Retirement Planning Center

Define your retirement

On your own terms and in your own time

When you ask yourself, "Can I retire?" your answer should be a resounding "Yes!"   But, on your own terms, in your own time and with a sound plan firmly in place.  That's where the Baker Wealth Management Group of Wells Fargo Advisors can help.  Together, we can develop the most appropriate retirement income strategy and plan for you - to help meet your specific goals and your retirement needs.

In fact, Wells Fargo Advisors has developed a four-stage approach to creating and implementing your retirement income strategy.  One of the most important aspects of our retirement income approach is that it is tailored for your individual situation.  As you consider the transition from earning a paycheck to creating your own retirement income, we encourage you to review each module in our, "Invent your own retirement" series by clicking on the modules listed below.  The modules summarize Baker Wealth Management Group's approach and give you a perspective on how you and Baker Wealth Management Group might design and build your personalized retirement income strategy.

Prepare

Fifty-five percent of American workers have guessed at how much savings they will need to retire,1 and more than half of those who do have a plan developed it without the help of a professional.2 Having a plan is critical, but we believe it should also be backed by experienced retirement income knowledge.

Fortunately, the Baker Wealth Management Group can help you jumpstart the planning process.  We will outline the critical questions you'll need to answer, will help you build a budget for retirement and identify any financial gaps, and will address key risks and considerations that can impact your strategy, including:

  • Longevity - Should you plan for your retirement to last well into your 90s?
  • Inflation - What inflation rate should you use for retirement income planning?
  • Market risk and your own comfort with risk - Can you still sleep at night when the market takes wild rides?
  • Healthcare costs - How much should you plan to pay for health care needs throughout retirement?
  • Family considerations - Will you be providing financial support to parents or adult children?

Explore

Retirement is not a single event or a single point in time.  Like every stage you've mastered thus far (education, raising a family, career promotions, grandchildren, etc.), your retirement years will have many different phases too.  As you explore your alternatives with the Baker Wealth Management Group, you'll want to think about how your early years in retirement may be different from the middle and later years in terms of your lifestyle and your financial needs, as you answer questions like:

  • What activities will I pursue (travel, new business, relocation) in the different phases?
  • What are the budget considerations I need to address for each phase?
  • Should I take early Social Security payments or can I wait until age 70?
  • How should my investment strategy change over time?

Implement

The average retirement age in the U.S. is a surprisingly young 61.3  That may or may not be your target age.  Whenever you decide it's time to begin drawing income from your retirement sources, having a clear strategy that meets all of your needs is absolutely essential.  The Baker Wealth Management Group will help you keep track of the important timelines, assist you with making appropriate financial product decisions, and help you stay on track to meet your retirement income goals.

  • Key dates and tasks for implementing your plan include:
    • Signing up for Social Security, Medicare, and supplemental insurance
    • Consolidating former employer retirement plans and initiating pension plan payouts
    • Reviewing beneficiary designations on every account
    • Consolidating and simplifying your accounts and setting up a sufficient cash stream designed to meet your essential expenses each month
  • Financial product recommendations and strategies may include:
    • Flexible assets versus guaranteed sources of income4 versus cash and liquidity
    • Withdrawal strategies that will help your assets last for a lifetime
    • The ordering of "hierarchy" of accounts and assets to deliver income
    • Tax implications of your decisions and tax efficiency for your investments5

Check Up

Life always throws a curve ball or two, which is why you're bound to experience at least a few unanticipated changes as you settle into your retirement.  So even though retirement allows you to let go of many responsibilities and experience new challenges, it's still important to keep an eye on your financial picture and share updates periodically with the Baker Wealth Management Group.  Keep communication open between you and the Baker Wealth Management Group over the years and when changes are on the horizon:

  • Before making a major purchase - like a second home, a new car, or a renovation
  • When planning an expensive family vacation
  • When the market goes up or down significantly - and you find that your investments are keeping you awake at night

 Envision® Planning

Whether you are getting close to retirement or are already there, you are most likely trying to decide what you want to do during the next stage of your life.  And along with that, thinking about how you can help ensure you'll be able to financially support your desired retirement lifestyle.

The Envision planning process offers you an easy, effective way to help you identify and prioritize your goals. This unique process creates an effective, easily followed roadmap with personalized milestones to help you discover whether you have the financial resources to live your life the way you want.  Click on the roadmap above for more information on our unique Envision planning process.

Envision is a registered service mark of Wells Fargo & Company and is used under license.

 

1EBRI, 20th Annual Retirement Confidence Survey, March 2010 (workers who report they have guessed, read or heard how much is needed, or asked family or friends)

2Hearts & Wallets Research Study, 2010

3Gallop, 2013

4Guarantees are based on the claims-paying ability of the issuing insurance company.

5Wells Fargo advisors and its affiliates do not provide legal or tax advice.  Transactions requiring tax consideration should be reviewed carefully with your accountant or tax advisor.  Any estate plan should be reviewed by an attorney who specializes in estate planning and is licensed to practice law in your state.