The need to revisit traditional retirement advice now

By April 13, 2019 Retirement & Work

Retirement Planning may not be as simple as following a set of rules. You have to look closely at your situation, your income, your goals, and your desired standard of living now and later on. As this financial adviser says…it’s time to “retire” some popular retirement advice that no longer makes sense in today’s world. Check what needs to kept in mind now. Team RetyrSmart

The need to revisit traditional retirement advice now

Rising healthcare costs, the elimination of most private pensions, and our increasingly long lifespans have made the quest for retirement an arduous, taxing journey that leaves many people behind. As a result, retirement may be drastically delayed for some of us and a total pipe dream for others.

There’s not much any of us can do now to change the past, but we can (and should) save and invest more and start treating retirement like a priority. Perhaps more importantly, we need to abandon old beliefs about what retirement should be.

Traditional Advice

Contemporary Response

1 You can withdraw 4% of your retirement savings, plus annual inflation adjustments, and make your savings last Be more flexible with your plan
2 Once you cover your living expenses with investment income, you can retire Expect to need more money than you think
3 Invest a set percentage of your portfolio in stocks, no matter what Consider your risk capacity
4 You’ll probably die young, so plan for retirement accordingly Your money needs to last
5 Once you cover your living expenses with investment income, you can retire Expect to need more money than you think