Are you Wondering?
Do I have Enough To Retire?
"You Earn it. We Protect it."
Many people wonder...
Do I Have Enough To Retire?
It’s the ultimate question. Do I have enough to retire? Our healthcare costs are rising. Everyday living expenses are up, too. Even basic food and housing costs more and more every year. But, how can we know if we will have enough?
Although there are many pieces to the retirement puzzle, there is hope. We can find an answer to the question of, “Do I have enough to retire?” Here’s how. For one thing, we can calculate a basic inflation rate. Most professionals agree that is around 2% per year in increased costs. So, take your typical yearly expenses, and add a compounding 2% to that each year.
Something to consider
What About Inflation?
For example, let’s say you need $40,000 per year to cover your expenses. At 2% inflation, you’d actually need $40,800 the next year to maintain your same lifestyle. After 5 years, you’d need around $44,000. At the 10 year mark, your needs jump to somewhere around $49,000 and so on. You can work with an advisor to help you determine what the right amount of income is for you. If you meet with us at Messina’s Wealth Management, we can help walk you through this using your personal situation. Inflation is one element of helping you answer the “do I have enough to retire” question.
Some Best Practices
Expenses & Budgeting
Expenses are another critical aspect of planning for retirement. We work with our clients to discuss their expected expenses in retirement. You might be yourself asking, “Do I have enough for retirement?” To find out, be sure to create a budget. Lay out how much you intend to spend on the essentials such as housing and food. Next, be sure to include the “extras.” For example, a dining out budget item, or a line item for gift-giving. Finally, always have a “unknown” or “just in case” section of your budget. This will protect you in the event of unexpected costs. Additionally, it can give you a way of creating some savings each month. A little breathing room goes a long way in helping you answer, “Yes” to the question, “Do I have enough for retirement?”
The question about having enough money to retire doesn't have to be complicated.
Have you considered
Is Your Money Safe?
Indeed, it seems many stable retirement options are disappearing. More secure options such as CDs and traditional savings hardly seem sufficient. Company offered pensions, for example, are almost non-existent today. Even government workers are finding they are forced to contribute more to their retirement plans than before. At the end, when retirement arrives, many are discovering that the payouts are less than they had hoped for. Contributions dropped dramatically over the last couple of decades.
Riskier options, such as the stock market or mutual funds, aren’t ideal either. If the stock market crashes, your money could, too. Unfortunately, many people experienced this first-hand in the stock market dips of 2008 and 2020. Some found themselves with far less money than they had originally saved. Many just watched helplessly as their finances continued to drop. Even when the market recovered, some retirees’ income didn’t. What had taken them years to grow was suddenly reduced.
Let's talk about how you can
Prevent Loss and Retire Confidently
That’s why it is crucial to learn more about ways to protect your principal. If you do it with the right combination of products, you could also get yourself a reasonable rate of return.* At Messina’s Wealth Management, we want you to feel confident answering “yes” emphatically, when you ask yourself, “Do I have enough to retire?”
Looking to secure your principal yet generate a reasonable rate of return? Let us show you how. Contact us for a no-cost, no-obligation analysis. Or, if you prefer, attend one of our complimentary educational dinner seminars. Learn your options and secure your future.
YES! I would like to learn all my retirement options
Please contact me for a no-cost retirement review.
*Reasonable rate of return over time.