In the first post of this three part series, we looked at data that paints a certain picture.
A picture of us moving from a world where its citizens relied heavily on Government entitlements and corporate pension schemes to a world where we will need to become fiscally self-reliant.
In the next post we reviewed the importance of creating a written plan: contemplating your core values and quantifying your current and future goals and objectives.
In this final post we will look at two more disciplines that may help guide you in figuring out how to pay for a longer life.
1) Ignore most of the financial “advice” that comes from mainstream media outlets
Traditional media sources for financial ideas – newspapers, magazines, television et cetera, share the common goal of maximizing the number of readers/listeners they reach to grow advertising revenue and remain profitable.
And that’s fine.
The issue, unfortunately, is that the types of stories that appeal to the widest variety of readers/listeners are those that exploit either greed or fear. A story that will get your blood pumping with excitement – or scare the wits out of you .
Responding emotionally to these messages may lead you to make poor investment decisions.
In fact, these stories can prompt investors to do exactly the opposite of what they should be doing. Notice the chart next to the greed based message which reflect how the markets behaved following the timing of this hurtful cover story.
While you may occasionally find some useful information within traditional media outlets, are they your primary source of financial advice?
2) Consider working with a (human) Financial Advisor
People who succeed in any endeavor, rarely do so alone. They are guided by their Advisors. They work with qualified professionals in their respective fields of expertise: tax and law, for example.
An alert investor will recognize that financial & investment planning is an area that requires the assistance of a competent advisor as well.
You may want to consider working with an RIA who has a legal, fiduciary duty to place your interests ahead of theirs.
Who are your Advisors?
This ain’t your parents retirement
On New Years Day 1900 life expectancy from birth in the U.S. was 47 – by New Years Day 2000 life expectancy was 77.
Life expectancy from birth in the U.S.
That’s 30 extra years of life! (by the way, it took the previous 5000 years for life expectancy to increase that much)
So we have been gifted 30 “bonus years” that no one could have envisioned or predicted!
Yet to fully take advantage of these extra years, we need to prepare financially – because it would be a shame if we were always worried about money.
And Big Brother (the corporation) and Uncle Sam (the U.S. Gov’t) may not be able to deliver – not even close.
So by quantifying your objectives, creating your plan (in writing, preferably with an advisor) and mostly ignoring mainstream media advice – you can take control of this matter.
And by doing so, you will feel confident that you are prepared to pay for – and make the most of – your longer life.
Any questions or thoughts about paying for a longer life?
Just click here!