Powerful Strategies for 60 and Over
As we move into and through the next stage of our lives, many changes occur as we make the transition, including our financial strategy. Protection begins to become more important than accumulation. If a large portion of your net worth is invested in stocks and/or mutual funds, and the market has a "correction" that causes you to lose 20% or 30% (or more) of your net worth, how would that effect you?
Would you be forced to go back to work, or move in with your kids? Is this how you pictured your "golden years"? Face it, the more "gold" you have, the more golden your years are.
The general rule of thumb is that you should have the same percentage of your assets in "safe money places" as your age. For example, if you are 68, then you should have about 68% of your money where is not exposed to loss.
However, you need to do more than protect your hard-earned possessions. You need to grow your money at a rate at least greater than the rate of inflation.
While our rate of inflation usually hovers around the 4% mark, some things jump at an even higher rate. (Filled up at the pump lately?) Once you throw taxes in the mix, your money can grow in amount, but purchase less and less.
For example, suppose you place $1000.00 in a Certificate of Deposit at your bank with a 5% rate of return. In one year, your money has grown to $1050.00. That's great! However, it's also before your "favorite" uncle (Uncle Sam) stops by for a visit and collects his share. You are now left with $1035.00. That's not so bad...except for one minor detail. It now requires $1040.00 to buy what $1000.00 would have bought a year ago. You grew your assets, yet your larger asset now does less for you that the smaller asset did previously.
However, you need to do more than protect your hard-earned possessions. You need to grow your money at a rate at least greater than the rate of inflation.
"Inflation is when sitting on your nest egg is nothing to crow about"
Unknown
Unknown
While our rate of inflation usually hovers around the 4% mark, some things jump at an even higher rate. (Filled up at the pump lately?) Once you throw taxes in the mix, your money can grow in amount, but purchase less and less.
For example, suppose you place $1000.00 in a Certificate of Deposit at your bank with a 5% rate of return. In one year, your money has grown to $1050.00. That's great! However, it's also before your "favorite" uncle (Uncle Sam) stops by for a visit and collects his share. You are now left with $1035.00. That's not so bad...except for one minor detail. It now requires $1040.00 to buy what $1000.00 would have bought a year ago. You grew your assets, yet your larger asset now does less for you that the smaller asset did previously.
By simply employing one of our powerful strategies, you will:
- Protect your assets against any kind of loss;
- Reduce or eliminate income taxes;
- Increase your income, and
- Make sure that you never outlive your money
Call us now, TOLL-FREE at 1-877-738-5844 or drop us a note HERE.
