How old do you want to be when you retire? Now let’s ask that question in a slightly different way: At what age can you retire and afford to live the lifestyle you want to live?
For most of us, retirement is one of the most important life events we will ever experience. From both a personal and financial perspective, realizing a comfortable retirement is an extensive process that requires sensible planning and years of diligence.
The answer to the second question can be found in your retirement plan.
Retirement planning is more than just making sure you are prepared financially for life after paid work. Retirement planning is making sure you are prepared in all aspects of your life. It also includes lifestyle choices such as how to spend your time in retirement, where to live, and when to completely stop working and enjoy your golden years.
Your retirement plan will change and evolve throughout your life. Early in your career, your retirement plan will be about setting aside enough money for retirement. As you mature and come closer to retirement age, your retirement plan may also include setting up specific income or asset goals and taking the steps to achieve those goals.
Retirement planning, in its simplest form, is the process of determining retirement income goals and the steps necessary to achieve those goals. It includes identifying sources of income, estimating expenses, implementing a savings program, and managing assets.
While we would all like to retire comfortably, the complexity and time required to build a successful retirement plan can appear daunting. Even more daunting is the state of government sponsored retirement plans – in other words, Social Security.
The United States’ population is continuing to age and the number of working-age people is shrinking, leaving fewer people to contribute to Social Security. Greater burdens are being placed on Social Security
than ever before as more and more people retire and people are living longer.
You must understand that Social Security benefits are not intended to provide you with your dream retirement. Social Security benefits are intended to provide a safety net only – the funds you need to survive at a minimum standard during your golden years.
Conversely, a carefully designed retirement plan may contribute to your children’s or grandchildren’s lives. Or keep assets, such as land or real estate, within the family, allowing you to create a legacy for your family for generations to come.
Due to unforeseen circumstances, without a well-planned retirement plan, you may be forced to liquidate your assets to cover your expenses, leaving you unable to provide a financial legacy for future generations or even becoming a financial burden on your family. Retirement planning is an ongoing, lifelong endeavor that takes years to be successful. But, with Tax Saving
Professionals’ holistic approach to your wealth and our team of financial professionals – including CPAs, attorneys, financial planners, and insurance professionals – a customized retirement plan can be developed for you that will ignite your hidden wealth and create a legacy for generations to come.