The ThirdAge Retirement Troubleshooter |
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I invest regularly in my company sponsored retirement plan but little else
Company sponsored retirement plans provide an excellent opportunity to prepare for retirement. However, if you're depending on a company defined benefit plan as your sole source of income, be aware of a few things.
Jeff Fleming states: most company plans only offer 40-600f retirement income. 401(k)s, which are like having your own personal pension fund, only allow a maximum contribution of $9,500 a year. Depending on the lifestyle you want, and when you started saving, there might be a shortfall. The money has to come from somewhere and it's incumbent on individuals to save on their own.
Plus, investing is only one piece of retirement planning. What about health insurance? Medicare doesn't start until 62; what if you're only 60? And life insurance--group life might be lost when retiring. Will you need to buy your own?
Financial information and advice abound, but Jeff Fleming asserts: the belief that everyone can go it alone armed with a book is part of an informational age scam. Build a long-term relationship with a trusted financial planner. It's your financial planner's responsibility to walk you through all the "what ifs" of retirement.
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I don't know if I have enough to retire
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