Thinking About Retirement

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Thinking About Retirement

• It Takes Commitment!

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How are we, as a nation, doing?

• Personal savings rate, overall, is negative
• Bankruptcies are at an all-time high and the rate
  will rise
• More people will go bankrupt in Missouri than
  will earn a college degree
• More college students leave school early for
  financial problems than grade problems

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You fail when you sacrifice what you want most
for what you want now.
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How are you doing?

• Add up your points as you go through the slides
• Your score will help determine how committed you
  are to preparing for retirement

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1. My checkbook is balanced with the bank
statement

• 10 points Every month
• 5 points The numbers in my checkbook have some
  meaning and resemble reality (sort of)
• 0 points I dont think my bank sends out
  statements any more

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2. When it comes to predatory loans (like payday
loans, title loans, rent-to-own, and rapid
refunds)...

• 10 points I never use them
• 5 points I used them once and found they are
  too expensive
• 0 points It is how I get from week to week

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3. Thinking about my credit cards and bills

• 10 points - I pay off my balance each month
• 5 points I carry a balance on my cards and
  bills from month to month but nothing too
  serious
• 0 points I am very uncomfortable with the
  balance on my credit cards and bills

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4. Home equity loans

• 10 points I dont have one, and I dont want
  one
• 5 points I have/have had a home equity loan for
  a good reason
• 0 points I obtained a home equity loan for
  something that wasnt a necessity

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5. If I have to choose between saving for a
childs education and saving for retirement

• 10 points I dont have to choose. I save for
  both.
• 5 points I save for retirement first
• 0 points I save for my childrens education
  first

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6. Health care insurance and retirement

• 10 points I no longer take health care benefits
  for granted. If I retire early I will have health
  insurance and benefits available to meet my
  needs.
• 5 points I THINK (but I need to check) that
  I'll have health care insurance and benefits I
  can afford.
• 0 points I hadn't given health care insurance
  during retirement any thought.

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Where will the money come from for my retirement?

• The old standard
• Pension
• Personal savings
• Social security
• The new reality
• Pension
• Personal savings and social security
• Health care
• Your part-time job

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7. Would you tap your retirement savings early?

• 10 points I havent. It would have to be
  something life and death before I would.
• 5 points I have
• 0 points Retirement savings? What savings?

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8. Children

• 10 points My children are launched and have
  skills to earn a living and be on their own
• 5 points Im educating my children now and
  helping them financially
• 0 points my children are out of the home and
  Im still financially helping them (with no end
  in sight)

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9. Thinking about my lifes partner

• 10 points I could function okay if I were
  single
• 5 points It is something I just dont want to
  think about but I could survive
• 0 point It would never happen to me

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10. When it comes to retirement

• 10 points I am very comfortable with the plans
  and savings that Ive put in place
• 5 points Some aspects are okay and others need
  my action
• 0 points Ill need to work forever

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How are you doing?Add it up!

• 0-40 points I need to reevaluate my commitment
  to retirement
• 40-80 points Im doing okay. I just have a few
  areas to work on. They are______________________
  _________
• Over 80 points Im ready to enjoy the kind of
  retirement I planned for

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You fail when you sacrifice what you want most
for what you want now.