Insurance Planning
Planning is important, but as we all know, things don’t always go according to plan. Things happen, sometimes tragic and being prepared for those catastrophes is important. Do you have sufficient life insurance on yourself to benefit your family in the event of your premature death? Do you have a plan in place for disability and long-term care needs?
Do you have some key employees who, if lost, would greatly impact the business? Do you have a funded Buy-sell agreement with life insurance?
If you are a federal employee, is FEGLI costs starting to rise to the point of it not being cost effective anymore? Would you rather do a lesser FERS survivor benefit and replace the lost benefit with life insurance?
Having a proper catastrophic plan in place is critical and often underfunded or all together forgotten. Work with us to put a proper plan in place for you.
Risk Management
I worked as an advisor during the major recession of 2008. I saw many of my clients have devastating outcomes from the financial crisis. Many losing 50% or more of their network in a short period of time. Many of them who were close to retirement had to continue to work an addition 3 to 5 years to make up the losses they experienced. I learned my lesson back then about risk. It’s important for me to lessen investment risk closer to time of needing income. But there’s a fine balance when it comes to risk. If you are not taking on any risk, you are likely not having sufficient growth and income, often not even keeping place with inflation. Or you may be too risky and chance the possibility of a major loss just before retirement. The strategies we put in place at Clarity, often allow for good upside growth potential but with some level of protection if the market has a correction. Dividend income is also very important to our planning, and we try to increase the income potential of the portfolio as you near retirement. The hope would be to live off the interest of the portfolio and try to maintain the principal balance of the investments. Come meet with us at Clarity Capital to review your current risk and we will assign your portfolio a risk number and calculate your income potential and probability of success of not outliving your money.