The world’s largest asset manager, Blackrock, conducted an investor survey in 2013, asking 17,600 people in 12 countries how they felt about the markets and their personal financial situations. There are a lot of data points to consider, but one in particular stood out to us: about 50% of respondents are concerned they are going to outlive their savings.1 Many of these respondents could feel concerned simply because they don’t know where they stand. An investment plan can provide a little clarity (and perhaps a wake-up call) to investors wondering if their nest egg is going to last throughout retirement. Think of an investment plan as a manual, there to help you keep track of your progress toward building a successful retirement. What Exactly is an Investment Plan? An investment plan is a comprehensive report that takes a detailed view of an investor’s assets, liabilities, current spending needs, future spending needs, investments, asset allocation, and goals, and uses all of that information to project/estimate how “on-track” an investor is to reaching their objectives. [+] Read More

Before we discuss the three items, we’d like to be clear about something first and foremost—there’s nothing really “magic” about a “magic number.” Many investors place a lot of focus on setting a “magic number” (the amount of assets that, in theory, gives a person the ability to retire while maintaining the same standard of living and meeting all of their needs) and reaching it, but it’s important to understand that reaching that number in and of itself doesn’t solve every retirement income need. An investor has to constantly assess their asset levels relative to their needs throughout retirement. 3 Important Factors to Determining a Retirement Nest Egg Target 1) Be Conservative When Establishing Your Life Expectancy According to the Social Security Administration, a man reaching 65 today can expect to live, on average, until age 84. For a woman, that number is 86. But those are just averages—about one in every four 65-year-olds today will live past age 90, and one out of 10 will live past age 95. [+] Read More

During our working years, the amount of income we earn is ultimately what shapes the spending and lifestyle choices we make. Over time, we become accustomed to living a certain way and having certain resources available to us and our families. These parameters are what create a person’s standard of living. Retirement is different, of course, since we derive retirement income in different ways and from different sources. As a person makes the shift from the working world to the retirement world, an important question must be addressed: do you have the resources and assets needed to maintain the same standard of living in retirement as you did during your working years? Is your nest egg big enough? Almost Half of American Households Won’t Have Enough Retirement Income Research suggests that when it comes to maintaining a standard of living during retirement, many investors could be in trouble. [+] Read More

The short answer is no, according to a recent study conducted by the Center for Retirement Research at Boston College. Data in the study suggests that the gap between what people have saved, versus what they need for retirement, is quite significant and by any measure staggering. The funding gap is $6.6 trillion.1 The study examines several reasons why many investors are underfunding their retirement, but three factors stand out as particularly influential. When reviewing these findings below, it’s important for investors to weigh them respective to their own savings and investment plans, including how much retirement income they’ll need, in order to help determine how prepared they are for retirement. Three Reasons Why Nest Eggs Aren’t Big Enough 1) Investors Aren’t Saving Enough Some investors haven’t saved enough simply because they never determined how much they actually needed for retirement. This involves speaking with a financial advisor about what your retirement income needs are, and then determining an appropriate savings level and a desired return on investments over time needed to get there. [+] Read More

For retired people or those nearing retirement, there can be less opportunity to “save more” as part of retirement planning. After all, retirement is supposed to be about working less, not more! Since working less usually means earning less and therefore saving less, it’s important to focus on good investment planning. Here are three planning ideas to consider when planning for retirement. 1) Consider a Strategy to Increase Your Social Security Check In previous blog posts, we’ve written about strategic ways to defer Social Security so as to enhance the size of your benefit checks. Two such strategies are the Restricted Application for Spousal Benefits and the File and Suspend Strategy. Click on the links to learn more. [+] Read More

There is much to attend to when a loved one passes. Addressing financial matters are often, and understandably, put on hold. Tending to family is important, though it’s usually better to address the financial matters sooner rather than later. Often the surviving spouse may not have a complete understanding of the financial situation they are now in charge of - where accounts are located, whom to contact and what documents are important. The first thing to do is to take a breather. Then contact WrapManager. Each situation is unique and your advisor can guide you and help ensure the important items are addressed. At a minimum, the following steps can set you on the right path. [+] Read More