Jeffrey Stoffer CFA, CFP asked:


What is retirement? The definition has evolved over the last half century. How you view retirement can affect how you plan and invest. The current economic situation also comes into play. By viewing retirement as a process, by starting early and planning, it is possible to reconcile your values and priorities with the available resources to create your own definition.

The notion of retirement is actually a fairly recent phenomenon. In the early 20th century people worked until they were no longer able. By mid century there were too many older workers and high unemployment among younger people. Pensions and Social Security were seen as a way to ease older adults out of the workforce, making way for the young.

The early version of “retirement” was not pleasant for many people. They were relegated to a view of life from the porch. Suddenly no longer needed, their self-identity was called into question. The event called retirement was not necessarily something people looked forward to.

It was not until the 80’s that people started to look upon retirement as something more than idleness without purpose. The notion of the “golden years” came into being. Retirement was to be a time when people could count on Social Security and a pension for a life of travel, sunsets in faraway lands, and cocktails with umbrellas on a tropical beach. This view seems the equivalent of going out to eat with nothing but desserts on the menu. How could life get any better than that?

Have you fallen into the trap of seeing retirement as an event, where suddenly your life will transform for the better? Retirement beckons as a time of change and new opportunity, particularly if you have been unhappy in your job. You may find yourself working too hard and, without realizing it, sacrificing joy in the present for some imagined future that you hope will be better (I confess, I fell for this one.)

The idyllic, golden years view of retirement, may not be your ideal retirement; and pensions are becoming a thing of the past. Not to mention changes that may occur with Social Security in the coming years. If we have not spent considerable time thinking about and planning for the transition to retirement, it could be an event filled with disillusionment. Our idealistic and fanciful expectations may clash with a very different set of economic realities.

So how do we begin to figure out what retirement is, or should be? I found the following exercise enlightening, and I suggest you try it: write down your ideal day, from start to finish. What is really important to you? Look to those activities that bring you joy and satisfaction. What are the things you want to do more of or could not see yourself living without? Your menu for the future starts here, with what you value most.

I want to emphasize the focus on what you actually see yourself doing – what you want to be doing – in retirement, because we are a nation of “doers.” We don’t just sit around on a beach. We multi-task, we get stuff done. We are also concerned that we will have to work longer than the previous generation. But we are good at it. And how we define ourselves is tightly interwoven with what we do.

The menu of choices available to us is wide. I am willing to bet there are a number of you who have dreamed of starting a small business. Or you have a hobby that you would like to share with young people. There are so many ways to contribute to our communities that can provide a sense of meaning and purpose, as well as potential income. We have the opportunity to make choices about what we do in ways our forefathers never did. Few of us will inhabit a rocking chair on the front porch, unless it is by choice.

And what about economic reality? Now is a bad time to ask that question, but if you have been investing for a number of years you know that markets have their ups and downs. The present time is our cold, slap-in-the-face reminder that we need to pay attention to our investments. It is a reminder that our retirement funds are important and we should be careful stewards of these nest eggs. The bottom line is that by starting early with planning and investing there will be more time for your vision and your economic situation to converge, more time to make decisions that bring you closer to your definition of a well-lived retirement.

The definition of retirement is changing. Clinging to past assumptions or pre-conceived ideas will only hinder us from creating a future that reflects our values. If we see retirement as a process, it becomes clear we need to focus our attention on that process now. This does not mean that we sacrifice the joy and meaning of the here and now. Our futures may unfold in wonderful ways we haven’t even thought of. We can take charge of the future by creating our own unique vision. We can accomplish this by taking steps now, and consistently along the way. The result will be a sense of comfort that we are creating a retirement based upon our choices and values.



Reginald

Milos asked:


Many people retire after they find themselves financially stable enough to support all their needs. There are also some who consider first how much they have already saved for them to say that they are already ready for retirement. Well, money matters really play a vital role in retirement and to become financially secure after retirement takes time, effort and of course, proper planning.

The concept on financial retirement planning is not something that is fresh or new to the people’s ears. It has been around for more than a decade now, and many successful retirees have considered financial retirement planning at some point in their lives. Now, if you are thinking about retiring from work, but you want to make sure that you will be financially stable when the right time to retire comes, knowing everything that is involved in the planning is definitely one of the best moves you can make.

So to start with your financial retirement planning, simply note that you are dealing not just with money here, but for a better future. Note that and if possible, save as much as you can as early as possible. As what many retirement experts have said, the sooner you start saving, the more time your money has to grow.

