Investment Strategies for Retirement Planning Dallas

These days, changing life styles, employment shifts, and fluctuations in the economy may have adversely affected your retirement Planning

Yet many of us still have certain preconceived ideas about the retirement phase of our lives. This vignette spotlights the gap between perception and reality that exists between current retirees and workers on the road to retirement.

When approaching the retirement years, certain questions take on paramount importance. First, barring unforeseen circumstances, how long should we expect retirement to last? Second, how can we potentially determine what this new phase of life may cost? Third, what sources of income do you anticipate having? Fourth, what Investment Management can help you pursue the goals you have for your retirement? Let’s examine these questions one at a time.

How long will retirement last? Over the last century, life expectancy has risen dramatically in the U.S. In 1900, the average life expectancy was 49.2 years. Americans had a record-high life expectancy of 78.7 years in 2010, according to the most recent statistics available. The current retirement age of 65 years was established in the late 1800s and was based, at least in part, on the fact that the average person lived 15 years fewer than that. With all the advances in technology and medicine, it’s possible that many of today’s retirees may live much longer than their ancestors. For more information click on Financial Planner Colorado Springs

You’ve probably seen projections that estimate anywhere from 60% to 90% of your current income may be needed as your retirement income. But this approach, while simple, may give you an unrealistic idea of what you potentially might need. Instead, look at your current expenses and decide which of those are expected to remain after you retirement.

It’s important to be realistic about your "basic needs." You might not think of listing things like pet care, yard maintenance, and regular visits to salons or spas. But if you enjoy those services now, you may want them during retirement, and you might find that you underestimated the real cost of maintaining your desired lifestyle. In addition, gifts to children and grandchildren — as well as financial help for these dependents — may represent expenditure during retirement years. All of these "basic needs"should be accounted for in advance.

Remember, even though you enter a new phase of life, you remain the same person!

In addition, make a realistic assessment of your activities during retirement. What goals or hobbies do you intend to pursue, and how expensive do you anticipate they will be?

Finally, many of us have special circumstances that may require additional resources during retirement, and these must be factored in

the timing of your retirement can potentially make a difference in your retirement living. In this example, let’s take a look at what we’re going to call a "bull market" retirement. In this instance, a hypothetical couple retired on January 1, 1991, with a retirement savings of $500,000. They decided to invest their entire portfolio in a group of securities that closely resembled the Standard & Poor’s 500 Composite Index, which is generally considered What could happen if a couple retires during turbulent times? In this example, let’s take a look at what we’re going to call a "bear market" retirement. In this instance, a hypothetical couple retired on January 1, 2001, with a retirement portfolio of $500,000. They decided to invest their entire portfolio in a group of securities that closely resembled the S&P 500 Composite Index, which is generally considered.

Author: authentic

Website: http://www.authenticcounsel.com

Author: authentic Website: http://www.authenticcounsel.com