Inflation-Adjusted Retirement Planning

Obstacles to Your Retirement


 

There are several major obstacles to realizing an enjoyable retirement
This website can help you with the following obstacles:

Not knowing how to plan for retirement

Click here to start learning
(Read all the material carefully)

Failing to account for inflation

Click here to learn about inflation

Failing to estimate a reasonable inflation rate

Click here to learn about inflation rates

Failing to determining a realistic life span

Click here to learn about lifespan

Failing to estimate a reasonable retirement income

Click here to learn about retirement income

Failing to determine a realistic retirement date

Your retirement date should be based on balancing your contribution years versus your draw years to provide a fairly constant quality of life.
Click her for the planning model
  

Failing to account for Social Security limitations

Click here for Social Security
and other government retirement plans

Failing to set up a supplemental savings plan

Many retirement plans offered by local, state, and federal employers, and a few private companies, are generous and sufficient on their face, and don't appear to need a supplemental savings plan. 

However, all of these, including Social Security, have very large unfunded mandates that cloud the future viability of such plans.  Many "defined benefit" plans have already been discontinued, and those still surviving face cancellation for being far too expensive to continue.  Government plans, including Social Security, do not pay for themselves.  What you contribute is severely insufficient to cover your future promised benefits. 

The trend is toward "defined contribution" plans, which is just a fancy way to say that you only will get what you actually pay for.  In this climate, you as the retiree are the one responsible for insuring that your retirement needs are met. 

Failing to have an intelligent investment strategy

This is the most volatile part of retirement planning.  Unfortunately, reward and risk are inextricably linked so that higher rewards entail higher risks.  In addition, charlatans abound promising rich rewards, but delivering nothing.  The most valuable strategy you can employ is to sufficiently diversify your investments on the probability that financial catastrophe will be limited and not widespread.

Procrastination

Only you can help yourself with the last obstacle:

2008, Simon Revere Mouer III
all rights reserved