The quality of your retirement depends very much on the use of non-traditional retirement options, especially as straightforward reliance on social security, IRAs, and 401k plans leaves you vulnerable to market and even political changes that you can’t anticipate. Furthermore, long-term care insurance and costs add a very large variable to the retirement equation that makes it even harder to plan for. Many non-traditional retirement options, including some types of annuities, can provide a hedge against change and help to reduce the toll taken by taxes on your retirement savings. Our specialists know how to develop a strategy using both traditional and non-traditional retirement options to maximize your overall retirement security and increase the power of your savings.
Unfortunately many fee based financial professionals are driven to give you advice that pays them quarterly fees and that advice usually involves market risk – whether you are 25, 55 or 75. But the difference between someone who is 25 and someone who is 55 is one 4 letter word that could ruin your retirement nest egg without a hope of recovery – T-I-M-E.
This compounds greatly once you start withdrawing from your portfolio – this is where the Sequence of Return Risk is a freight train bearing down on American retirees who have unfortunately been told to invest in vehicles which carry too much market risk and too many fees.
At a retirement age where you are no longer working and are dependent on your assets for income you can no longer have 50, 60 and even 70% of your assets tied to the fortunes of Wall Street. Safety should be included in your portfolio when you are nearing or already in retirement; in many cases the safe vehicles that we offer at Retirement Prosperity Group include full principal protection but many can guarantee an income for life.
“If you are spending while your portfolio is declining, you are not going to get the full benefit of a market recovery.” —Wade Pfau