November 5, 2018
After years of hard work, big wins and career success, you have much to be proud of. And when it’s time to retire – whether that’s a few months or a few years from now – you will do so knowing you’ve accomplished a great deal.
However, if you’re like many lawyers and other professionals in the golden years of their career, there’s one thing you may have overlooked: planning your retirement.
Having a high salary and having a solid financial plan are two different things, and when it comes time to hand in your office keys, you will also be giving up your handsome paycheque. Fortunately, it’s never too late to put in place a solid financial plan to ensure that your retirement lives up to your expectations.
A time for action
Don’t feel embarrassed about having neglected the financial planning needed to prepare for your retirement. You have spent the past several decades closing major deals and winning big cases, so you clearly had plenty of pressing matters to deal with.
Continuing to do nothing about your retirement will not help matters. At best, you may end up leaving money on the table or paying more in taxes than necessary; at worst, your finances may be insufficient for the retirement you envision, or you may simply run out of money. The good news is that there’s always something more you can do to improve your financial situation, even if it feels like you’ve missed the boat.
The only good reason to feel embarrassed is if this embarrassment stops you from doing something about it now. This is a time for action.
Assess, plan and execute
If you’re a lawyer, you know the value of getting all the facts laid out before you and then developing the best strategy with the resources available to you. The same approach applies to financial planning, even if your retirement is drawing near.
While the specific actions may vary depending on your situation, there are generally three key steps needed to move toward retirement with greater confidence:
1. Assess. Understanding your current situation is key to charting a path forward. By assessing the resources and timeframes you have to work with, as well as the goals you are aiming for, you can then start to choose the financial tools that will best meet your needs.
2. Plan. The best plans are tailored specifically to your needs while remaining flexible enough to adapt as these needs change over time. For example, many lawyers and other professionals lack a pension, but using insurance and other financial structures, it is possible to build a pension-like plan to provide you with regular tax-advantaged payments in retirement.
3. Execute. With your retirement drawing near, the sooner you can put your plan into action the better. However, a well-executed retirement plan is not simply a one-off effort. Instead, it should be monitored, reviewed and updated over time to ensure it remains aligned with your goals.
Retire on your terms
Amid the achievements and accolades of a stellar career, it can be embarrassing to realize that you’ve neglected to properly plan for your retirement. However, even if you’re already writing the speech for your upcoming retirement party, it’s never too late to get your finances in order.
With help from a trusted partner to provide clarity and confidence, there is a path forward to a financially secure retirement on your terms. If you’d like to review your situation and learn more about your options, contact Rubach Wealth today to schedule a discussion.