A lot of people think about retirement but most of them don’t actually do any planning. If you wait until the last minute to plan out your retirement, you might end up losing valuable finances and opportunities. Feeling confused about retirement isn’t uncommon and a Transamerica survey showed that out of over 4,000 workers who were asked about retirement only 59% were confident they could retire comfortably but most were only saving 8% of their salary. 8% isn’t a lot to work with and if you use a retirement planner, they can help you save more money so that you can enjoy your retirement years.
There are a lot of areas to consider when you start to plan your retirement and the Certified Financial Planner Board of Standards recommends thinking about long-term care options, health care costs/needs, estate planning, and your income once you retire.
Perhaps the biggest issue people focus on is their income once they leave their jobs. Once you reach the age of 66, you can start to collect your Social Security benefits. While you’ll get 100% of your monthly benefits at this age you could get even more if you delay collecting your Social Security. If you wait just one year, instead of 100% you can get 108% and if you wait for the maximum number of years (age 70) you could get 132% of your monthly benefits.
The accounts you keep your money in, like savings or retirement funds, also matter when it comes to saving money. If you withdraw from these accounts in a specific order you can decrease the amount of taxes you pay in the long run. A retirement planner who is knowledgeable about these things can look at all your accounts and come up with a strategy to leave you with the most money.
Your planner can also help you decide exactly when you should retire. If could be right away when you turn 65 or they might have you delay if a few years if possible. They also might suggest you keep working part-time after you have retired from your full-time job. That has been the trend over the past few years and more people 65 and older are continuing to work. In Michigan, there are 200,000 workers 65+.
There are a decent amount of Certified Financial Planners (CFP) that are located in Detroit and you can ask for referrals from friends or coworkers. Your company might also have a retirement planning group or package deal, so talk to your employer to find out. To find other local CFPs you can use a few of these tools.
The BBB of Detroit and Eastern Michigan not only lets you search for local retirement planners but you can read business reports and find user reviews as well.
The National Association of Financial Planners has a search feature on their website that allows you to find any type of financial planner in the area. You can refine your search to retirement planners and you can change the distance to find planners that are closer to your home.
The Certified Financial Planner Board of Standards also has a search tool and you can find retirement planners in Detroit by entering your location and doing and advanced search on retirement planner.
The General Retirement System City of Detroit offers some helpful tools for people who are planning their retirement. Not only can city workers learn more about their benefits and retirement, the general public can find forms they might need, read reports or booklets on retirement, find out about informational meetings, and find links to other helpful websites. You can call the office at (800) 339-8344 or visit their website to gain access to the online resource center.
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