How Can Retirement Plan Consultants Help You?
Do you work for a company that provides retirement plan consultants and advisors? If so, are you taking advantage of these resources? A retirement plan advisor can help you establish a plan that guides you toward the end of your career with financial security.
What Can Retirement Plan Consultants Do for You?
Retirement plan consultants are much different than personal financial advisors. Your personal wealth manager will most likely specialize in taxes, insurance and estate planning. On the other hand, retirement plan advisors specialize in:
- Retirement plan operations and design
- Fiduciary responsibilities and compliance
- Overall retirement marketplace and investments
- Industry trends and analytics.
In some aspects, personal and retirement advisors are similar. They both should have a core proficiency in investing and retirement planning. However, their specific expertise is what makes them so different.
The Process of a Retirement Plan Advisor
First and foremost, retirement plan consultants will create a line of communication with your employer. This will help them better understand your plan options and the company in general.
Next, you will have the ability to setup a one-on-one meeting with the advisor. During this time, you will discuss your overall financial goals for retirement.
This initial meeting will help the advisor better understand your specific wants and needs. Therefore, they can work with you to develop a retirement plan that meets these needs.
They will also educate you about your retirement plan options and other financial concepts at your disposal. Their main focus will be to maximize your income through your retirement account. That includes minimizing fees, providing projections and helping you understand employer contributions.
The right retirement plan advisor will clearly communicate how much you need to save now in order to retire comfortably in the future. This will help you develop goals going forward.
In fact, most Americans believe they need $1.7 million on average to retire. And with the SECURE Act now in place, you have better access to 401(k) plans than ever before.
Knowing when to retire and having enough money goes hand in hand. This is why utilizing company-provided retirement plan consultants can be so beneficial for young Americans.
Why Are Retirement Plan Advisors So Valuable?
Everyone wants to be able to retire on their own terms. Unfortunately, many people won’t have that luxury because of poor planning in their younger years.
Maybe you want to retire abroad in Mexico or take off to Hawaii? Maybe you’re trying to find the best tax breaks for retirees in states such as Georgia, Tennessee or Florida?
To make this possible, you need to begin saving earlier than ever before. Did you know that Americans between the ages of 20 and 29 have an average of $11,900 in a 401(k)? This alone shows that we are still behind when it comes to preparation for retirement.
401(k) balances are skyrocketing according to recent reports, but it’s still not enough for many individuals. This is mainly because retirement plans weren’t as accessible to past generations. The rising numbers are a result of better access and automatic enrollment.
This is where retirement plan consultants can bridge the gap and help you efficiently save for retirement. They’ll also meet with you regularly to ensure you’re continuing to see gains, while making adjustments if necessary.
Don’t Overlook Your Retirement Planning
Signing up for a 401(k), setting your contribution, selecting a generic fund and never looking back is much too common in today’s society. You could be losing money and opportunity without even knowing it.
Sign up for our Investment U e-letter below for the latest retirement tips and trends. You can build a foundation of financial security in your life that comfortably guides you into retirement.
Moreover, take a meeting with your company’s retirement plan consultants to gain a better understanding of your options. The meeting alone will give you more clarity and help you discover your path to a stable retirement.
About Corey Mann
Corey Mann is the Content Manager of Investment U. He has more than 10 years of experience as a journalist and content creator. Since 2012, Corey’s work has been featured in major publications such as The Virginian-Pilot, The Washington Post, CNN, MSNBC and more. When Corey isn’t focusing on Investment U, he enjoys traveling with his wife, going to Yankees games and spending time with his family.