3 Things to Consider for Retirement Planning

Financial Planning

Without a retirement plan, an individual may diligently contribute to a savings account, but fail to be prepared for the true cost of their senior years. Several tax laws in North Carolina may change soon, and retirees and younger generations planning to retire in North Carolina may be affected. Schedule a review with your financial planner to address these top three issues:

1. Money. Finances are the most obvious part of retirement planning, but savings is just one piece of the planning puzzle. Not only is the amount of money available important, but one’s ability to access retirement accounts as well as potential tax burdens need to be addressed. Most retirement accounts have early withdrawal penalties. With advanced planning, accounts can be structured so that retirees will have a clear understanding of how much money will be available to them at different points of their retirement.It remains to be seen, but retirees and those collecting Social Security disability benefits may face a North Carolina income tax. This is just one of the many taxes being discussed during the current North Carolina tax reform, which should be revealed by year’s end.
Will the individual plan for employment in retirement? Relying exclusively on retirement savings and benefits without an income means a detailed budget needs to be created, one that incorporates inflation. Planning to work through retirement, whether part-time or full-time, may be part of one’s plan, but discuss alternatives with a financial advisor to prepare for the event one’s health prevents one from maintaining the level of employment originally expected.
2. Healthcare. If an individual is aware of an existing or progressing medical condition that will require medical care and attention, part of retirement planning may include adding available benefit programs to offset healthcare costs. There are also long-term care insurance programs to be discussed with a financial planner or insurance specialist.
3. Family. Address family obligations in a retirement plan. Planning to pay for children’s education expenses? Does the individual wish to grow retirement accounts to care for their spouse? Are there family members with special needs that require unique retirement planning? When reviewing similar issues, structure retirement accounts so that a surviving spouse, children, or other designated beneficiaries will be able to access finances after the individual passes away.
North Carolina Certified Financial Planner
Whether you are looking for assistance in Chapel Hill or elsewhere in the Tarheel State, an experienced Certified Financial Planner will advise you with regard to specific issues relevant to your retirement. These are critical decisions that may affect quality of life for an individual and his or her family at vulnerable times ahead.
Address: 1414 Raleigh Rd Ste 203, Chapel Hill NC 27517
Phone: 919.636.0950 | Toll Free: 800.201.0413 | Fax: 919.493.6355
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