Set certain goals that are realistic and make those goals an important part of your financial retirement planning. You can project your possible expenses based on your needs. Consider how much your life after retirement will cost and try calculating everything that is involved. Settle only when you find out that everything is tackled and solved.

You can also consider a 401K plan as a special part of your financial retirement planning. The 401K is after all one of the best and easiest ways for saving after retirement. But before you consider the plan, make sure that you have understood everything that is involved in it, how it works and how you will benefit from it. There are also the IRA retirement plans for you to take. But as mentioned, know first what the plans entail and how they work to support everything you’ll need after retirement.

As you go along the financial retirement planning process, try to look at your asset allocation. It has been maintained that how you divide your portfolio between stocks and bonds will have a big impact on your long term returns. And, speaking of long term returns, several retirement experts have noted how important the decision of paying attention to the stocks and bonds is. According to them, stocks offers the best opportunity for you to achieve high returns over long periods of time, while bonds should not be considered heavily even in retirement for that will increase the inflation level, thus destroying the purchasing powers of the interest payments of your bonds.

Finally, when considering a financial retirement planning, it is best to consider yourself working part-time even after retirement. What you will earn on your part-time job will help increase what you’ve saved for your retirement. It will even keep you socially engaged.



Jamie

Rex Truman asked:


A retirement calculator is one of the most useful things you can use when planning your retirement savings. You see most people plan for retirement without any idea of how much they need to save, or how much they want in retirement. A retirement calculator provides the answers.

A retirement calculator shows you how much to need to save to get the income you need when you retire. Or it may be how much you want! That depends how much you are making, and how young you are. Either way do use a retirement calculator.

You can find a retirement calculator on many web sites, so you do not need to get the services or a retirement planner or investment advisor to find the answers. In this way, you use the retirement calculator, calculate the amounts you need, and then visit an investment advisor or retirement planner.

To decide how much you need to save, you need:

1. The income you need to live on at today’s prices

2. The rate of inflation per annum between now and the retirement date.

3. The rate at which your fund will grow.

Let’s go through these and how they relate to a retirement calculator. First, how much do you need to live on? Remember, that retired people do not normally spend as much as people who work. When you retire, you won’t need:

special clothes for work the sort of car that keeps you up with the Joneses

you will be able to take holidays at off-peak times

and you will have time to do things – instead of paying to get them done.

So your costs will be lower. So let’s say you are earning $60,000 a year now, you might think that $50,000 would be enough. Next you need to remember that if you are healthy, you expect to live for 15-20 years, and so need to allow for inflation in that period – so actually you need more! This is where a good retirement calculator comes in.

2. The next thing the retirement calculator needs is the rate of inflation, or what you expect it to average until you retire. With the price of oil going up, we know that inflation over the next decade will be higher than it is now. Official figures put inflation at around 2-3%, but the true figure is more like 5%.

This means that you need to allow for at least 5%, and probably 7% and feed that into the retirement calculator.

4. At what rate will your retirement plan grow? A difficult one this. Five years ago, people were talking in terms of 10%, but not now experts suggest a lower figure. The problem is that a retirement fund or retirement plan has to be prudent – you don’t want to wake up one morning, a year or before you retire, to find that a crash on Wall Street has cut the value of your fund by 30%. You just won’t have the time to get that money back.

So you will be doing well to get 10% return, but could almost guarantee 5-6%. Maybe 7-8% would be a realistic figure to put into the retirement calculator.

The retirement calculator is just some software set up to make a calculation after you enter some figures. As I said earlier, the retirement calculator needs:

Required income

Inflation

Expected return

And of course, how long till you retire.

Here are some results from a retirement calculator:

Required income: $30,000 per annum

Years till retirement: 15 years

Annual inflation: 2.5% (unrealistic)

Annual yield: 5%

Income needed in 15 years: $43,448

Required value of retirement plan in 15 years: $825,000

Quite a lot of money for a modest retirement income. Here’s another one:

Required income: $30,000 per annum

Years till retirement: 20 years

Annual inflation: 5%

Annual yield: 8%

Required value of retirement plan in 20 years: $987,573

If you want an income of $45,000 when you retire – equivalent to less than $30,000 today – you will need: $148,000.

When you use a retirement calculator, make sure you use one that does calculate the income you will get at retirement adjusted for inflation – over 20 years, you will need 50% more than think you need today. If you do this, then you will benefit form using a retirement calculator.



