On game day, it’s fun to wear your jersey and show some team spirit. What you might not realize are the three ways your financial planning process is similar to a jersey. Consider the names, numbers, and symbols on a jersey. How might they be similar to the names, numbers, and symbols on your financial statements?
(Click the featured times below to jump forward in the episode)
[1:20] – The Number
- Jersey numbers often signify positions. What is your number in retirement?
- How much do you need in savings?
- What rates of return do you need?
- What risks should you take?
- Income is the most important number to understand in retirement.
- Eric shares a client story of a couple who felt they understood the numbers.
[5:48] – The Name
- Some teams choose not to have individual names on their jerseys. Instead, they feature the name of the team.
- A lot of people face similar issues in retirement. These include: income planning, Social security planning, and tax planning. Depending on the household, these issues will have different impacts.
- You want your financial advisors to be working for you, but they should customize a plan to your needs.
- Eric shares how he uses his tax knowledge to help clients.
[11:11] – The Look
- Sometimes the jersey looks great, but the team is awful.
- Consistent teams understand the basics and have a system.
- A lot of times, there are simple plans and products that work for retirement.
- You want a plan that will enable you to enter retirement with confidence and enjoy it.
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