Retirement Plan

A problem many Americans face these days involves raising enough funds for retirement.  With social security on the wane and more and more companies excising retirement plans, it is up to you to take initiative and seek out an active retirement plan.  Do not put this off.  One day you may wake up and realize you never put your retirement plan into action.

A retirement plan that has been well thought out in advance is the key to a comfortable and secure retirement.  According to a government representative, statistics show that less than half of Americans have calculated how much they will need for retirement.  Americans are living longer, healthier and more active lives.  The retiring years are considered prime time for pursuing other interests that may include travel, hobbies, recreation, community volunteerism or even second careers.  Begin now to ensure your retirement plan provides you the financial security and comfort you envision.

Consider this timeline for retirement.  At age fifty start making catch-up contributions, an additional amount that those over fifty can add to 401(k) and other similar accounts.  Between age fifty nine and sixty early withdrawals are not subject to tax penalties, however leaving the money in allows more time for it to grow.  Age sixty two is the earliest to receive social security benefits, but if you postpone retiring longer, the monthly benefits will be bigger.  The years between sixty five and seventy one provide additional incentives.  A financial planner can provide valuable assistance in explaining how to put these incentives to work for you.

It is important to be realistic about how much of your home equity may be available upon retirement.  Housing is always going to be needed and with the real estate market as it is today, you must factor in mortgage rates, equity, and property resale value.  Real estate taxes, condo fees, upkeep and repairs, and rent cost all need to be factored.  Deciding how to manage your money and assets is essential to retiring comfortably and securely.  A qualified financial planner can benefit you considerably as you navigate the course to a comfortable and secure retirement.

Sound Retirement Plan Considerations Include:

• Early Planning
• Timeline Factors
• Special Growth Accounts
• Protection by Investing
• Bond Earnings
• Fixed Income Funds
• Stocks and Other Options