Eric

Robert Valentine asked:


“Time waits for no man” Ancient Proverb

That ancient quote is a great reminder how important it is to start planning for your retirement. Whether we choose to acknowledge it or not, retirement is creeping up on us. Even for those who have just started their career, retirement planning is essential to providing a secure future for themselves and their loved ones. But that doesn’t mean we’re defenseless against time. In fact, with the proper planning, life after work can be the most rewarding years of your life.

One of the most basic ways to begin planning for retirement is determining your post-work income. Post-work income is the amount of money you’ll need to live comfortably at current income levels, after you’ve retired. That means having enough money to live comfortably without worrying about running out. It also means making sure you have enough extra to do the things you’ve always wanted to, like travel, or just plain relax!

Meeting with a financial professional and determining your post-work income is fairly painless. But not many Americans have done it. According to the 2005 Retirement Confidence Survey (RCS), released annually by the Employee Benefits Research Institute, less than half have tried to calculate needed savings for their golden years. In fact, only 4 in 10 workers say they have tried to calculate how much they need to accumulate for retirement.

So here’s a quick rundown of determining what you’ll need to save for retirement. Your post-retirement income heavily depends on the age you wish to retire and how much money per-year you wish to spend. Generally, you want to have between 75% and 95% of your pre-retirement income available to you, per year. This way, you won’t be forced to deal with a drastic drop-off in the way you live. Many people grow accustomed to living on a certain income, and it’s important to stay consistent after retirement. People are living longer too, so you’ll also want to take that into account, along with inflation. In general, it’s been said that in order to preserve your retirement assets, you’ll want to take out 6% or less of them per year.

Here’s a quick and easy example of how to determine what you’ll need to save to be in the ballpark: Say you retire at age 65 and decide you’ll need 30 years of dependable income, at an average of $55,000 a year (assuming you can live comfortably on that amount). That means, you’ll need to save approximately $1,650,000 to make sure you have enough to retire. And that’s without taking inflation, medical costs, travel, and any other unexpected expenses into consideration.

Getting a rough idea of a number is a good way to light a fire under your retirement plan. Often people believe they are saving enough, when the reality is, they’ll fall short of what is needed. By determining a rough estimate, you can then work with a financial professional to nail down an exact number. The sooner you get started saving, the easier it is on your future.

Of those 4 in 10 who have calculated, one-third has done so with the help of a financial professional. Unfortunately, a whopping 10 percent say they simply guessed how much they will need in retirement! While something can be said for “doing it yourself,” or if you choose, just guessing (we don’t recommend that!) most post-retirement income estimates need to be tested for real-world accuracy by financial professionals.

For instance, you may come up with a number that seems sufficient, but with the help of an expert, your number can be put through a series of scenarios to see if it holds up under certain real-world situations. By running it through a series of tests, professionals can determine what possible risks and warning signs may come up. Say, for instance, if you or a spouse were put in a long-term care facility at some point during retirement, your advisor can look at your determined number and see if it will hold up under the strain.

By determining the exact amount of post-retirement income you’ll need, you’ve taken the first step towards saving for your retirement. Once you get that out of the way, you’ve begun down the path of securing your future. Asking for help can be crucial, because a professional can tell you if your number will hold up in case of emergencies or other unexpected events. Meeting with a professional and determining how much you need to save is the first step towards determining future goals for retirement. It will wake you up to the real number you need to reach. Best of all, it’s painless, and you’ll be glad you did it.



Rachel

Brian Dew asked:


When you’re learning about something new, it’s easy to feel overwhelmed by the sheer amount of relevant information available. This informative article should help you focus on the central points.

We all know that there is a growing need in this country to take our retirements into our own hands if we want the funds necessary to have any quality of life upon retirement. The problem is that most of us have no idea where to begin when it comes to financial retirement planning programs or investing. The sad news is that for most of our lives retirement was something that was taken care of if we put in an honest lifetime of work. However, the climate has changed and the retirement funds that many of us have labored to pay for the vast majority of our lives are slipping away.

The good news is that this need has not gone unnoticed by the powers that be and while they aren’t offering solutions for the funds we’ve already invested or in salvaging what is left of the failing system, they are empowering people to take some control for their personal retirements by offering investment options and strategies that provide tax benefits along the way in order to reward you for your efforts.

As your knowledge about Retirement Planning Programs continues to grow, you will begin to see how Retirement Planning Programs fits into the overall scheme of things. Knowing how something relates to the rest of the world is important too.

