While reviewing some financial industry publications today I came across something somewhat frightening. It was an article quoting a study done by a group called My New Financial Advisor (MNFA). The purpose of the study was to look at Baby Boomers facing retirement and tried to determine what age they would reach before they are able to Retire. First let me say that the study was relatively modest in size but the findings are still Disturbing and Frightening. I might say this is rather fitting on Halloween night!!
The survey was conducted by collecting data on 1600 Baby Boomers. They concluded that many Boomers due to the following six factors; a Loss of Income, Insufficent Savings, Low Rates of Return on Their Retirement and Other Financial Assets, Higher Than Expected Expenses, High Taxes, and A Low Rate of Growth In Personal Income will have to postpone their retirement till their mid 70's. Is that frightening enough for you? I don't know about you but I don't want to HAVE TO Work until I am in my mid 70's. Now, I'm not saying working until age 70-76 is a bad thing! In fact, for many people thats a good thing. I am saying that I would hope that if you are still working until you are almost 80 years of age that it is because YOU WANT TO, NOT BECAUSE YOU HAVE TO!!
START TODAY!
Squeeze your expense budget, use the money saved to increase retirement savings. Look for SAFE Money Financial alternatives that produce a reasonable rate of return. Guarantees of up to 6% in the growth of Income Account Value, when used for Lifetime Income, are available today. This can be done without market risk today! The "Without Market Risk" is a big deal since retirees or near retirees cannot afford the market lossses most have seen in the past 10-12 years. Getting Back to Even is not good enough. Where do you currently have your Safe Money?
I believe it was Warren Buffet who said there are two rules in financial management.
Rule 1 Don't Lose Money!
Rule 2 NEVER FORGET RULE 1!
If you don't believe we have significant risk today. What about Europe? What about our out of control Federal deficit? Where are we going to get the money to pay for it? Expect increased Taxes! Ever hear of the terms The Fiscal Cliff, or Double Dip Recession. What about the increasing cost of everything you need to buy in the Consumer Price Index (Inflation Risk)?
Polaris Financial Services
614-264-3864
Wednesday, October 31, 2012
Business Long Term Care,
Remember when Obama promised to offer national health insurance for all Americans. First he granted several hundred of the largest employers in the country exemption from the requirement. How does that possibly increase the quality of health insurance coverage for everyone when significant numbers of the largest employers do not even have to comply?
Then recently the Obama government administration fired the man assigned to run the Long Term Care (LTC) portion of ObamaCare. He basically fired the man responsible for the program with out any intention of naming a replacement. Obama hoped this dismantling of the LTC program would slip by unnoticed just like the employer exemptions granted on the general employer health plan side of ObamaCare.
In fact the LTC portion of the legislation was fatally flawed from its initial design. It was too expensive for each employee for the amount of coverage provided. It offered a nearly useless level of benefit of only $50 per day. It required that an employee pay premium for at least 5 years before you are even eligible to file a claim. An employee who started paying premiums for one year then went into a nursing home would have to pay premiums for four more years before filing a claim. These are just a couple of the most significant design flaws in the legislation.
Where does this program stand today?
Obama Killed it. He fired to man he hired to run it. He burried it without any form of media play or announcement.
What is an employer or an employee to do now?
We can help you design a properly sized cost effective LTC Plan with a reasonable amount of benefit for your needs. If an employee has to go into a Long Term Care facility months after the policy is set up and premiums are paid they are eligible to file a claim and after the exclusion period the LTC benefits will be paid. If you want to learn more about the plans options for your busines please contact us
Polaris Financial Services
(614)-264-3864
Then recently the Obama government administration fired the man assigned to run the Long Term Care (LTC) portion of ObamaCare. He basically fired the man responsible for the program with out any intention of naming a replacement. Obama hoped this dismantling of the LTC program would slip by unnoticed just like the employer exemptions granted on the general employer health plan side of ObamaCare.
In fact the LTC portion of the legislation was fatally flawed from its initial design. It was too expensive for each employee for the amount of coverage provided. It offered a nearly useless level of benefit of only $50 per day. It required that an employee pay premium for at least 5 years before you are even eligible to file a claim. An employee who started paying premiums for one year then went into a nursing home would have to pay premiums for four more years before filing a claim. These are just a couple of the most significant design flaws in the legislation.
Where does this program stand today?
Obama Killed it. He fired to man he hired to run it. He burried it without any form of media play or announcement.
What is an employer or an employee to do now?
We can help you design a properly sized cost effective LTC Plan with a reasonable amount of benefit for your needs. If an employee has to go into a Long Term Care facility months after the policy is set up and premiums are paid they are eligible to file a claim and after the exclusion period the LTC benefits will be paid. If you want to learn more about the plans options for your busines please contact us
Polaris Financial Services
(614)-264-3864
Savings Needed For Retirement Rule Of Thumb
An article recently appeared in the Columbus Dispatch and the Ft. Lauderdale Sun Sentinel. The original article was written by Donna Gehrkee-White. The primary point of the article was to give savers a rule of thumb to help determine how much money they need to have saved prior to retirement. Whats nice about the approach is it doesnt assume that everyone has the same number. Of course everyones stlye of living and retiring is differen, therefore their personal savinggs need is also going to be different. The suggested rule of thumb is this. You should have 8 Years worth of income saved in order to plan on a comfortable retirement. In other words if your last years income was 40,000 then 8 x 40,000 = $320,000 and if your inccome was $150,000 then you should have $1,200,000 in savings. This serves as a starting point. If a retiree has a large pension lifetime income stream they may be able to reduce the saving $ needed to secure a safe retirement. If they dont they may want to increase the amount they save before they retire.
You can also work a few extra years to increase saving and decrease the amount of savings needed. Remember this also increases their Social Security income for life. We have available a Social Security Calculator that lets a client determine the optimum age to begin their Social Security Income benefit and if they are married helps to strategize how and when to begin taking SS income. This is just one of the services we offer to our retirement clients. We also help to increase their retirement income WITHOUT MARKET RISK.
Polaris Financial Services
614-264-3864
You can also work a few extra years to increase saving and decrease the amount of savings needed. Remember this also increases their Social Security income for life. We have available a Social Security Calculator that lets a client determine the optimum age to begin their Social Security Income benefit and if they are married helps to strategize how and when to begin taking SS income. This is just one of the services we offer to our retirement clients. We also help to increase their retirement income WITHOUT MARKET RISK.
Polaris Financial Services
614-264-3864
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