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Show Senior Pulse Salina SunGunnlson Valley IVews Wednesday, February 24, 1999 Page 6 Are Your Resources Ready For Retirement? When you decide to stop working, your capital resources will determine your standard of living. Yes, it is possible to enjoy many years of financially comfortable and secure retirement. However, as is true of most other life goals, achieving that objective requires some planning and action -- - preferably sooner rather than later. These days few people feel Social Security and employer-pai- d retirement plans together will be sufficient to maintain the standard of living they want for their retirement years. For that reason, the day you stop working, your investment capital will have to go to work for you to make up your income deficit. When it comes to ensuring a comfortable retirement, failure to plan too often becomes planned failure. The sooneryou take sound, realistic actions to accumulate the capital needed'for financial independence, the more likely you are to succeed. There are three key things for you to do: Start investing now so time and compound growth will make it. easier to reach your goals. Invest systematically and often. Explore possible strategies to improve your total after-ta- x results. Many people have found that by regularly investing affordable sums in carefully chosen funds, they can accumulate surprisingly large amount of capital. Your invest-- Wholesale Medical Supplies Adult Disposable d Hriefs 96Case, L f49.95Cast WCase, XL cad Helled Undergarments $5935 Cast of 144 Personal Care Items: Late Q Coves, ment capital becomes your passport to financial independence. (Systematic investing does not ensure profit and does not protect against losses in a declining market. Investors should consider their ability to maintain the planned schedule of investments during a period of declining market prices.) Suppose you want to accumulate a specific sum say $200,000 -- - for use in your retirement. Ifyou assume you can earn eight percent, and you have 30 years to reach your goal, you would have to put aside $ 142 per month. Ifyou have 25 years, the monthly amount wouldbe $220. For 20 years, reaching your objective.requires $351 per month. If you waited until 10 years prior to your goal, youd have to put aside a much more difficult amount each month $1,1 10. (The eight percent return is hypothetical and does not represent the future performance of any specific investment.) Assume that the average rate of inflation over the past period 5. 6percent continues. At that rate prices double in about 1 3 years. Goods and services which 25-ye- ar Sprays, Wipes, etc. Kensington Services, L.C.,505 South Commerce RoacUOrem, UT 84058 1 Orem Office (801) 434-74- 1 e Toll-Fre- cost $500 tl;is year would cost about $1,000 in 13 years, and todays comfortable retirement income would only give you half its current purchasing power. At that rate of inflation, your dollar today would shrink to a value of only about 25 cents in 26 years. Twenty-si- x years from now youd need to have four times your current income just to break even. Consider how, even if your income keeps up with inflation, you may be pushed into a higher tax bracket That would make it even harder to preserve your purchasing power and maintain your standard of living. (Source: Bureau of Labor Statistics; average rate of Does the IRS And to authorize a with- drawal from your bank account on the date you choose, up to April 15 th. Another option allows you to pay with your credit card. Expecting a tax refund this the fastest way to get your money back in half the usual time. Even faster year? IRS OWCth eIRS? offers options. One option allows you OWC you? Or do IRS you convenient payment is if you specify Direct Deposit to your bank account! Or do you owe more tax? You can 1 is simple and secure. theres less chance So accurate, youll get ?. letter from the IRS. For details, visit our Web site at www.irs.ustreas.gov your tax professional. or see now, get quick your return is proof that accepted then wait until April IRS 5th to pay. Click. Zip. Fast Round Trip. Actual fuinflation, ture inflation may be lower or higher.) With increasing life expectancies, even 13 years is likely to be only a fraction of your total retirement years. For example, at age 65 a male has a 65 percent chance of living to 80, a 45 percent chance of reaching 85, and even a 26 percent chance of reaching 90. If you are a female age 65, your life expectancy is even longer. Theres a 78 percent chance of reaching 80, a 61 percent chance of reaching 85, and a 40 percent chance of living to 90. (Source: MassMutual, 1983 Table a.. Society of Actuaries.) Clearly, you will need to include an inflation adjustment when setting your retirement income goals. Otherwise you risk have the 1971-199- 5. fall- ing just at the time when your medical andor extended care expenses are likely to climb. Wise asset allocation strategies may reduce the fluctuations in investment returns that occur in less well designed portfolios. Y ou will want to choose a trained, trustworthy professional adviser for help with your investing decisions. Then there will be a better chance youll find the kinds ofinvestments you really want to have working for your future. Volunteers needed (Continued from Page 1 ) just two things that come to mind. However, no one would be asked to do something that might make them feel uncomfortable, he emphasized. We encourage anyone who might like to help to give us a call, said Mulder. Interested individuals can contact the hospital at |
