Retirement Income Planning

It depends on your lifestyle, family situation, health and monthly expenses. A general rule of thumb is: 35 years old – 1 year’s salary, 45 years old – 3 years’ salary, 55 years old – 5 years’ salary and 65 years old – 8 years’ salary.

The earliest is at age 62, but it will be reduced benefit and there will be a $1 reduction for every $2 you earn over a certain amount. If you are still working full-time then it will probably be to your advantage to wait until your full retirement age (FRA). For anyone born in 1960 or later, their FRA is age 67. There is no reduction in benefits or offset for earned income at your FRA. We can help you figure out if age 62, your FRA or age 70 is to your advantage.

You are eligible for Medicare at age 65, but if you are still working full-time and covered under a group medical plan then you can wait until you quit or retire. There are several parts to Medicare and Medicare supplements to fill in the gaps. We can help you with Medicare questions and guidance in selecting the best supplement.

We have some very good tools to help us with future cash flow projections to monitor income and expenses. We cannot guarantee future performance or that you won’t run out of money, but by meeting on a regular basis, we can make adjustments if needed to avoid any unpleasant surprises.

The sooner the better. You should definitely meet with an advisor if you are planning to retire in the next 5 years. Advanced planning now can save you a lot of time and money in the future.