5 Key Risks to Retirement Income Planning
Submitted by Parkhouse Financial / Portfolio Strategies Corporation on October 21st, 2013
Planning for your ideal retirement requires an understanding of the five key risks that can threaten your retirement income:
1 - Longevity: the risk of outliving your savings.
2 - Inflation: the potential for rising consumer prices to erode your purchasing power.
3 - Asset Allocation: the problems that could result from choosing the wrong investment mix, i.e. improper allocation between equities, bonds and short-term securities for your retirement.
4 - Withdrawal Rate: the risk of withdrawing too much from your savings and running out of money during retirement.
5 - Health Care: the very real chance that a future illness or disability may have a significant impact on your retirement savings.
Even though these are risks to retirement income, they need to be considered well before retirement, as well as being continually monitred during retirement.
The consequences of ignoring them can be long-lasting.
Yet all of these retirement income risks can be managed, provided you understand them and take action by creating a sound financial plan for post-retirement income.
Is Your Retirement Vision Shaping Up to be Successful?
As everyone’s situation is unique, contact me directly at 416.838.3617 or nparkhouse@pssecurities.ca so I can help you determine the most appropriate investment and tax planning solutions to bring your ideal retirement vision to life!
And, feel free to forward this email to someone with whom you feel this topic will resonate.
Nathan
