The Active Years Ages 50 - 65
Your 50s to mid 60s are a point of consolidation: the groundwork of your retirement planning should already be in place and you should be well along on the process of realizing your goals. There is still time to make changes if you think you will fall short, but there isn’t time to waste. This is commonly one of the most enjoyable stages of life when you have both the energy and financial means to do things you have always wanted to. Things to consider
Common sense actions you can take
- Making decisions about when and how you want to retire are an essential part of meeting your goals. If you are unclear about what you want, it’s hard to make the right financial decisions. Write them down and look at the list often.
- If you have debts that are not making you money, try to pay them off as quickly as possible. If you can’t do it when your earning power is likely at its highest, don’t assume that you will be better able to do so when you are retired.
- Are you helping your children get started? It is not that uncommon for parents to provide financial assistance to adult children that are finding it hard to get established. Do you have the means to do so? How should it be managed?
How can we help you?
- Where is that financial plan? If you are asking this question, talk to a financial planner as soon as you can and review the plan you develop periodically. Your time is limited before retirement so you need a plan to stay on track. It is a dynamic document that needs to change as quickly as your financial situation changes.
- Realize that even the best plans can be adversely affected by factors you can’t foresee: illness, untimely death and job loss to name a few. Develop contingency plans and consider appropriate insurance as a safeguard.
- If your current spending patterns are keeping you from saving for retirement, make some adjustments. If you have trouble saving, talk to an investment advisor about PAC plans that automatically invest a portion of your income.
- If you are loaning money to children and family members, protect yourself with the appropriate legal agreements. Be careful not to jeopardize your financial safety and credit rating by entering into casual financial arrangements.
What financial products should you consider at this point?
- Using our financial calculators we can project future income and expense patterns and determine if saving and spending need to change.
- Explain investment and tax saving methods and help in the selection of appropriate products.
- Answering the “how much do I need to retire” question is common practice. And once we have determined that number, we can make concrete suggestions on how to accumulate the required capital.
- RRSP plans are essential to maximize investment returns and defer taxes. We can help you structure a plan that does both.
- TFSA accounts offer a non-registered way to save money tax-free. A wide range of investments can be held in these plans and we can help you select what is appropriate to your age and desired risk exposure.
- Universal Life, Whole Life and T-100 Permanent Insurance can offer you lifetime insurance coverage to protect those who survive you.