The four common types of retirement planning programs include 401(K) plans, Keough Plans, IRAs (individual retirement accounts), and qualifying pension or profit sharing plans offered by corporations. In most retirement planning programs, the contributions to those plans are tax deductible and taxes aren’t paid on these plans until the funds are received and retirement payment begins. You should be careful of your investments and guard them well as there are often hefty penalties involved when you take funds out of your retirement funds before you actually retire.

There are more traditional investment methods you may want to consider as well. Mutual funds and the stock market are great ways to invest your money, build a decent portfolio, and increase your net worth. This type of investing also carries some degree of risk and isn’t always considered financial retirement planning but more along the lines of simple financial planning.

These of course are not the only types of investments you can make for your golden years and it never hurts to have more eggs in many baskets. The more the merrier in most cases. My personal preference for investing is real estate. This is an investment that you can actually see and reach out and touch. It is also an investment that often gets overlooked when planning for retirement, though when you consider it is an excellent choice. Property values are much lower today than they will be ten, twenty, or fifty years from now. This means the sooner you buy the property the more it will be worth (in theory) when you retire. The thing to remember is that property investing, like other types of

investing, requires some degree of risk. You need to learn as much as you can about the process and discuss your interest with a financial advisor before you make any major decisions concerning your retirement investments.

When it comes to the world of finance, many of us are far from experts. We seek legal advice from attorneys, tax advice from accountants, and medical advice from doctors yet very few of us go to financial planners when planning our financial retirement. In many ways it makes little sense to approach our futures so carelessly and yet this is not something that our parents and grandparents would have done so there is no precedence for doing so. The problem is that money is such a limited commodity in this world, we are living longer than ever before, and we are enjoying much more

mobility in our golden years than in times long past. We now need expert advice and guidance in order to insure that we are in the best possible position when the time comes to face our own retirements.

The thing to remember is that it is always good to have a plan. For this reason, I strongly encourage you to engage the services of a good financial planner. He or she can help you navigate the tricky language that is involved in many transactions, set realistic and obtainable retirement goals according to your needs as well as your means, and offer excellent advice and guidance on other investment ventures you may wish to pursue. In other words, a good financial planner can help you plan for your retirement.



Joanne

G. White asked:


Offering tips for retirement planning can open up a touchy subject. While some couples have been preparing for retirement their entire adult lives, others have barely thought about it. Neither end of this preparation spectrum is unusual, but it is clear that the former mind set will leave you feeling much more comfortable with your future. When it comes to planning retirement, a few tips might be just what you need to get a jump start. You might be working hard now, but that only means that you’ll appreciate retirement all the more.

Beginning With Baby Steps

Following tips and advice for retirement planning does not mean that you have to sit down and draw up an extensive financial plan. Nobody expects you to be nearly this prepared! However, there are a few baby steps that you can take to make your future brighter. With each retirement planning tip you follow, you will see your future growing brighter and brighter.

The first step to retirement planning is making a few predictions. Nobody expects you to give an exact date of retirement, but it can be helpful to have a goal or an idea in your head. Having this target date will only make you work harder toward your goal. Next, estimate how much more money you will need to accumulate by this date. There are several on line tools that make this very easy.

The next tip for retirement planning is to investigate your options. You should be aware of what your basic Social Security benefits are-if you’re not, you can easily find out by examining the Social Security statement that arrives around the time of your birthday.

Also, check with your boss to see if a retirement plan is offered through your place of employment; if not, ask about how you might start one. Talk with your tax adviser about IRA options, and seek general advice from a professional financial planner. The more information you know and the more questions you ask, the more prepared you will be for retirement.

Keep Your Common Sense

Much of retirement planning involves common sense, not tips and guidelines. For example, as you grow older, try to leave your savings alone for the most part. Try keeping a long term savings account for retirement only, and a separate short term savings account for emergencies. You will be sure to appreciate this money upon retirement.

Another piece of advice is to not fall for investment scams. These ploys for money get people every time-but they don’t have to get you. Use your common sense when looking into any type of investment, and if you have suspicions, then you can always contact your Better Business Bureau or Secretary of State.

Changing Locations

Another tip for planning your retirement is to consider what your future living situation might be. Many retired elderly couples wait until they can no longer go up and down the stairs of their homes before they decide to move into a more manageable home. If you plan this move before hand, you will be sure to have more options, and perhaps even make a profit ff of your current house!

Investigating the cost of living in various cities and retirement communities can also prove to be beneficial during retirement planning. It might even be another way for you to save money. If you consider your living situation when you still have control of it, you will have many more options available to you.

