It doesn’t matter when you plan on retiring, you should have a plan in place. You can’t expect Social Security to carry you through, even if it remains solvent for many, many years.
But lots of people get bad advice about retirement, be it from friends, relatives or others who don’t really know what they are talking about. Even if you have a plan in place, it may be full of holes or based on bad advice.
According to an article in USA Today, there are seven common myths about retirement that you should know about. Here they are:
- Postponing saving for retirement until other needs are met is OK.
- Most of your health needs will be paid for by Medicare.
- You can maintain your current standard of living with less income.
- You can still get full benefits and claim Social Security early.
- You should invest mostly in bonds rather than stocks as you age.
- So-called “target date” mutual funds allow you to ignore how they are doing.
- You can make up a retirement shortfall by working longer or working part-time.
If you have questions about the best way to set yourself up for retirement, including setting up an estate plan, feel free to call us for a consultation at (626) 696-3145.
