Similar words were spoken by astronaut Jack Swigert on Apollo 13, “Houston, we have a problem”. So, what exactly is our problem here in Huntsville? Let me start out with the good news. We are a highly educated population. We have more engineers per capita than almost any place in the U.S. We have multiple college campuses within a short drive. We work on things that are at the heart of our country’s national defense. So, what could possibly be our problem you ask?
We are going to live a whole lot longer than we expected. It is a fact that educated people eat better, have healthier lifestyles, and tend to avoid things that are detrimental to their health. Couple that with all the advancements in medicine and most of us can expect to live well into our 90’s. The problem is will our retirement income last as long as we do? Most people, when planning on their own, only figure on living into their mid-80’s. That is almost 10 years too short. Will you be able to work those last 10 years? Wal-Mart is slowly phasing out the greeter position and moving in with our children isn’t an option many of us look forward to either. So, what should we do? Sadly, for most people the advice they get is to save more, work longer, and spend less.
Having an in-depth retirement plan is crucial in answering many questions, including the big one, when can I retire? Using Monte-Carlo simulations on your portfolio performances during your retirement, having a cash flow projection, and looking at the impact of taxes plus the all-important order of withdrawals and from which account add up to being able to live out the retirement of your dreams, including the one you have saved for.
If you are interested in a solution to the longevity problem, call us at 256-417-4870 and let’s schedule an appointment with your Retirement Mission Control.
Mike Mickels is President of CochranMickels Retirement Specialists and an avid sporting clay competitor. CochranMickels Retirement Specialists provides personalized planning and investment services to individuals approaching and in retirement. They also provide retirement and benefits training to Federal employees
Securities offered through Registered Representatives of Cambridge Investment Research, Inc., a broker-dealer, member FINRA/SIPC. Advisory services offered through Cambridge Investment Research Advisors, Inc, a Registered Investment Advisor. CochranMickels and Cambridge are not affiliated.