Ready To Retire!

Planning for your retirement might seem very intimidating, but taking the time to think about it now will ensure that you are better off in the long run. A few baby steps in the right direction won’t hurt you-only ensure that your retirement will be all the better!



Stella

Wayne Miller asked:


The basic level of retirement planning is to sign up for your 401k at work, support legislation to keep Social Security intact, buy some life insurance and let it go at that. This system will work so there is reason to call this bad retirement planning. After all, if you began preparing for retirement in your early adult life and stayed with it, you will have a resource to retire on and that is a good thing.

But there is a way to take it to the next level and that is to actually start putting some flesh and bones on your vision of your retirement and get a feel not only for the fact that you will retire but how you expect to live in retirement. Very often, we have idealistic visions of retirement life based on media images or the fantasy life of living in luxury and having little to do but golf in the morning and drink campaign and eat caviar all afternoon. So if you can get a realistic view of what you have as your expectations for retirement, you can start making adjustments to your retirement planning package right now.

Start with how you see your retirement lifestyle working. If you want little more than a manageable retirement apartment, a cat and the chance to knit or watch ESPN without interruption, that is a fairly modest retirement lifestyle to prepare for. But other people have adventure and high living in their retirement dreams. So if world travel or living in a luxury setting is part of that dream, only one person is going to make that dream a reality and that is you.

An exercise that is fun and eye opening is to detail every aspect of your dream life in retirement. Start by picturing your living conditions. Include your diet needs and wants as well as any entertainment and recreational needs you expect to be a part of retirement. For example, if you know you will want to go on long fishing adventures several times a year, you will need a RV and the finances to support taking off for the most scenic spots within driving distance to kick back and enjoy the fishing. So include the physical and financial needs for that lifestyle in this final step of retirement planning.

You can complete the exercise by getting to such a level of detail that you could go out and price the dream in todays dollars. Then when you take your own dream retirement shopping list out into the open markets and use retail locations, catalogs and internet sites to actually find out how much it would cost to have that retirement today, that will shed a lot of light on your retirement preparations that you are doing.

Now, the actual cost of those different components will be much higher when you actually get to the point of retirement. You could try to factor in inflation and make those kinds of adjustments but do not play with the formula so much that you get the idea that it is impossible and give up. However, another factor that offsets the inflation factor is that your retirement life will be less expensive then your current lifestyle. Your daily needs may not be as demanding. If you sell your house after paying off the mortgage, your monthly expenses will go way down and you will have a significant surge of retirement capital that will come from the sale of the house. And you are not raising kids, putting them through college or having to support the lifestyle and wardrobe of a working person. All of these things offset the inflation issue.



Roland

Miodrag Trajkovic asked:


Planning your retirement can be confusing. Unless you are actually retired, you really can’t appreciate what it is like. A lot of myths have sprung u pabout retirement and retirement planning and we will take a look at some of them in this article.

A common myth is that retirement will last for 10 – 20 years. In truth, people are living much longer than previous generations. Not only that but the retired population is more healthy and active. Plus if you retire early which is an increasingly popular trend, then your retirement will be longer than normal. To be on the safe side, it is best to plan for a retirement that will last for 30 years.

Another myth, and one that could hurt your pocketbook, is that living expenses are lower after you retire. In most cases, this is not true. You may still be paying off a mortgage, taking care of your children, grandchildren, or parents. There may be others in your family who will be depending on your income for long after you retire. So it is a good idea to figure your expenses to remain the same and not count on them going down when your retire.

Social security is another topic of confusion and myths abound. Many people belive that social security will be defunct by the time they retire and others believe they will be able to live off of social security alone. Only time will tell if social security will survive through the years, but one thing is almost certain. If you do receive social security benefits, they will amount to much less than your current income.

More myths exist on the subject of taxes. Yu will still have to pay taxes after you retire, even if you live off retirement and social security as long as your income exceeds the limit. If you planned your financial future well, it is possible you will encounter increased taxes after you retire. If your taxes are lower or zero then, then it will be because your income be quite low. So it is best to plan taxes into your retirement planning and know that you will have to pay them long into your retirement.

Any of the myths above can harm you if you believe in them and don’t do your research and learn the truth about planning for retirement. The best thing to do is consult with a financial planner who can guide you through all the technicalities of taxes and savings so you know your retirment plan is on the right track.



