Many people assume that once they’ve retired, their retirement income planning days are behind them. Our Woodland Hills retirement planning team can tell you that’s not true. That’s because there are a number of things that you’ll need to consider after you’ve retired to ensure that you and your heirs get the maximum benefit from your investment portfolio. Here are some of the things you’ll need to think about even after you start withdrawing from your retirement account and how the Kennedy Wealth Management team can help you put the right plans in place both before and after you retire.
What to Plan For After You Retire
How to reduce your tax obligation.
Once you start to withdraw money from your retirement account, you’ll start to pay taxes on the income. Many people neglect to plan for their tax obligation and are shocked at their first tax bill after retirement. It can cause you to rethink your retirement plans. But there are a number of ways that you can reduce your tax obligation and keep more of the money that you’ve saved for your retirement years. The best time to start planning for this is before you start to withdraw the income; there are a number of ways that your funds can be set up in order to reduce tax penalties. However, even after you retire there may be things that you can do to reduce your tax bill. Working with an experienced retirement planning team can help you not only reduce your tax obligation now but also the tax obligation your heirs could face after you pass away.
How to pay for long-term care.
Hopefully, your retirement years are long, healthy, and happy ones. But if they aren’t, you need to have a plan in place. Your Medicare plans might not cover all of the care that you could need. Making sure you have a plan in place for your long-term care can put your mind at ease (as well as the minds of your loved ones), knowing that if you do get sick, the resources and funds will be there to care for you. Neglecting to make a plan for long-term care could result in your retirement portfolio quickly being depleted and leaving you with little or nothing to leave behind for your heirs, not to mention leaving you with few options to pay for the care that you or your spouse might need. Medical care is one of the primary drains on your retirement account, and you don’t want your reserves to run dry. That’s why it’s vital that long-term care is part of your retirement blueprint.
How to pass the maximum amount on to your heirs.
Your retirement investment portfolio usually does two things for you: provides you with a lifetime income when you are done working and provides you with money to pass on to your heirs when you are gone. While no amount of money can take away their pain of losing you, it can be a comfort to you and to them knowing you’ll be able to help care for them after you’ve gone. With the right planning, you can ensure they are getting the maximum amount of inheritance after you’ve gone. You can set up your estate in specific ways to eliminate some of the tax obligations that your heirs would be obligated to pay otherwise, giving them more benefits and fewer burdens after you’ve gone. It’s a wonderful gift to give them but it does require some planning ahead of time.
Need Help Making a Blueprint for These Plans?
We’re ready to get to work helping you plan for your retirement years as well as those matters that come up once you’ve reached retirement age. Our retirement income planning team believes in creating a comprehensive retirement blueprint that gives you a guide to how to achieve your goals. Our planning not only includes create lifetime income but how to maximize your investments and benefit your heirs, as well. Whether you are just getting started with the planning process or want to make sure you have the right plan in place already, we’re ready to help. Get in touch with the Kennedy Wealth Management team by giving us a call or contacting us through our website to arrange for a free second opinion evaluation on your retirement portfolio.