How to avoid the big mistakes pre-retirees make
Paul addresses the huge decisions facing investors in the final push to meet their retirement goals, about 10 years before retirement. Cautioning against the tendency to jump from one strategy to another or be swayed by Wall Street, Paul presents 12 points for creating a solid long-term investment strategy before you retire. This evergreen recording is from the 2012 special, “Financial Fitness After 50” produced as a premium package for contributors to their local PBS station.
- Have a plan.
- Stop listening to the wrong people; start listening to the right ones.
- Stop paying unnecessary expenses or looking to beat the market.
- Get rid of asset classes with low returns at high risk.
- Add asset classes that have long histories of success.
- Treat every dollar you have invested as if it’s the most important dollar. Do not play with your portfolio.
- Maximize contributions to 401ks and IRAs.
- Become super savvy about the amount of fixed income in your portfolio.
- Don’t conclude that risk is just about losing principle; protect against inflation.
- Know how much you need to retire, driven by distribution plan.
- Know what is “enough” and when enough is enough, and when it isn’t.
- Get good professional help.