret Recipe, instead.
The recent market volatility may have you concerned, especially if you’re approaching or already in retirement. Feelings of uncertainty, anxiety, and uneasiness are all common during any scary and volatile market. These feelings are normal and sometimes it can be beneficial to take a step back and look at the big picture. We can’t predict the markets, so acting with haste and making emotional decisions can potentially negatively impact your retirement outlook. Make sure to remind yourself of the reasons you’re planning and investing in the first place. Focusing on your priorities and unique goals can help you put your market exposure and risk tolerance into perspective. Now that you’ve done this, you can focus your time and efforts on what’s really important.
