Finding Financial Success in Retirement
Retirement is one of the great financial questions you’re going to need to address during your life, and everyone is going to have their own theories and ideas about what will lead to the best results later in life. This can be a hard thing to predict as one won’t really know if they made the right choices until that time comes, and they see if the amount of money they save, and where they saved, it is adequate or wanting for their financial needs. While different people will have different needs based on their financial status, there are a few constants to a successful retirement. Here’s some things to keep in mind.
Retirement Planning Research
Utilize Research For Your Situation: The fact that you’re reading this article is a good sign that you at least have some interest in the mechanics behind a good retirement. Another thing you can do to get more customized information is ask the people who are involved with your retirement plans. In a U.S. News survey, respondents said they got information from the following sources:
• Employer plan resources: 52 percent
• Social Security website and resources: 47 percent
• Financial advisor: 38 percent
• Medicare resources: 24 percent
As a federal employee, you’re in luck, as the government actually has financial education opportunities designed especially for this purpose. This means you may not need to invest in a financial advisor if you don’t have the budget for it.
Retirement Budget
Budget-The Right Way: A lot of people fall into the trap, when putting together their budgets, of using what they think they spend rather than what they actually spend. In addition, when it comes to non-essentials, it’s a good idea to try and think on a larger scale to get an accurate picture of what you’re spending. For example, spending $100 monthly on a cable bill may not sound so bad. But what about $1,200 yearly? Remember, you need to think as if you were on a fixed income, as you may be.
Investment Diversification
Diversify: Know your investment options and what makes the most sense for retirement. According to Susan Strasbaugh, a certified financial planner, a successful retiree wants investments that can handle “all market cycles” as well as liquid assets so they don’t need to sell stock when dealing with cash flow problems.
The fact of the matter is that the landscape is changing a lot for people who are thinking about retirement. Not only are we living longer, but the cost of living is growing, and some of the traditional means people are relying on for financial support in later years are either on uncertain ground, or may end up not being enough.
For federal employees, who already have the benefit of a few different options, we work at Secure Choice to provide even more supplemental benefits. For example, if you’re pondering retirement savings, look at the Thrift Savings Plan Alternative. This has the safety of the G fund, along with added flexibility and no management fees. You can also choose your beneficiary in the event of your death.
