Well, if the stock market caught you off guard again … “fool me once, shame on you! But, fool me twice, shame on me!” Do your company and your employees want to continue on a stock market roller coaster? What do you think will happen to the stock market if, for example, Israel strikes Iran [...]
You know you’re not getting the value you deserve when your actuary: 1. Is not available immediately when you need them. If the person that you report to wants an answer now, you need an actuary who will give you advice immediately. If you are in union negotiations, you need answers immediately. 2. Doesn't give [...]
Our retirement system is failing too many Americans and government needs to step up to the plate to provide meaningful legislation which will help facilitate retirement. Employers, workers, and the government should share the responsibility for the retirement security for all Americans. Here are the top 5 areas that I believe our government should focus [...]
The bad news is that, unless you have a defined benefit pension plan or you die young, you will likely not have sufficient retirement assets to last for your lifetime. Americans are not saving nearly enough for retirement. Let’s assume that you will have an investment return of 4% after retirement and want to retire [...]
A new Society of Actuaries study “The 2011 Risks and Process of Retirement Survey” reveals growing concern of risks among retirees but little change in their retirement planning. The retirement risks that most concern both retirees and pre-retirees are: • Keeping the value of their savings and investments up with inflation (69 percent of retirees, [...]
Only 20% of companies maintain traditional defined benefit pension plans (“DB Plans”). More than 40% of companies provided these DB plans 20 years ago. Outlined below are the main reasons why companies continue to sponsor these plans at all: 1. DB Plans are the best retirement plan for employees. Employers who really care about their [...]
Retirement decisions affect how we will live for the last third of our life. A firm foundation in reading and mathematics is essential for providing us with the tools that we need to make sound financial decisions later. Deciding to invest in higher education is one of the most important decisions of our lives and [...]
The majority of people still working today will retire without a traditional (defined benefit) pension plan. Some of them will have substantial balances in 401(k), 403(b), or other personal savings, but most of them will not. Most people will have the promise of Social Security, home equity (which may well recover a lot of its [...]
A new study from the Center for Retirement Research at Boston College concludes that retirement security depends more on the things we can control than on the things we can’t control, like investment returns. The most important things we can control are when we start saving, how much we save and when we retire. The [...]
Kenneth B. Petersen is an investment adviser and principal of Monterey Private Wealth Inc. in Monterey. He points out 10 financial planning necessities below. While I agree with Kenneth on each of these points, I have added my own comments at the bottom of each of the first 8 points. 1. Have a personal investment [...]