Congratulations. If you’re reading this it’s likely that you’ve done the right things to put yourself in a good place to retire. You may not feel that way now. That’s normal. Many of our clients don’t feel that way either at first. But after working with us to envision and create a well-planned retirement, they feel confident and excited about their futures. (Well-planned does not mean this is going to be hard. I don’t think it will be.)
How do I make the most of my resources?
Keith (64) and Mary (61) – Ready to Retire Now
In this example, the couple has saved healthy balances in their retirement accounts, but they know they can’t afford to make mistakes. They’re looking for help putting it all together to make sense of what their retirement will look like. Sound familiar? If so, please read on:
Background:
Keith and Mary would like to know if they can retire in the next year. Keith, age 64, has had a career in management and has been with his current company for 20 years. He would like to retire at the end of this year. His wife Mary, age 61, has worked as an office manager for almost 25 years. She also is ready to retire but wants to make sure it’s the smart thing for them to do. They have around $750,000 in retirement accounts and $150,000 in other savings. Keith will also receive a small monthly pension and they will both have Social Security.
They saw their investments take a hit during the 2008 financial crisis and they are worried about that happening again. They will receive around $30,000 per year from Social Security. They live a modest lifestyle but know they will need to use their savings to fill the gap in income from costs not covered by Social Security and their pension. They want a strategy for predictable income and a plan for how they can enjoy their retirement, not just survive it. Keith is also concerned that Mary is taken care of should the need arise, and she is on her own.
After getting to know the couple, Hunt Country Wealth Management will design a plan with the following goals:
- Limit the risk of a bad stock market derailing their retirement.
- Optimize their Social Security and Pension Plan.
- Preserve their principal.
- Protect their standard of living against inflation by planning for a rising income for 30 years of retirement and beyond.
- Plan for health insurance costs until they reach age 65 and qualify for Medicare.
- Show exactly which retirement savings accounts to use first, when and how.
- Create a system for how their income will be directly deposited into their bank account and taxes will be withheld.
Expected Results for Keith and Mary:
- Keith and Mary know exactly how much income they can expect.
- They can retire on their terms, when they want, with certainty and confidence.
- They feel secure knowing they have planned for today and for their future.
- Keith feels good knowing that Mary has both a plan and a relationship that will last throughout their retirement even if something happens to him.
