The Silent Killer That Everyone Forgets About When Planning for Retirement
May 12, 2016 by admin | Leave a CommentAre you wondering what this “silent killer” of happy retirements across America (and even the world)?
Well, I’m sure you have heard of it.
It’s not your investment return. I’m not even talking about market drops.
It’s something that eats away are your retirement finances like termites munching on your home.
It’s something that makes your expenses loom larger than a giant monster chasing you in your dreams.
It’s something that can leave you with no income for anything other than the “essentials”.
You know the phrase “living on a fixed income”?
Most people use that phrase when referring to old retired people that can barely make ends meet.
Well, the big “silent killer” is at work…. and it’s real name is….. [DRUM ROLL PLEASE]
I N F L A T I O N
That’s right – inflation.
No it’s not raging out of control like in the 1970s when inflation clipped along at 8, 10, 12% a year!
In 1980 it eclipsed at 14% a year!
So we are NOT in those times. Inflation is only averaging 2-3% at most.
But it is STILL the silent killer of retirement dreams!
Check out the following picture that we generated inside our Retirement View software…
Now I am showing you this picture FIRST. John has $1 million and it’s growing at 5%. We set inflation to 1% and although he is eating away at his principal, he is not broke at all at even age 100.
So now let’s bump up the inflation to 2%! Check out the picture now. He runs out of money at age 94!
OK let’s ratchet that up again. We will increase inflation one more time to 3%. Now check out this picture!
Now John runs out of his investments at 87. Note that this does not include any stock market crashes or booms. Just a steady 5% average investment return which may not be all that realistic.
So if you just glance at these retirement pictures, you will see that from the first picture to the last picture almost half of his retirement is EATEN AWAY by the inflationary termites!
We didn’t change anything else! To me this is interesting because I can SEE it happening. I can play with the factors and see how the picture is affected.
Don’t forget… you can do this too. YOU can take back control… YOU can have peace of mind… even against the “Silent Killer” of Inflation!
How? By using Retirement View software to plan and monitor your situation, check different scenarios, and see where you might be vulnerable. THOUSANDS have been using this with great success. Now it’s your turn!
You can download a free trial
or quit messing around and just buy our Retirement View software.
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