Planning for retirement? Here’s what you should know
Planning for retirement can be a complicated problem.
After all, there are a lot of decisions to consider — from life expectancy and how early you want to start planning to how much to put away to save and how much to spend in retirement.
According to the Department of Labor, only half of Americans have calculated how much they need to save for retirement. Meanwhile, the average American spends roughly 20 years in retirement.
That’s not to say that number can change, as recent surveys suggest most Americans don’t think they’ll ever make it to retirement — at least, not until late in life.
Another survey also suggests that 56% of Americans are not on track to retire comfortably.
If you’re a part of this 56%, you may want to attend this free upcoming webinar, sponsored by Jackson, Allianz and Corebridge Financial.
Wade Pfau, founder of RISA and director of retirement research for McLean Asset Management, said retirement is an increasingly important issue within the US.
“Next year, it’s going to peak with almost 12,000 Americans per day reaching age 65,” Pfau said. “Advisors really need to be prepared to help people as they approach retirement. They need to understand that retirement income is different from what they’ve been doing to help people save and grow and accumulate assets.”
David Lau, founder and CEO of DPL Financial Partners, said being financially free is a concern people have when considering retirement.
“People are worried because they have all their assets in the market,” he said. “When the market goes crazy, people get worried about losing their life savings.”
Lau also said that there are lots of factors to consider when planning for retirement, like lifestyle, affordability and medical costs.
“How long do I
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