Broker Check

1617 NE 12TH AVE
SUMTERVILLE, FL 33585

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Jeffery W. Masters & Associates, Inc.

954.977.5150

 

Retirement Risks We Face

Retirement Risks We Face


  1. Longevity Risk 

Possibility of living 20, 30, or even 40 years past retirement. Without planning this risk multiplies all the other risks in Retirement. Chances of one spouse of a 65 yr old couple reaching 94 – (50%)


  1. Inflation Risk 

Can be much higher for Retirees due to Health Care expenses (3.6 x avg higher than CPI). You Money will be worth 50% less in 20 years @4% inflation.


  1. Healthcare & Long Term Care Costs

US Gov reports that 70% of people who reach age 65 will require long term care. Today’s cost for 5 years of care is $387,000 per person . . . in 10 years that price will double. This is an Estate killer!


  1. Withdrawal Risk

Assuming optimistic withdrawal rates (6-8%/yr) can be devastating to the longevity of your savings/investments in a extended down market . . . you can run out of Money much sooner than planned or anticipated.


  1. Market Risk

Retirees in this low interest environment should consider investing in Dividend Stocks and Corporate/Gov Bonds. These markets have been and will be volatile

 

There is no assurance that the techniques and strategies discussed are suitable for all investors or will yield positive outcomes. The purchase of certain securities may be required to effect some of the strategies. Investing involves risks including possible loss of principal. The payment of dividends is not guaranteed. Companies may reduce or eliminate the payment of dividends at any given time. Past performance is not a guarantee of future results.