“COVID-19 has caused a lot of retirees and those approaching retirement to rethink their plan for retirement,” says Dennis Notchick, a certified financial planner for Stratos Wealth Advisors ( www.dn.stratoswealthadvisors.
Notchick suggests the following tips to re-evaluate a retirement plan and perhaps retool it to withstand the effects of COVID-19:
Sometimes people don’t realize how much they are actually spending,” Notchick says.
Another important point to remember is that dividends, interest and capital gains may not be taxed equally, some can be taxed as high as your ordinary tax rate, and some may be completely tax-free.
Notchick points out the need to tailor retirement plans for the inevitable costs of aging, some health-related as well.
“Holistic financial planning for retirement ensures all parts of the financial plan are working together – investments, taxes, estate planning, etc.,” Notchick says.
