Reported 6 months ago
The article discusses the importance of determining a realistic rate of return for retirement planning, emphasizing the need to consider factors such as fees, taxes, inflation, and investment types. It suggests that historical returns indicate a conservative rate of return for retirement could be 10% or less. Factors affecting the rate of return in retirement include risk tolerance, investment types, retirement timeline, fluctuating returns, and annualized vs. compounding returns. The article also provides insight into historic rates of return for different asset classes and offers tips to maximize one's rate of return in retirement, such as fighting inflation, diversifying the portfolio, and prioritizing short-term bonds. It concludes by highlighting the importance of creating a comprehensive financial plan with the help of a financial advisor to navigate retirement successfully.
Source: YAHOO