Have a Retirement Plan

With all the focus on process here it goes without saying that you must Have a Retirement Plan. Still this latest study indicates that it may not be that simple. We all know that many, many Americans have little or no retirement savings. I suppose that should indicate a lack of a plan, but more often assume it is simply an unfortunate prioritization. That makes it no less vital to focus, plan and execute for your later life. 10 alarming facts about women and retirement risks

Have a Retirement Plan: It starts with the fundamentals.
The simplest retirement plan begins with saving as much as possible as early as possible. Take advantage of time and compounding. Be consistent in saving for retirement. Take advantage of tax advantaged savings vehicles. Scary as it may be, be more aggressive than you think you should – more equity weighting.

Have a Retirement Plan: Sweat the small stuff.
Fees will kill your retirement savings returns, always be diligent about them. Maintain a diversified portfolio. There is no such thing as a set and forget retirement plan – at least not a successful one. Plus, remember the key risks you face in retirement: longevity risk, medical expenses, sequence of return risk, and others. You must face reality in the magnitude of the challenge and keep your eye on the ball.

Have a Retirement Plan: Change your mind set in retirement – distribution not accumulation.
While you must stay invested and saving (if you can) in retirement you also have to change your mindset. Now is the time to draw down your nest egg – this is the distribution phase. That may translate into different types of investments. Dividend stocks are often highlighted as ways to throw off income and maintain principal. Like everything, dividend stocks are a moving target. So, we are back to remaining diligent … even in the distribution phase. Dividend Champion Portfolio March Update
Another way to tackle the distribution transition is to consider lifetime income products – like Qualified Lifetime Annuity Contracts or other, similar solutions.

Have a Retirement Plan: No matter how you tackle it, get started.

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