5 Financial Tips Every Baby Boomer Should Know
Today, 10,000 baby boomers will turn 65. Another 10,000 will turn 65 tomorrow. According to the Pew Research Center, this is a trend that will continue each day for roughly the next 18 years. Yes, the baby boomer generation is hitting the traditional retirement age, and with that comes a host of questions and concerns about how they can best handle their financial situations and what they can do to help plan for a successful retirement.
“With a very slow growing economy, we have heard from many baby boomers who are a little nervous about retiring and living out the rest of their life on a fixed income,” explains Brad Glickman, CERTIFIED FINANCIAL PLANNER™ professional and President of Bernard R. Wolfe & Associates, Inc., a company specializing in offering wealth management strategies. “The good news is that there are a lot of steps that can still be taken to help make the most out of their financial situation during their retirement years.”
Here are 5 financial tips every baby boomer should know:
1. It’s never too late. Just because someone has reached retirement age, or is nearing it, doesn’t mean that it is too late to make sound financial plans. It’s never too late to create a plan to successfully navigate the rough financial waters.
2. Re-examine your investment strategy. As the focus shifts from growth to income, one may need to reevaluate their current investment strategy to one that may be more appropriate for retirement.
3. Review your risk management plan. It’s important to have proper insurance and legal allocations in place to help protect any assets that have been acquired. While life insurance may have been a primary focus during peak earning years for income replacement purposes, long-term care insurance during retirement may start to become more important to protect the assets.
4. Review your budget. The budgets we have while we are working may be very different from the budgets we have during retirement. While many save on work related expenses, medical costs and travel expenses may rise after retirement. It’s important to have a handle on the types of adjustments, as you may need to make changes in your cash flow to remain comfortable.
5. Get professional help. Working with a financial planner can help make the difference in having a financial plan that leaves one feeling confident. A financial planner can assess your current situations, make sound recommendations, and help you create an educated and well thought out plan designed to help you achieve your retirement goals.
Roughly 80 million baby boomers have already reached, or are nearing, retirement age. Yet research shows that only 55 percent of them are satisfied with their retirement savings, and another 36 percent worry that they won’t be able to retire at all. Yet it is not too late to make a realistic plan to live by.
“Hoping for the best is not a strategy,” added Glickman. “It’s important to get a handle on where you stand to create a disciplined plan for your future.”
Bernard R. Wolfe & Associates, Inc., has provided financial management strategies and investment services since 1981. They assist a wide range of private and corporate clients with everything from estate planning and investment to divorce planning. The company also offers professional women’s financial planning services, led by Vice-President, Samantha Fraelich, a CERTIFIED FINANCIAL PLANNER™ professional.