Greg & Elizabeth
Case Study #2
52 & 50
Develop a purposeful plan to successfully transition into retirement and maintain their lifestyle.
Greg has been on the job for over 23 years. He's eligible to retire now but he still enjoys turning the wheel every third day.
Elizabeth teaches first grade and, though she wants to retire one day, she has no plans of doing it anytime soon.
Both of their daughters are grown and out of the house and marriage is on the horizon. Greg wonders how he'll pay for their weddings.
Even though Greg has a defined benefit pension, he always diligently saved into his 457(b) plan. He's accumulated about $450,000 in his 457(b) thus far.
Elizabeth has also been a diligent saver. Between her 403(b) and her 457(b), she has about $425,000 and plans to continue investing.
Though their house will be paid for in the next two years and they are otherwise debt-free, Greg and Elizabeth worry that the pension and their nest eggs won't be enough to last them through retirement.
Create a vision for retirement.
Develop a retirement income strategy.
Reduce taxes in retirement.
Save for both daughters' wedding.
Greg and Elizabeth have always been good financial stewards. Their good communication and strong marriage have kept financial stress to a minimum and they want to continue that into retirement.
A comprehensive plan was created to meet all their needs:
A "what's next" plan was created for the next chapter of Greg's life.
A retirement income strategy focused on providing a predictable income was created utilizing their pension, social security benefits, and other retirement assets.
A tax-efficient investment/withdrawal strategy that reduces their long-term tax liability.
Reduced investment costs.
Improved asset allocation to better align with their goals.
A wedding funding strategy that did not impact their chances of a successful retirement.
Greg loved his career as a firefighter. He often says, "Best job I ever had."
But, now with a clear financial plan in place, he is excited about what the next chapter of life will hold.
Note: The above case study is hypothetical and does not involve an actual client of Forward Focus Financial Planning. None of the content should be construed by a client or prospective client as a guarantee that he/she will experience the same or certain level of results or satisfaction if Forward Focus Financial Planning is engaged to provide financial planning and investment advisory services.