Focusing on You
At Dickson Associates, we understand that your business is on a journey, and we're here to help you every step of the way. Whether you're a startup or an established enterprise, we offer personalized solutions in strategic consulting, services to help you achieve your goals.
Our expert advisors have years of experience in a variety of industries, and we're passionate about helping businesses like yours succeed. We take a proactive approach to understanding your business and its unique challenges, and we work closely with you to offer innovative solutions and practical advice to help you stay ahead of the competition. When you work with Dickson Associates, you'll have a partner who is dedicated to your success. We'll take the time to understand you and your goals, and we'll work tirelessly to help you achieve them.
Contact us today to learn more about how we can guide you on your journey to business success.
01 — Exploring
Exploring retirement spending at a deeper level, that is beyond just assuming that annual expenses increase annually with inflation, is an important part of a financial plan for a retiree.
02 — Current Reality
Your current age and expected retirement age create the initial groundwork of an effective retirement strategy. The longer the time between today and retirement, the higher the level of risk your portfolio can withstand. If you’re young and have 30-plus years until retirement, you should have the majority of your assets in riskier investments, such as stocks. Though there will be volatility, stocks have historically outperformed other securities, such as bonds, over long time periods. The main word here is “long,” meaning at least more than 10 years.Additionally, you need returns that outpace inflation so you can maintain your purchasing power during retirement. “Inflation is like an acorn. It starts out small, but given enough time, can turn into a mighty oak tree. We’ve all heard—and want—compound growth on our money. Well, inflation is like ‘compound anti-growth,’ as it erodes the value of your money. A seemingly small inflation rate of 3% will erode the value of your savings by 50% over approximately 24 years. Doesn’t seem like much each year, but given enough time, it has a huge impact.
03 — Future Goals
Two big factors weigh heavily on your retirement savings needs: how many years you're going to spend in retirement and how much you're going to need to withdraw each year.Plan to spend at least 30 years in retirement—longer if you think you'll retire early. Medical advances are consistently extending the average lifespan.Even if you don't plan to retire early, illness or other responsibilities could prevent you from working as long as you expected, extending your retirement on both ends.Figuring out how much you're going to withdraw each year can also be a little tricky.After you estimate your expected budget—which will depend on the lifestyle you expect to live in retirement—you'll need to take into account other income (like Social Security and any pensions or rental income you're expecting, for example) and calculate the difference.
04 — Planning
One of the most challenging aspects of creating a comprehensive retirement plan is striking a balance between realistic return expectations and a desired standard of living. The best solution is to focus on creating a flexible portfolio that can be updated regularly to reflect changing market conditions and retirement objectives.
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Dickson & Associates
121 West 86th Ave
Merrillville, Indiana 46410
office@dicksonassociate.com
+1 (219) 736-1050
Hours
Monday - Friday
10am - 6pm
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