How can retirees best ready themselves for a possible recession? Construct a sound financial plan if you don’t already have one, according to the author of today’s article. And if you already have an appropriate financial plan in place, his advice, “in short, is to do nothing.” Why does he recommend doing nothing in the face of a possible recession? Because, as he proceeds to outline, “a recession doesn’t automatically lead to losses in your portfolio”. For more, CLICK HERE.
In a new survey conducted by Fidelity Investments, 75% of respondents reported feeling only somewhat confident to not confident at all about their retirement finances. Ultimately, those that lacked a financial plan for retirement lacked confidence, while those that had a plan also had confidence. As such, today’s article lays out “five small, practical steps you can take to boost your confidence in your retirement finances by creating a financial plan for retirement”. For more, CLICK HERE.
Is 2.6 the new 4? When it comes to your financial plan’s safe withdrawal rate in the low-return environment that many institutions are forecasting for traditional asset classes going forward, that may be the case. However, rather than just accepting lower withdrawal rates, there may be things investors can do to overcome this situation. Today’s article offers a number of ideas in that regard – “a diversified set of marginal improvements that taken together can compound and have a large impact on investor results.” To read more, CLICK HERE.
Dipping into your 401(k), taking out a loan, or turning to high-interest credit card debt when life throws one of its unpleasant (and expensive) little surprises your way has its cost. As the author of today’s article notes, “any of these steps will set you back in growing your net worth and hinder your ability to reach your goals.” Thus the need for an emergency fund as part of one’s financial plan. But how much cash should an emergency fund contain? How do you go about building up an emergency fund from scratch? And where does the author state is the best place to keep an emergency fund – and why? CLICK HERE.
Today’s article is all about emergency funds – including what the purposes of an emergency fund are (aside from the obvious), what does (and does not) constitute a good emergency fund, how to invest an emergency fund, whether a health savings account should be considered part of an emergency fund, the inherent problem with emergency funds – and whether emergency funds even still have a place in most people’s financial plans. To read more, CLICK HERE.
The transition from building up savings leading up to retirement to spending down those savings once in retirement can be challenging, both strategically and psychologically – and thus mapping out an in-retirement financial plan is critical, notes the author of today’s article. To aid in this complicated endeavor, she lays out “the key tasks to tackle” when devising such a plan – including deciding whether to annuitize a portion of your portfolio (and, if so, how much), determining your withdrawal sequencing, and coming up with a succession plan for your portfolio. To read more, CLICK HERE.