1) Will I outlive my money? This is the number one concern for seniors and more people are worried about this than actually passing away. As a result, seniors often look for investment options that are safe and produce earnings that are sufficient to cover their living expenses. Folks living on a fixed budget are very aware of how much money they need to draw out of their investments each month to cover their bills. If this earning power is diminished due to market fluctuations than seniors fear that they will run out of money. I had to tell a woman in my office the other day that if our assumptions hold true she will run out of money by age 82. This is not what she wants to hear but it is
information I have to report, and changes will have to be made.
2) Loss of Independence. Seniors often lose their will if they do not maintain their independence. If seniors lose control of their financial lives and decision making process this will surely lead to a loss of independence. No one wants to live with their kids when they are 70 or 80 and as a result the advanced planning becomes even more vital.
3) Beware the unscrupulous financial advisor. This can happen on many levels. First, many advisors are more interested in meeting sales goals or selling a product that has a higher commission. When this happens, seniors can get locked in to investments that were not best for them in the first place. I recommend the senior has a child or personal representative with them when meeting with an advisor and to have all their questions ready ahead of time. They should also interview the advisor him/herself and really learn about their business and where they work best.
Second, the scam artists are in full gear when it comes to internet and seniors. I have 2 clients who have parents who have been scammed sending their personal banking information to someone in Nigeria or Kenya. These cases happen far too often. Seniors can also fall victim to ponzi schemes, or fall victim to abuse of power of attorney to transact business that is not in the seniors best interest.
4) How to battle the rising cost of healthcare. How can seniors get affordable and quality healthcare? Modern medicine has made some tremendous strides and the human race is living longer and longer. As people age we are more likely to need health care. Seniors who have set up their plans in advance often include long term care policies to help protect with the potential cost of in home care, assisted living,
or nursing home care.
Listen below as Stu discusses this topic with Win Damon of WNBP 106.1 FM and wnbp.com
Stuart Steinberg of Eaglerock Financial, Inc. has worked with families for more than 20 years, helping them work toward their financial goals through a holistic, well rounded approach rooted in objectivity, education, and empowerment. Stu is highly regarded by clients and colleagues for his unique combination of investment, CPA and entrepreneurial experience in the high net worth market.
Securities offered through LPL Financial, Member FINRA/SIPC.
