Retirement Modeling For Affluent Investors – PillarWM

Affluent investors work hard to create a better future for themselves. This could be a future with financial security and ample time to pursue interests and hobbies. If you want to achieve a comfortable retirement, it is vital to perform retirement modeling and follow a comprehensive retirement plan. This is where retirement planning services can be helpful. Affluent investors who possess $5 million to $500 million in liquid investment assets can create and follow a suitable retirement model. Learn about premier investment strategies by reading our guide for investors with $5 million or more.

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STRATEGIES FOR FAMILIES WORTH $5 MILLION TO $500 MILLION

 

7 Secrets To High Net Worth Investment Management, Estate, Tax and Financial Planning

 

The insights you’ll discover from our published book will help you integrate a variety of wealth management tools with financial planning, providing guidance for your future security alongside complex financial strategies, so your human and financial capital will both flourish.

Clients frequently share with us how the knowledge gained from this book helped provide them tremendous clarity, shattering industry-pitched ideologies, while offering insight and direction in making such important financial decisions.

What is Retirement Modeling?

Retirement modeling is the act of envisioning your future retirement and how you would like it to be. Many investors create a mental image of their dream retirement based on their hopes and their current financial trajectory. You can learn more about retirement modeling by setting up a free appointment with our wealth managers.

What Is the Importance of Retirement Modeling?

Retirement modeling is a part of the retirement planning process. Both these activities are essential for a variety of reasons. This includes:

Understanding Your Finances

Retirement modeling involves many different activities. The first of which includes understanding your finances. This is because you can’t plan for the future without knowing where your finances currently are and where they are heading.

It’s not uncommon for an investor’s wealth to be spread across multiple assets and accounts. This can make it tricky to understand how much wealth you actually possess and what wealth you will be able to draw from in the future. Running financial analysis with a retirement planner’s help can help clear things up and offer insight into what your net worth will actually be when you are nearing retirement.

Protecting Your Wealth

If you are still many years away from retirement, you should be concerned about protecting your wealth. Your assets are exposed to numerous risks. These risks could be caused by market volatility or unexpected industry shifts. The best way to protect your wealth is to identify these risks beforehand and follow mitigation strategies to minimize their impact on your finances.

The good news is that retirement planning helps you understand these risks and take action accordingly. This makes it invaluable for any investor that wishes to protect their wealth into the future. We discuss the importance of wealth protection in our book The Art of Protecting Ultra-High Net Worth Portfolios and Estates – Strategies For Families Worth $25 Million To $500 Million.

Planning for Post-Retirement Income

Many of retirement’s challenges can be daunting to take on because you no longer have an active source of income. Nobody wants to give up on their retirement and go back to working simply because their savings have depleted or because they can’t afford to provide their children with a brighter future.

Luckily, you can use retirement modeling and planning to find ways to generate income during retirement. This includes strategies such as investing in stable assets that appreciate value over time. We discuss such strategies in our guide to expanding your portfolio.

retirement modeling

How Much Do You Need to Retire Comfortably?

Your savings will play a vital role in helping you sustain a comfortable post-retirement lifestyle. However, it can be tricky to understand exactly how much you will need in savings by the time you hit retirement age. Please set up an appointment with our wealth managers to learn how much you need in retirement savings.

You may be wondering, “how much does the average retired person live on per month?”. The answer to this question varies greatly. According to one study by the U.S Bureau of Labor Statistics, retirees spend approximately $50,000 per year. This amounts to around $4200 per month. However, this is simply an average for American households.

The expenditures for wealthy investors with high-spending lifestyles will be much greater. You can assess your post-retirement spending habits by observing how much you currently spend each month. Then you will need to add additional costs for things you will be spending on out-of-pocket during retirement, such as health insurance.

If you intend to partake in new activities such as traveling or touring the country regularly, you should add these expenses into your estimate as well.

Wealthy investors can also use online retirement calculators to determine what their post-retirement expenses will be. You might be wondering the question, “what is the best retirement calculator?”. There is no “best” retirement calculator that will take the intricacies of your finances into account.

To get an accurate assessment of your post-retirement expenses, you should meet with a retirement planner or a wealth manager. You can learn about questions to ask a financial advisor in our special guide.

Average Retirement Income

Your retirement expenses will be funded by your savings as well as your post-retirement income. You may be wondering, “what is the average retirement income?”

The annual pretax income for individuals aged 55 to 64 was around $75,000, according to a 2014 study. This retirement income comes from many different sources, including:

• Earnings

• Social Security

• Employer Benefits

• Asset Income

You can maximize earnings from each of these sources with the help of proper retirement modeling and planning. However, this does require you to get an early head start. Learn about how to improve your portfolio performance using our special guide.

