The Three Big Risks™

 

 

Retirees face some big financial risks that can devastate their retirement security. A solid plan for creating monthly income should recognize this fact, and then seek to manage risks.

Below is information about what I call The 3 Big Risks: Timing, Inflation, and Longevity risks. Seeking to manage these is a key to enjoying greater retirement security and making your income last.

01. Timing Risk

 

Would you want to leave your retirement security to chance?

The reality is, that simply being unlucky in the timing of your retirement - just picking a year to retire that's a bad one for stocks - can be the difference between your income continuing for years and years, or running out early. Don't leave your retirement security to good luck or bad. Take a moment to review these two short videos below to see how timing can really make a difference no matter if you are getting ready to retire or are currently retired.

Video #1: The Story of Molly and Sandra

The Story of Molly and Sandra

Molly and Sandra are the same age, have the same amount of savings and are taking the same monthly income. 

 

How is it that Sandra loses $416,000 compared to Molly in only 4 years? 

 

Watch the movie! Don't leave your retirement security to good luck, or bad.

*Kovack Securities/Kovack Advisors, Inc. are not affiliated with Wealth 2K

Video #2: The Timing of Investments Matter

Learn how 3-months could make a $1,000,000 difference in your retirement.

The video explains why you should take steps to manage Timing Risk with The Income for Life

Model®.

*Kovack Securities/Kovack Advisors, Inc. are not affiliated with Wealth 2K

02. Inflation Risk

 

The effect of rising prices can threaten a retiree's standard of living. For example, in 1980, the average price of a new car was $7,210. By 1989, it had increased to $15,400. And in 2017, the average new car cost $33,560. At a 3% rate of inflation, a retiree loses 25% of his or her purchasing power every ten years.*

Your strategy for creating retirement income must seek to keep your income on pace with inflation.

*Source: www.thepeoplehistory.com/80scars.html

03. Longevity Risk

 

No retiree stops needing money. So a good question to contemplate is, "How long could my retirement last?" Think about the oldest person you know? Is he or she over 80? or 90? The fact is, a married couple age 65 has a 25% chance that the surviving spouse will live to age 98!*

Your strategy for creating retirement income should provide a "floor" of monthly income you can't outlive.

*Source: USA Today, For your retirement planning, count on living until age 95, 10/5/2016

Be More Confident About Your Retirement.

 

No retiree stops needing income. And no retiree can know in advance which financial risks may threaten their standard-of-living.

Don't confront retirement without a plan for monthly income. The Income for Life Model® helps you manage The 3 Big Risks™.

Request Your Free  Personalized Analysis of The Income for Life Model®.

Harbourside Wealth Management

96 Shaker Road

East Longmeadow, MA

Call us at 413-224-2488

Gary W. Lavallee, ChFC is registered with and securities are offered through Kovack Securities, Inc. Member FINRA/SIPC. Located at 6451 N. Federal Highway, Suite 1201, Ft. Lauderdale, FL 33308 (954) 782-4771. Investment Advisory services are offered through Kovack Advisors, Inc. Harboursldewealth Management and Wealth 2K are not affiliated with Kovack Securities, Inc. or Kovack Advisors, Inc. Gary Lavallee is registered In MA, CT, FL, TN, AZ., VT, VA and MD.