Common Retirement Investment Options
Well, did you ever think your retirement would come so soon? Maybe you are not quite there yet and are thinking about common retirement investment options. Whichever it may be, you need to secure your dreams. Most retirees have about $ 100,000 in their retirement fund.
If you were to calculate and do extensions of cost analogy, you will find you will need more than that. So, what will you do to get the best out of your retirement and how consider common retirement investment options?
Let’s consider some of the following criteria:
What is your risk tolerance?
What is your age?
How long do you have before you retire?
What can you afford to put into your retirement?
You must pay yourself first as you would pay a monthly bill
You want to choose what will suit you best. When you meet with a professional financial specialist to discuss common retirement investment options, keep in mind what’s available to you. For example: 401K, Traditional IRA, Roth IRA, Profit Sharing (if available, employer decides each year whether contributions will be made), ESOP (employee stock option plan where employer contributes to your fund
in stock), 403b, 457, Keogh, SEP ( Simplified Employee Pension (self employed).
Your common retirement options should be taxed deferred in a qualified plan. Qualified being it is an approved IRA. As the above list gives you different common retirement investment options, each has
diversification as to where and what you can put your monies. You can choose mutual funds, stocks, bonds, certificate of deposits (C.D.’s), REITS (Real Estate Investment Trusts).
Keep in mind if you are fortunate to have an employer sponsored plan, dive into it. It’s FREE
money to you when they contribute to your common retirement investment options.
Tax deferred plans allow you to defer payment of income taxes until you actually withdraw funds during retirement. This provides a double advantage. You save on your tax bill and invest at the same time. If you choose a Roth IRA, your contribution will be taxed now. The best part is withdrawals are tax free including earnings. You do not have to start your required minimum withdrawals at 70 ½ years of age as with a Traditional IRA.
You can now (depending on your age) individuals 50+ can make additional catch-up contributions. Whatever you decide for your common retirement investment options, be sure to consult with a financial specialist. Check their credentials, certifications, degrees
and experience. Don’t be shy when it comes to your common retirement investment options because these are your future dreams.
Ric Dalberri is a graduate of Columbia State University & has been involved in his own business (sold) employing over 100 people. As
well as being a top producer as a Financial Specialist for over a decade with one of the largest financial institutions in the U.S., Ric has many years experience in sales and management. Ric was also a mentor in
the financial arena as well as a volunteer teacher for Junior Achievement.