Dealing With Uncertainty and Your Retirement

By |2017-11-21T00:15:14+00:00April 9th, 2014|Retirement Planning|

The times we live in are certainly exciting are they not? The nightly news occasionally even says they are historic. So much is happening in the world, events in politics, world governments, budget news and on it goes. Some of the points I want to talk about in this blog could even be over by the time you read this — amazing how fast our world is going.

A recent report on CBS news said unemployment was now under 7.5% but that doesn’t include the 7% who have just given up on even finding a job.  Regardless of past press releases, I think the United States economy is still struggling.  Just consider the uncertainty over what effect our health care system and the effect past legislation could have on the small business owner, extra costs and a higher tax bill.  How will our economy handle these changes?

Recently we were told that health care deductibles are going up along with taxation and the never ending increase on our grocery bill. Those on fixed income are certainly feeling the “Squeeze” especially current and soon to be retirees. There’s constant talk of “reforming” (translation: REDUCING) Social Security, and Medicare, So our seniors and Baby Boomers will be paying MORE, and getting LESS for everything! Senior day at the Super Market doesn’t help us that much.

Our National Debt continues to rise; the Federal Reserve and their 4 year program of issuing money and buying US Treasuries to keep the interest rate artificially low has to come to an end, what then?

Pray that the “world lenders’, never decide to cash in their US Treasury holdings. And, Washington seems to be clueless regarding how to fix these problems or provide leadership. Their solution only seems to be higher taxes.  Has the US Congress ever had this low a level approval? Higher taxes!  The US citizen is faced with very difficult options, how to survive and possible thrive under our current tax obligations.

To our problems add the world’s unrest and our country’s need to be its policeman.   Uncertainty abounds, I hope I am not coming across as super negative because, in fact. I know exactly how I can help the world from my small perch.  I can take care of myself, my family and help my clients.  While we are all forced to prepare for the worst, we still have in our power the ability to plan for the best. Plan for the worst.

The best is simple: stability within our lives.  That stability begins with our finances and the ability to live in today’s complicated world.   Hope for the best, prepare for the worst. The worst in many cases is not having enough money to live at a sustainable standard of living.  Get certain about the things you CAN control! Namely, your expenses and your retirement money!

How?

Make a plan. A budget just as a business would and know what you are spending and why.

Know and understand your income . Where does it come from? Is it GUARANTEED or is it IFcome.  IFcome is money that MIGHT, WOULD, COULD, SHOULD “come in” if the stars align. You need to know what money is guaranteed to come in, no matter what the market does, no matter what happens in the world.  Guarantees include your pension, social security, annuities etc.

Be honest and stop kidding yourself. Stop listening to anyone that tells you that promises are better than guarantees. Stop listening to anyone who claims that exposure to risk is in your best interest. Stop listening to anyone that is willing to gamble with your retirement.

But,do start by making your retirement monies safe, guaranteed, secure and stable.  Next, make sure that your money never runs out, never runs dry-no matter how long you and your spouse live. Products exist for you to hand the responsibility of risk management to a risk-bearer who will put in place the guarantees needed.

N0w YOU can have control over your money, your income, and your retirement! Take back control and have peace of mind.

About the Author:

Rick J. Hahn
Rick has helped thousands of people find the safest approach to a stable and satisfactory retirement. Rick is a Certified Retirement Financial Advisor (CRFA), has been advising retirees for over two decades in Safe Money and Lifetime Income strategies. Web Site: safeharborfinancial.retirevillage.com