The Ins and Outs of Retirement Planning
You’ve just walked across the stage in your cap and gown, the commencement speech is over, and now you are executing a job hunt of mammoth proportions. Welcome to the real world or at least the postgraduate world where money is earned and saved, and the hustle is real. Before you sit down for your first interview or cash your first paycheck, you should already be thinking about retirement. Knowing the basics will help you navigate through new employee paperwork, and it will set you up for long-term financial success. Retirement needs to be a part of your overall work plan from day one. Here is the who, what, when, where, and why for retirement plans to help you swim through and understand the murky economic waters which lay ahead.
Who Needs a Retirement Plan?
If you have dreams of not working at any point in the future, then you need a plan for retirement. Most people fall into this category since the old motto stands true, “we work to live, and we don’t live to work.” Retirement is only possible if there is money in the bank to live off of in the future.
What Type of Retirement Plans Should I Invest In?
Most employers offer some retirement plan to their employees, and many of those have matching programs. The most common plan option is a 401(k). A 401(k) is a retirement plan sponsored by a business that allows employees to invest a portion of their paycheck without being taxed until they remove their money. Many companies “match” employee investments up to a certain amount. For example, if you decide to put four percent of each of your paychecks into a 401(k), the company might match that percentage; resulting in a total investment of eight percent. Consult your Human Resources representative to get a better understanding of your Retirement Plan offerings since each company provides different incentives.
When Should I Start to Invest in My Retirement?
It is never too early to start saving for your future. The full retirement age for Social Security in the United States is 66, and early retirement benefits begin at age 62. However, the retirement age is going to rise to 67 for anyone born after 1960. When you consider the average life expectancy is almost 79 years old, you need to prepare for 12 or more years of financial security without bringing in a paycheck. Setting aside small contributions now will alleviate the headache of saving as you draw closer to retirement age.
Where Should I Invest my Money?
Every individual has different aspirations for their life after they have completed their time in the workforce, which is why no two retirement plans should be alike. Retirement plans are not one-size-fits-all solutions. Mutual funds, stocks, bonds, and traditional savings accounts are just some of the investment choices available. But where to actually buy those investments is just as important. What type of account should you open? Roth IRAs, 401(k)s, SEP IRA’s, Traditional Brokerage Accounts, Profit Sharing and Defined Benefit Plans…making sense of all the rhetoric, the legal stipulations, and the market fluctuations can be difficult for a novice investor.
Why Do I Need to Get Advice From Someone Else about My Money?
Putting money aside in a company-sponsored 401(k) is only the first step to preparing for your future. There are so many more stages in the process, and a financial advisor can guide you through the maze of your fiscal landscape. When you seek the assistance of a financial professional make sure they have proven track record of integrity, and the incentive to put their clients first. Benedetti, Gucer & Associates (BGA) is a full-service Wealth Management Firm located in Atlanta, Georgia. BGA is a Registered Investment Advisor (RIA) and operates in a fiduciary capacity for their clients. This means that they have a legal duty to provide clients with proper investment advice and to always act in their client’s best interests.
BGA believes in a holistic approach to wealth management, and they work to protect and grow their client’s assets through a variety of diverse investments. When you meet with an advisor at Benedetti, Gucer & Associates, they will evaluate your financial situation, time horizon, goals, and risk tolerance to determine a sophisticated plan to meeting your short- and long-term financial goals.
The professionals at BGA work with a variety of clients, many of whom are in the wealth accumulation phase of their life and careers. Their clients are typically hard-working, self-made individuals searching for guidance on how to most efficiently grow and protect their wealth. They also recognize the importance of not procrastinating. Do not make the mistake of waiting too long to invest in your future. Call BGA today to make an appointment with one of their reputable Wealth Management Advisors.
The views expressed represent the opinions of Benedetti, Gucer & Associates and are subject to change. These views are not intended as a forecast, a guarantee of future results, investment recommendation, or an offer to buy or sell any securities. The information provided is of a general nature and should not be construed as investment advice or to provide any investment, tax, financial or legal advice or service to any person.
Additional information, including management fees and expenses, is provided on Benedetti, Gucer & Associates’ Form ADV Part 2, which is available upon request.