Envisioneering™ Retirement Accumulation Planning™ addresses the first phase of retirement, the savings or accumulation phase. This typically is associated with people just starting their careers or who have modest retirement lifestyle ambitions.

If you are 20 plus years from retirement, you may not have thought much about a retirement plan. Your 401(k) plan may address this by defaulting you into saving 3%, matching that and putting you into a target date mutual fund. These funds are not designed to generate retirement income much less the amount you want. Those that start saving later in life, are even ill-served by them. These funds don’t address how much you should be saving, as you likely need to save even more to catch up to the desired amount had you started saving right of high school.

Envision’s Retirement Accumulation Planning™ seeks to replace 60% of your gross income in retirement. It helps project retirement income sources such as Social Security, pensions and rental income. With those income sources, it then identifies any gaps in getting to the 60% number.  Closing the gap considers: How much you need to save, given, various return expectations, from now until you retire. Your adviser then determines a retirement savings, investing and tax plan to close the gap.

While there are many account types you may qualify for, Envision’s Retirement Accumulation Planning only considers: regular investment accounts, IRA, Roth IRA and employer sponsored plans like 401(k), 403(b), TSP, etc. If your needs go beyond that, you would be better suited by our Envisioneering™ Financial Life Planning model.

You may be a great fit for Envision RAP™ if you are:

• At least 10 years out from retirement
• Happy to live on the equivalent of 60% of your after-tax income
• Not concerned that their future healthcare costs will be in addition to 60% spending
• Not concerned about the cost of long-term care being in addition to their 60% spending
• Have no specific goals for your future
• Payoff your credit cards monthly
• Have little to no student loan debt
• If married or have children, have income replacement life insurance,
• Have a disability policy that replaces 60% of their income after taxes

Ready to learn if your pursuit of a comfortable starts with Retirement Accumulation Planning? Click here.