You're in the home stretch – retirement may be only five to 10 years away. If you aren't sure how much you've saved for retirement, or how much you should save, now is the time to get your retirement plan in order.
It is estimated that you may need 60 to 100 percent (or more) of your final year's salary each year during retirement to maintain your current lifestyle. Start by asking three questions:
Calculate what you have saved already and decide how much longer you plan to work. After factoring in potential Social Security benefits, you can start saving in vehicles like:
Over time, money grows. If you've gotten a late start saving for retirement, consider how much risk you are willing to take with your money. In general, the higher the risk level you are willing to assume, the greater the potential return on your investment.
Ask yourself if your money is earning as much as it could.
Look at where your money is invested. By moving some of your money in a savings account to mutual funds or an annuity, you may be able to earn more. The following products may help you save for retirement more effectively:
It might seem odd to spend money in order to make it, but it's true when it comes to saving for your retirement. Annuities and mutual funds can help you plan for retirement while life insurance can help you prepare for the future:
Life insurance – If you are married, an unexpected passing could derail your retirement plan so you should consider protecting your income with life insurance certificates that build cash values.
Annuities – Annuities provide future sources of income and possibly offer certain guarantees. Settlement options allow you to create an income stream that you can't outlive.
Mutual funds – Mutual funds expose you to the stock market by enabling you to invest in a group of stocks or bonds that match your risk preferences.
WEB78 - 2/1/2017
Click on this symbol for important additional information.