The pension system in the United States has undergone significant changes in recent decades. Currently, the government pension for a person older than 67 years is an average of $800-$2,800 dollars a month, which is insufficient to support themselves and cover the basic expenses of daily life. In addition, it is important to note that according to data from the US government, 42% of workers do not have savings for golden years. That's why it's critical to consider additional savings and investment options to ensure a more secure and comfortable retirement.
Knowing the limitations of the Social Security system is critical to making informed retirement decisions. Social Security provides a relatively low percentage of pre-retirement income, making it necessary to seek supplementary sources of income. It is important to consider the option of a second Investment/savings strategy such as supplemental retirement plans or personalized investment accounts. These alternatives can provide significant additional income during retirement.
Planning ahead is essential. Start saving and investing as soon as possible to take full advantage of the power of compound interest. Set realistic financial goals and design a short and long-term savings plan that suits your needs and circumstances.
In addition, it is advisable to seek financial advice. Consider seeking the help of a financial advisor who is an expert in retirement planning. They provide personalized guidance and help identify the best investment and savings strategies based on your goals and risk tolerance.
Remember that Social Security has limitations in terms of income coverage and that it is important to complement it with other sources of income to ensure a more comfortable retirement. You should also be aware of income limits set by Social Security, which can affect the amount of benefits you receive in retirement.
Remember that each person has unique financial circumstances, so it's important to tailor savings and investment strategies to your individual needs. With the right mix of planning, saving, and investing, you can improve your financial situation in old age and ensure a more comfortable retirement. Start taking action today!
Benefit Consultants: Building a Secure Financial Future with Our Savings Plans
At Benefit Consultants, we offer a wide range of options to help seniors have a second pension and a more secure and peaceful life. Our savings plans include:
1. Roth IRA (Roth Individual Retirement Account): An individual retirement account in which contributions are made with after-tax dollars. This means you can't deduct contributions from your current taxes, but future qualified withdrawals are tax-free. You can set up a Roth IRA with the help of a consultant, and contributions are limited to certain income thresholds.
2. Roth 401(k): This is a retirement plan option offered by private employers and also includes options to invest in mutual funds and stocks. Contributions are made with pre-tax money, however, contributions are taxed at the time of contribution, and future qualified withdrawals are tax-free.
3. 403(b): A 403(b) is designed for employees of nonprofit organizations, such as schools, universities, and religious organizations. Employees can make pre-tax contributions to their 403(b) accounts and the money grows tax-free until withdrawals are made at retirement.
4. Annuities: Annuities are customizable contracts issued by insurance companies that convert an investor's premiums into a fixed stream of guaranteed income. These financial tools are used for a variety of purposes, including long-term financial security, retirement income, diversification, and capital preservation.
5. Pension Plan: It is a retirement plan that provides a guaranteed income for life. Pension plans are usually offered by employers, but can also be purchased individually. Pension plans work by having the employer or individual contribute a portion of their salary to the plan each year. The money in the plan is then invested and grows over time. When you retire, you will receive a monthly benefit from the plan.
6. UIL – Based on crediting interest to the cash value component, which is linked to a market index, such as the S&P 500. This means the policy's cash value can grow at a higher rate compared to a non-indexed universal life policy. In addition, it provides a death benefit if the insured person dies. Unlike other life insurance, however, IUL offers the ability to build cash value over time, making it an attractive option for those seeking long-term financial protection and the opportunity to increase their heritage.
At Benefit Consultants, we offer all these plans and many more options so that seniors can have a second pension and a more secure and peaceful life.
If you are interested in our savings plans, we invite you to contact us. Our team of financial experts is ready to help you make an informed decision and plan for a better future.
Worry no more about your financial future! Call Benefit Consultants today and start saving for a more peaceful and secure life in the future!