How to Choose a Retirement Planner

Many of the challenges of retirement can be overcome with the right retirement model and planning. However, these tasks can be difficult for wealthy investors to perform on their own. This is where retirement planners come in.

A retirement planner is a unique type of financial professional that specializes in offering retirement advice and creating retirement plans. They can help you chart out a suitable retirement model and create strategies to help you achieve your dream retirement.

There are numerous retirement planners who offer their services across the country. Wealthy investors should assess these professionals thoroughly before using their services. Some things to look out for when choosing a retirement planner include:

Experience

Any retirement planner who touts themselves as the “best” in the business should possess the experience to back it up. After all, experience is vital for any financial professional who offers advice to wealthy investors.

An experienced retirement planner will have learned plenty from helping their past clients. They would have witnessed the different challenges their clients faced and will also have an up-close understanding of how well their retirement plan panned out. Please speak with our wealth managers to learn about their experience with retirement planning for wealthy investors.

Knowledge

Investors seek out retirement planning due to their extensive knowledge of the topic. Retirement comes with many challenges that can be tricky to plan for. Some of these are challenges you may not even be aware of until you begin your retirement. This makes a retirement planner’s services invaluable for wealthy investors who wish to achieve a comfortable and worry-free retirement.

You can test out your retirement planner’s knowledge by asking them what types of challenges you will face during retirement. It would help if you then asked them what strategies they would recommend for overcoming these challenges. We discuss some investment strategies for retirement in our special guide for investors with $10 million or more.

A good retirement planner will always take the time to understand your finances and offer advice that is tailored for you. This knowledge helps them chart out a retirement plan you can follow along with easily.

Communication

A good retirement planner should also be a good communicator. This isn’t just limited to how well they speak or convey their ideas. If you need swift advice from your retirement planner before making an important financial decision, you will need to choose one that is easy to reach.

Some retirement planners take on a large number of clients each year. This approach exposes them to a wide variety of clients, but it also limits the amount of time they can devote to each one. Some of the best retirement planners are those that take on a limited number of clients and offer each one personalized attention.

Are Wealth Managers as Good as Retirement Planners?

Retirement planners are the go-to professionals for retirement modeling and planning services. However, wealth managers can offer these services and more for wealthy investors. Let’s look at some reasons why wealth managers could be considered better than retirement planners.

Client Net Worth

Retirement planners often deal with clients from a wide variety of backgrounds. These could be young graduates with low net worth who want to get a head start on planning for their future. They may also deal with wealthy investors who want to set up passive income sources before retiring.

Wealth managers tend to be more selective when choosing clients. These professionals primarily deal with individuals with a high net worth or an ultra-high net worth. At Pillar Wealth Management, our wealth managers offer retirement planning services for wealthy investors with $5 million to $500 million in liquid investment assets.

Straightforward Pricing

Retirement planners charge their clients in many different ways. Some charge an hourly rate for their services, while others charge a flat fee for each retirement plan. These fee structures may appear suitable for some clients. However, if you need to consult with your retirement planner frequently, you may incur extra charges.

Wealth managers charge their clients a bit differently. These professionals typically charge a fixed annual fee based on the value of their asset’s clients. This fee structure encourages investors to reach out to their wealth manager as frequently as needed and without paying extra.

Additional Services

One of the main reasons why wealthy investors choose wealth managers over retirement planners is due to the additional services they provide. A retirement planner may specialize in retirement planning, but a wealth manager offers a wide range of services. This includes asset management, portfolio analysis, estate planning, and tax planning.

Each of these services can help you work towards meeting your retirement goals and achieving your dream retirement.

Why Choose Pillar Wealth Management?

Wealthy investors across the country flock to us for retirement modeling and planning services. They trust us for our six decades of industry experience and personalized plans. Our wealth managers always take the time to understand your financial background and future goals before creating a custom retirement plan to help you get to where you need to be. Please set up an exclusive free appointment with our wealth managers to get started with the perfect retirement model.

Authors

To be 100% transparent, we published this page to help filter through the mass influx of prospects, who come to us through our website and referrals, to gain only a handful of the right types of new clients who wish to engage us.

We enjoy working with high net worth and ultra-high net worth investors and families who want what we call financial serenity – the feeling that comes when you know your finances and the lifestyle you desire have been secured for life, and that you don’t have to do any of the work to manage and maintain it because you hired a trusted advisor to take care of everything.

You see, our goal is to only accept 17 new clients this year. Clients who have from $5 million to $500 million in liquid investable assets to entrust us with on a 100% fee basis. No commissions and no products for sale.

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