Howard Pressman Featured in CNBC article, "How to get serious about planning for retirement"
August 8, 2019, CNBC - Once you’re in your 50s and the end of full-time work is no longer a distant concept, it’s a good time to get serious about planning for the next chapter of life.
Whether you intend to entirely leave the work force at some point or keep a foot in it, financial advisors say there are things you can do now to better prepare yourself financially.
“Sometimes people don’t really know how to assess their future needs and don’t want to talk about it,” said certified financial planner Charlotte Dougherty, president of Dougherty & Associates in Cincinnati. “But a lot of times there are opportunities at that age to really move the needle on your retirement planning.”
Here are five aspects of your financial life that take on new meaning in your 50s, and what they mean for your golden years.
If you haven’t recently evaluated how your retirement savings is divvied up among different investments, now is an good time to revisit your portfolio allocation.
Two things become more important in this decade: your risk tolerance — how well you stomach the value of your investments going up and down — and when you anticipate taking distributions from your savings.
“If someone found that this recent market sell-off scared them, they lost sleep or focused too much on the news or the markets, it’s likely a clue that they are invested too aggressively,” said Howard Pressman a CFP and partner at Egan, Berger & Weiner in Vienna, Virginia.
He said if that’s the case, you can take small steps today to move some assets from riskier investments to more conservatives ones, looking for days when the market is going higher to sell a little more.
“Higher than normal cash balances may be smart for those most averse to market fluctuations,” Pressman said.
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