Back to the Basics | Retirement

David S. Dixon, CFP®

June 01, 2023

This is the sixth and final blog in the Back to the Basics series. We have covered investing, the benefits of insurance, saving, budgeting, and debt management. Retirement planning is the last topic in this series. These subjects are connected and vital to ensure income flow after retirement. If you are in debt, you can't save, and a budget helps you control your spending so you can save. If you save, you have the funds to purchase life insurance and have an emergency fund. You can then start funding your retirement by investing in a company-sponsored plan, such as a 401(k), and work with the Dixon Financial Group, LLC (DFG) LPL Financial Advisors, who are CERTIFIED FINANCIAL PLANNER™ professionals* and are prepared to help you plan for retirement.

Retirement planning determines how much money you will need to retire comfortably. Then it develops a plan to save and invest that money. It is an integral part of financial planning, and it can help you aim to ensure that you have enough money to cover your expenses in retirement.

There are many factors to consider when planning for retirement, such as age, income, expenses, and expected lifespan. Deciding how much risk you are comfortable taking with your investments is essential.

A Dixon Financial Group, LLC LPL financial advisor can help you with retirement planning by providing guidance and support. We can help you assess your financial situation, develop a plan to pursue your goals, and make investment decisions.

Here are some of the steps you can take to become financially confident during retirement:

Start saving early. The earlier you start saving for retirement, the more growth potential your money has.
Make regular contributions to your retirement savings. Even if you can only afford to save a small amount each month, it will add up over time.
Take advantage of tax-advantaged retirement savings plans. These plans offer tax breaks to help you save more money for retirement.
Invest wisely. When you invest for retirement, you must choose investments appropriate for your age, risk tolerance, and time horizon.
Rebalance your portfolio regularly. As you get closer to retirement, you may need to adjust your investments to become more conservative.
Get professional help. A DFG LPL financial advisor can help you develop a retirement plan that addresses your needs.

Retirement planning is an essential part of financial planning. By following these steps, you can increase your chances of having a financially sound retirement.

Here are some additional tips for retirement planning:

Create a budget and track your spending. This will help you understand where your money is going and ensure you are on track to address your savings goals.
Pay off debt. Debt can be a significant drain on your income in retirement. Make a plan to pay off your debt as quickly as possible.
Consider long-term care insurance. Long-term care can be expensive, and it is not covered by Medicare. Long-term care insurance can help you pay for care if needed.
Stay healthy. The healthier you are, the less you will likely need to spend on health care in retirement. Make healthy lifestyle choices, such as eating a balanced diet, exercising regularly, and getting regular checkups.
Stay active. Retirement is a time to enjoy life, but it is also important to stay active. Staying active can help you stay healthy, mentally and physically.

Retirement planning can be complex, but it is vital to start planning early. Following these tips and working with a Dixon Financial Group, LLC CFP® professional is a sound investment. We aim to help you save time, money, and stress; while helping you avoid costly mistakes. If you are serious about retirement planning, we encourage you to work with our CFP® professionals.

*We hope the topics of debt management, budgeting, saving, insurance, investing, and retirement planning have been helpful. Please help your family and friends by sharing this information.

*David S. Dixon, CFP®

*Jacob S. Bierstedt, CFP®, ChFC