<img height="1" width="1" src="https://www.facebook.com/tr?id=355574881622306&amp;ev=PageView &amp;noscript=1">

Thayer Partners Blog

3 Signs You Need a Retirement Plan Consultant

[fa icon="calendar"] Dec 21, 2015 9:00:00 AM / by Chris Wilmerding

Chris Wilmerding

3_Signs_You_Need_a_Retirement_Plan_Consultant.jpgWe can all use a little help from time to time. This is especially true when you’re looking for help with your retirement plan. Retirement is a major new phase in life, and it’s important to be as prepared as possible for it.

However, despite the importance and financial complexity of dealing with retirement, a lot of people try to make their retirement plan all by themselves. For some, this can be enough to have a livable retirement. For others, getting the most out of retirement takes some help, such as from an experienced retirement plan consultant who can take a look at your retirement goals and make some planning suggestions.

How can you tell if you need a little help from a retirement plan consultant? If the following three signs apply to you, then you might want to get an advisor to provide some retirement plan services for you.

Sign #1: You Have No Retirement Savings or Income Sources Set Aside

One of the most basic signs that you need to start consulting with some retirement plan advisors is if you’re nearing retirement age without having any kind of retirement savings account or income source set up already.

Setting up a source of money to help pay for your expenses in retirement is one of the most fundamental parts of a retirement plan. If you don’t have some kind of retirement savings account or other income source ready to go for retirement, you should get help setting up something that can help fund your retirement.

There are a lot of expenses that can pile up in retirement, from day-to-day things like food and gas, to large, sudden expenses such as hospital bills for treating an injury or illness. Having the money to pay for these things is a crucial part of being able to retire comfortably and maintain your independence.

Sign #2: You Have No Idea What Your Social Security Income Is Going to Be in Retirement

For most Americans, Social Security will be their single largest source of income in retirement. However, as big a source of income as Social Security can be, many Americans have no clue how much money they can expect to receive from Social Security in retirement, let alone how to maximize said income.

Part of the issue is that there are over 70,000 unique scenarios for collecting Social Security retirement income. Depending on factors such as your marital status, average income over your working life, whether or not you have a physical disability, and when you start collecting Social Security income, the amount of money from Social Security you will receive can change dramatically.

If you have no idea how much your Social Security retirement income will be, even after checking the SSA’s website, you may want to contact someone to provide you with some retirement plan services.

Sign #3: You Don’t Have a Monthly Expense Budget Set Up Yet

Do you know how much money you’ll need each month in retirement to maintain your current standard of living? If not, it may be time to get a retirement planning advisor to help you establish a household budget so you can start planning for retirement.

Not knowing how much money you’ll need to survive on from month to month can do drastic harm to your finances in retirement.

For example, say that you’ve got $83,000 a year of income in retirement (after-tax). That might seem like a lot of money to many. However, if you’re spending $8,000 a month after-tax, you’ll eventually run out of funds since that means you’ll be short $13,000 a year.

A retirement planning advisor can help you set up your monthly budget and identify the kind of unnecessary expenses you can avoid to lighten your load in retirement so that your retirement nest egg might last longer.

If one of the above signs applies to you, you may want to consult with a retirement planning advisor. If two, or all three, apply to you, it’s probably very important that you consult someone about your retirement plan as soon as you can.

Getting ready for retirement takes careful planning and preparation. And being prepared can help make your retirement go more smoothly so you’re better able to enjoy this new phase of your life.

Avoid Running Out Of Money At Retirement  

Topics: Retirement

Chris Wilmerding

Written by Chris Wilmerding

Chris Wilmerding is Principal of Thayer Partners, an independent investment management firm located in Westwood, MA providing financial planning and wealth management counsel to individuals and their families.

Subscribe to Our Blog

Avoid Running Out Of Money At Retirement

Recent Posts