Pop quiz: Pretend your investment portfolio looked like one of these three graphs. Which of these represents an 8% average annualized return each year? The answer: … [Read more...] about What Does “Stocks Return 8 Percent Each Year” Actually Mean?
financial planning
Protecting Yourself with Dividend Stocks
Darn! The year was off to such a great start for us investors! But then worries about Greece and the Euro spoiled the party. If you were following conventional wisdom and investing in Index Funds, then you’ve basically lost about 6% in May (following the S&P 500). Don’t worry – I’m not trying to bum you out. But it is times like this that you need to ask yourself “What am I doing to hedge myself? If buying stocks is offense, what am I doing to play defense?” … [Read more...] about Protecting Yourself with Dividend Stocks
Will You Have to Work Until Age 80?
How long do you plan to work? In a very depressing recent article on CNN Money entitled “Delaying Retirement: 80 is the New 65”, it was reported that at least a quarter (1 in 4) of middle class Americans are failing to prepare for their retirements and will likely work until the age of 80. Keep in mind that the average life expectancy of a person is only 78. Here are some more sad facts that were quoted: • The respondents (ages 20 to 80) had a median savings of $25,000. However, their median retirement savings goal was $350,000. • 30% of people in their 60’s had saved less than $25,000 for retirement. • Three-fourths of middle-class Americans expect to work throughout retirement (Remember: If you work through retirement because you … [Read more...] about Will You Have to Work Until Age 80?
