Getting on the Right Track for Retirement

Financial well-being May 9, 2016 By Robyn Fain

One of the most common things I hear from clients when we discuss retirement is that they do not want to be a burden on their families in their old age. The best way to assure financial security for you and your family is to build a solid plan now, so you can be worry-free and happy in your senior years.

That’s what I’m here for. A financial advisor’s specialty is long-term financial planning and money management. We serve as your coach for achieving your goals. That leads me to my first tip:

Save now. The biggest mistake is thinking you’re too young to worry about retirement. The sooner you start saving, the better off you’ll be. Retirement accounts such as 401Ks and IRAs provide compounded interest, a term that basically means that because your money is invested, it will multiply over the years.

Choose a qualified financial advisor. Investments and money management are complicated and confusing, so make sure you’re working with a specialist. Many people make the mistake of trusting this guidance to a family member. There is nothing wrong with letting your loved ones know their advice is appreciated, but make sure you double-check their suggestions with a trained financial expert. You can check for licenses and customer complaints through BrokerCheck, a federal regulatory database.

Build a plan. Before they get down to crunching numbers, a financial advisor will talk about the things that are most important to you—family, community, pastimes, and church, among others. A financial advisor should ask a lot of questions and show genuine interest in your experiences with money, your concerns, and your life plans and goals to get a comprehensive view of your financial life.

Schedule regular financial checkups. Meet with your financial advisor at least once a year to revisit your investment approach, discuss changes in your life, and make changes to your financial plan accordingly.

Invest in your health. With each paycheck, you’re putting money into social security; make sure you’re healthy enough to be around to collect your benefits. Eat right, exercise, get your annual physical, and tend to your emotional well-being so you can continue to collect a monthly benefit throughout a long and prosperous life.

Be prepared for life and death. Naturally, your financial plan should include a comfortable standard of living for a long life, but you should also plan for the worst. Estate planning is often overlooked and includes your will and setting up a trust for your money and valuables such as your home. These legal documents ensure your financial plan is carried out in your death.

These tips will help you know where to start, and your financial advisor can guide you through a plan that meets your individual needs.

By Robyn Fain

Investments Representative, First United Bank - Norman