Evolving a retirement plan can save you money in a changing economic landscape

Having a retirement plan that can evolve with today’s changing economy plays a critical role in helping someone’s savings plan last.

Retirement planning today is much different than 20 to 30 years ago, with factors like rising gas and energy prices, geopolitical tensions, inflation and taxes.

Financial advisor Stewart Willis explained on the Asset Preservation Hour that as the economic market changes, it’s important to have a retirement plan that is adaptable.

“Right now, we are in the red zone. It’s game time … I don’t know where the markets are going. We don’t know if they’re going up, going down,” Willis said.

“Anyone who tells you with 100% certainty they know where it’s going, they’re full of it. They are absolutely full of it. Nobody knows with 100% certainty. But what we do is want to make sure that you are prepared for whichever direction this market takes us.”

A persistent myth in investing is that the market always recovers if investors “ride it out.” While it might be true over longer periods of time, there are gaps in this assumption. Markets such as the S&P 500 and NASDAQ have sometimes taken over a decade to recover from downturns. And that might pose a significant challenge for retirees nearing retirement.

“That’s when people panic,” Willis said. “You may not have panicked before. … But you also knew you had 10, 20 years to go until retirement. What about now? What if you lost half of your net worth? What would that do?”

Diversifying your retirement plan and making sure assets are in order can be helpful in making sure your plan is up to date.

Who to turn to for your retirement planning needs?

Asset Preservation Wealth & Tax can help you with all your retirement planning needs. They can map out factors such as lifestyle changes and how they best fit your bonds, stocks and retirement funds.

Additionally, Asset Preservation can make sure your retirement plan is as up to date as possible and sort out Social Security, retirement accounts and investments.

Receive a free portfolio review online or call 602-449-0146 for more information.

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