Transcript:
This is money talks with Chad Olivier, sponsored by Olivier Group.
Hi. I’m Chad Olivier, certified financial planner and CEO of Olivier Group. Today, we’re going to talk about avoiding common mistakes as you head into retirement.
Heading into retirement can be very stressful. The following are some things to think about as you’re going into retirement.
First, plan for extra expenses. Many assume living costs will drop in retirement, but early years can bring increased spending on travel, hobbies, and health care. Be sure to budget for these extras.
Next, account for health care costs. A healthy sixty five year old today may spend close to one hundred and sixty five thousand dollars on health care during retirement.
Don’t underestimate taxes. Most forms of retirement income, like pensions and social security income, are taxable.
Proper tax planning can make your retirement income more efficient.
Make adjustments during retirement. Your retirement plan is ongoing and needs to be adjusted before and during retirement. This is a working document and always needs to be up to date. And don’t forget about RMDs.
At age seventy three, you’re required to take distributions from certain retirement accounts like your IRAs and 401ks.
Failing to do so can result in hefty penalties.
Sometimes it may make sense to start a Roth IRA conversion strategy as soon as possible to lessen the tax burden RMDs will have on your portfolio.
Visit us at oliviergroup dot com and reach out to one of our certified financial planners so that we can help guide you through retirement planning that works for you and your family. And that’s why money talks, but planning pays.
This has been money talks with Chad Olivier.
