Are You Running Out of Money?

Regardless of where you have your retirement and investment assets, 4 out of 5 people reading this column WILL OUTLIVE their assets.

Let me repeat that. Whether you have your assets in the stock market, at the local bank, or even under your mattress, 4 out of 5 of you WILL OUTLIVE your assets.

This has been the single biggest problem facing retirees for over 25 years that I have been advising people. We have seen widows lose 50% of their portfolios in accounts they were told was low risk. We have clients that we told for years in advance that they couldn't sustain their current lifestyle. Unfortunately something has to give, and it's usually their accounts.

Beginning with the creation of the 401(k) in 1978 and continuing through the death of the company pension plans today, people who have never managed their finances, and never wanted to, are faced with more and more responsibility.

Many times, at retirement, workers are faced with huge decisions that will impact the next 20, 30, or 40 years of their life and are "helped" with that decision by nothing more than a financial salesperson.

You need to have a serious discussion about running out of your money and don't believe a planner or broker who says everything will be fine. Ignoring or avoiding how safe your portfolio is or isn't and not paying attention to how much you are spending is setting YOU on a dangerous slope.

To hear the Smart Money Radio Show segment focused on this topic, Please Click Here! (about 7 minutes long)


To hear the full Smart Money Radio Show where Bruce discusses this topic and more, Please Click Here! (about 25 minutes long)