Martha

Sam Williams asked:


The final quarter of the 20th century (especially the second part of this period) has seen the US economy being hit by one of worst phases of recession since the period of Great Depression (in the 1930s). Stock markets have crashed during this period, with an implosion of housing values and rates of returns from bonds being drastically lowered. All these have adversely affected the retirement plans of individuals (those who are planning for retirement and those who have already retired). Hiring a competent financial planner who is also an expert retirement advisor is, hence, of utmost importance to keep the retirement plans stable. A financial advisor can help his/her clients assess the effect of the economic downturn on retirement plans, and take steps accordingly.

A retirement planner generally recommends conservative measures to help clients survive the hostile impact of recession on retirement plans. Generally, individuals have pre-determined retirement plans that they plan to follow. However, once a depression sets in the economy, they need to re-evaluate their retirement plans, and modify them according to the market conditions. Finding a financial planner comes in handy during this period, for expert assessment and advice on retirement planning. With numerous financial planners offering their services, individuals need to wonder about how to find a financial planner either.

Recessionary market conditions have several adverse effects on retirement planning. Some of such effects, as would be pointed out by any expert retirement advisor, are:

a) Returns on stocks and bonds: The rates of return as well as the yields from them go down by significant amounts during a recession. During these periods, investment in high-risk financial instruments, hence, should be avoided. In order to keep plans for retirement stable, the contributions to retirement funds should be increased during a phase of depression,

b) Timing one’s retirement: Faced with recessionary conditions, individuals may tend to push back their dates of retirement. This may not be a sensible decision, particularly if the recession lasts for a lengthy time-period. Instead, transferring funds and assets to fixed, secure investments, selling off housing property makes more financial sense. Retirement dates should not be pushed back either,

c) Reduction in spending levels: Faced with acute recessionary forces, the US Federal Reserve has been forced to significantly cut down on the key interest rates. This has resulted in an upward spiral in prices of almost all products, denting any pre-determined retirement budgets one might have had. In such a situation, the only prudent option seems to be a significant reduction in consumption and spending levels. This would help to keep the retirement budgets more or less intact. Inflationary conditions, which are on the rise during these periods, can also be tackled in an effective manner in this way.

Retirement plans are, broadly speaking, significantly affected by a recession in the market. However, it is possible to minimize, if not totally eliminate, the impacts of depression on one’s retirement plan. For this, one needs to hire a top retirement planner, and follow the above-mentioned tips. A retirement advisor can surely help his/her client maintain a well-designed a prudent retirement budget.



Jacqueline

Miodrag Trajkovic asked:


Approximately one third of your life will be spent in retirement. It is important to plan ahead to be able to provide for yourself and enjoy this time of your life. Retirement is never too difficult to handle. However, many still have the misconception that retirement is a burden and a very difficult situation.

Before you enter your retirement age, it is best that you plan. Starting your retirement planning early will give you less stress and less trouble. It is better to start early with a minimum amount than starting it late and be overwhelmed with the amount that you have to save.

Make an accurate assessment on what you already have. It is better that you assess with the exact figures rather than making estimates. Retirement planning does not only rely on finances but also on many factors such as, health, emotional aspects, retirement location and safety. It is better to consider these factors to help you sustain for yourself without depending on your children.

Planning is not only a one-time event. It is a continuous process and may vary depending on many circumstances. Make sure that you are ready for any circumstances that might affect your retirement plan so that you will be ready for necessary adjustments.

You may want to consider hiring a financial adviser to help you ease the complexities of retirement planning. Before you hire the services of a retirement planning consultant, determine first the areas where you need assistance. Is it the retirement plan itself or the methods you need to implement the retirement plan.

There are a lot of retirement planning consultants and you should choose the ones that are experienced and competent enough to do the job for you. You may seek the advice of your friends and families and they may refer you to persons who know the best retirement planning consultants.

You can do some selection process by interviewing the candidates about their background and experience. Make sure that you know the cost of the services they offer. Always remember that there is a tendency that they are selling their services and you should not believe whatever they say. It is still best to ask other people who have hired them to check their expertise.

Once you have made your final pick, determine if the person you hired is registered. You may contact your state securities to get this information. You have to make sure that the person is free from any illegal activities and could be trusted.

Retirement planning takes a lot of accountability. No matter how competent the retirement planning consultant could be, your planning still depends on your responsibility. If you become responsible with yourself, retirement planning is never a tough job. Make the little sacrifices now and reap the fruits when you retire. Retirement is a time to enjoy and relax and not to burden you.



Diana