Retirement

Question 1

1st year of retirement

Answer 1

spend 70-80% of last years work earnings

3.5-4.5% of nest egg

Question 2

Market crash

Answer 2

Rachet down expenses by loss in the market

Question 3

Set up solo

Answer 3

IRA (regular and roth)

Question 4

Set up via employer

Answer 4

Any retirement account starting with #s (Roth or non-Roth)

Question 5

Roth

Answer 5

after-tax, save on taxes later

income is taxed then you can contribute, better in times of growth because it avoids tax at withdrawal

can also include other assets that general capital gain

Question 6

Before tax

Answer 6

make your contribution first and then taxed at withdrawl, defers

better if you are in a higher tax bracket NOW than in retirement

save on taxes now

Question 7

Employee match

Answer 7

max it out

Question 8

Estate planning

Answer 8

if you don’t define your estate, the state might do it

Question 9

Do I need financial planner

Answer 9

Depends on your goals / experience, as well as their compensation scheme

Question 10

Things to be aware

Answer 10

Auto dealers / repair shops

Giving out SSN / credit card

guaranteed returns

off-shore investments