If you’ve put together a comprehensive retirement plan, you have certainly taken the necessary first steps towards allowing for meaningful and enjoyable golden years. However, before you get too confident about your funded retirement plan, there are often several issues that are left out and can be assisted by hiring a knowledgeable financial professional to help you.
These issues include:
- Â Â Inflation: which is why the dollar that you saved previously won’t be worth as much as when it is finally time for you to retire.
- Â Â Taxes: the state revenue board and the IRS will always try to collect a cut of your income if your retirement plan has failed to account for future taxes
- Â Â Estate planning: far too many people fail to take even the minimal steps to conduct estate planning which could put additional frustration and pressure on their loved ones if they suddenly pass away. The very basics of estate planning such as naming beneficiaries for all your accounts and writing a will, in addition to constructing a power of attorney is strongly recommended.
- Â Â Long-term care: most individuals approaching retirement age still have not appropriately accounted for the value of long-term care. The average cost of long-term care for a married couple, for example, is around $130,000. Given the high percentage of people who are likely to go into a nursing home or need some type of long-term care at least once in their life, it is imperative you consider all of your options including long-term care insurance.
Otherwise you may be forced to spend down the assets you intended to pass on to your loved ones in order to qualify for Medicaid or face a host of other problems such as having to fund your own long-term care costs.
