Retirement Update

 

**This communication is intended to be shared with your employees. Please distribute as you see fit.**

Financial Education Update: Quarterly Check-In 

As retirement approaches, it is essential to ensure that your retirement plan is secure, flexible and tailored to your unique needs and goals. The better you understand the importance of a well-planned retirement and are committed to helping you achieve financial freedom, the better off you will be when retirement comes. 

Here are some important things to keep in mind to help retirement plans success: 

Step 1: Assess Your Current Situation
Before building your retirement plan, it's crucial to assess your current financial situation. This includes:
* Reviewing your income, expenses, and debts.
* Evaluating your current savings and investments.
* Identifying your retirement goals and aspirations.

Step 2: Set Realistic Goals
Setting realistic goals is essential to creating a successful retirement plan. Consider the following:
* What do you want to achieve in retirement? (e.g., travel, pursue hobbies, spend time with family)
* How much income do you need to maintain your desired lifestyle?
* What are your risk tolerance and investment preferences?

Step 3: Choose the Right Investment Mix
A diversified investment portfolio is critical to achieving your retirement goals. Consider the following:
* Asset allocation: Spread your investments across different asset classes, such as stocks, bonds and real estate.
* Risk tolerance: Align your investments with your risk tolerance and goals.
* Diversification: Spread your investments across different sectors and industries.

Step 4: Consider Alternative Income Sources
In addition to your retirement savings, consider alternative income sources to supplement your income:
* Annuities: Guaranteed income for life or a set period.
* Dividend-paying stocks: Regular income from dividend-paying stocks.
* Real estate: Renting out a property or investing in real estate investment trusts.

Step 5: Monitor and Adjust
A secure and flexible retirement plan requires ongoing monitoring and adjustments. Consider the following:
* Regularly review your progress towards your goals.
* Rebalance your investment portfolio as needed.
* Adjust your spending habits and income sources as needed.

Additional Tips and Considerations
* Consider working with a financial advisor to help you create a personalized retirement plan.
* Take advantage of tax-advantaged retirement accounts, such as 401(k), IRA, or Roth IRA.
* Prioritize your emergency fund and aim to save 3 – 6 months' worth of expenses.

To learn more, register for our upcoming webinar, Financial Education Update: Quarterly Check In or view our event flyer.  

For more information about the services provided by NFP, please contact your plan’s adviser at 800.959.0071 or retirementinfo@nfp.com.