Why Must You Have A Retirement Plan?

By Daniella Rand

Whether retirement is right around the corner or still in the hazy, unformed future, you can’t afford not to have a comprehensive retirement plan that takes into account your unique needs and goals while ensuring your family enjoys financial protection long after you’re gone.

This isn’t controversial. Ask 100 financial advisors for their opinion on the next step you should take to secure your family’s long-term financial future, and all 100 of them will answer without hesitation that you need to create and implement a retirement plan.

If you press them, and they have the time to engage, they’ll no doubt follow up with these compelling reasons why every investor should have a retirement plan.


You Don’t Know What the Future Holds

No one does, in fact. You could live past 100, you could pass away well before your time, or you could die right about when the actuarial tables say you will. It’s unknowable.

What is knowable is the importance of a thorough retirement plan that accounts for a range of life scenarios. With your plan in place, you and your family will be in a stronger position to tackle the unknown, for better or worse.

You Need to Preserve Income and Assets in Retirement

However long your retirement lasts, you have an obligation to preserve post-work income until you no longer need it. If you wish to leave a legacy for your heirs, you also have an obligation to preserve the assets that produce that income (and others that you wish to pass on to your survivors). This is a much easier lift with a thorough retirement plan in place.

You Have Family Members to Worry About

What will your family members do when you’re no longer working? If you plan to retire before your youngest children complete their education, or you wish to take financial responsibility for grandchildren and other younger relatives, your retirement plan must accommodate their needs. 

You Deserve Peace of Mind (And Certainty)

You’ve worked hard to get this far. You deserve a retirement plan that works for you, come what may. Indeed, the peace of mind that accompanies a well-designed, responsive retirement plan is one of the biggest benefits of looking ahead. Your family will share in that peace of mind, as well.

You Don’t Want to Do Everything on Your Own

You’re busy with work, hobbies, family obligations. Why should you do everything required to secure your retirement on your own? Careful planning allows you to delegate responsibility to your wealth management team, leaving you more time to enjoy the little things in life.

Are You Sold on a Retirement Plan?

It’s difficult to imagine that anyone could read through these compelling reasons to develop and implement a retirement plan without being convinced that, yes, a comprehensive retirement plan is indeed in the best interests of every investor.

If, for some reason, you still need convincing, your next move is to consult a seasoned wealth management professional to get their take on your financial situation. They’ll impress upon you the importance of seizing financial opportunity and make clear that creating a retirement plan is not nearly as difficult as you imagine.

5 Golden Rules To Manage Your Wealth!

By Daniella Rand

Wealth management is not rocket science. Nor is it a walk in the park. It’s best done in close consultation with a seasoned financial professional — someone sworn to act in your best interests and provide bespoke advice that preserves and grows your wealth while ensuring you don’t miss out on any of life’s special moments.

Your financial professional will no doubt lay out some ground rules to help you manage your wealth on your own, as well. These five are particularly important for long-term investors to follow. Together, they form the foundation of a secure future for you and your loved ones.


1. Keep a Close Eye on Your Employer-Sponsored Pension and Retirement Accounts

Do you know how much of each paycheck you invest in an employer-sponsored retirement account, such as a 401(k)? Can you identify the assets and allocations in those accounts? Do you know the details of your employer-sponsored pension, if you’re fortunate enough to have access to one?

The answers to these questions are important. Review your plan literature today and make adjustments as needed.

2. Understand Your Tax Obligations (And Work With Your Financial Advisor to Minimize Them)

Your tax preparer or family accountant is the best person to talk through about your overall tax obligations. But you should also work with a financial advisor to create an investment plan that minimizes your tax burden. There’s almost certainly more that you can do on this point.

3. Get a Better Grasp on Your Household Spending (And Adjust As Necessary)

The golden rule of household finances is this: Don’t spend more than you earn. If it’s been some time since you’ve evaluated your family’s budget, now’s your opportunity to trim some fat.

4. Make Sure You’re Protected Against the Unknown

Insurance is a crucial safeguard against the unknown. At minimum, you and your spouse should have life insurance (term or whole, depending on your needs), health insurance, and disability insurance. Speak with your financial professional or insurance agent for details pertinent to your personal situation. 

5. Complete the Estate Planning Process

What will happen to your assets when you pass on? Have you designated someone to act on your behalf should you become incompetent to make legally binding decisions? Are your heirs financially prepared for a future without you? 

The estate planning process is designed to satisfy these questions, and many more. It’s too important to put off for another year.

Take Control of Your Wealth

As we’ve seen, taking control of your wealth is easier than you might imagine. You have the power to begin the process today.

Where should you make your first move? Start by speaking with a seasoned financial advisor with a proven track record of helping clients from all walks of life develop strong, stable financial plans. Talk to this person about your needs, goals, hopes, fears, and tolerance for investing risk. This conversation, and subsequent conversations that elaborate on its contents, will result in the creation of a customized wealth management plan that sees you and your family through to a long, happy retirement — while providing crucial peace of mind that your heirs will be cared for after you’ve left this world.

Are you ready to take control of your wealth? Your future begins with a conversation.