CASE STUDY: A RETIREMENT TRANSITION
The Smith’s, new clients in 2013 asked: Can we retire in 5 to 10 years and make it?
They knew what accounts they had but really did not know where they stood financially in regards to retirement. They had not yet defined what retirement looked like for them as a couple. Specifics like where to live, if he would continue to work part time, selling or keeping a vacation home, and her health issues were just some of the topics we discussed.
How we helped: As Retirement Income Specialists we used our unique planning process to define what they each wanted in retirement. We made sure all 8 Wealth Management Issues were discussed for gaps. We ran several scenarios through our Social Security Maximizer to determine the optimal time each would begin taking benefits.
- Discovered they needed to increase liquidity and established a plan to do so.
- Determined he should continue to work until 65 before claiming Social Security to create more income stream for their goals.
- Reviewed their tax return and identified some unused opportunities to reduce liability.
- Walked them through the rollover process with past and current employer retirement plans to avoid paying tax twice on retirement money and how to consolidate accounts.
- Showed them potentially what their new income stream would be, what risks might impact that stream, and ways to avoid the risk. This included an insurance review and long term care options.
Because we comprehensively evaluated their financial life The Smith’s retirement dreams are now goals with a deadline. We will continue to evaluate and adjust their financial plan as their deadline approaches. We look forward to the day we tell them - Yes, you can retire now!