The Role of the Financial Planner in Retirement Planning
A financial planner’s role in retirement planning goes beyond merely analyzing a client’s existing resources and determining how much must be saved to reach a particular level of projected retirement income. A good retirement planner should be prepared to assist his or her client in developing realistic retirement objectives and lifestyles, and to help ensure that the client is aware of the decisions and adjustments that he or she may have to make at retirement. A retirement planner should be able to help his or her client retire to something, not just from something.
Examples of the services that a retirement planner might provide include the following:
• showing clients who are in their early working years the benefits of identifying retirement objectives, and starting to save and invest early.
• showing clients who are in their peak earning years the importance of accumulating sufficient retirement resources and investing them appropriately
• reviewing existing resources and pension plan memberships, and projecting the savings required to reach retirement objectives.
• counselling clients approaching retirement about the financial and other adjustments that they will face at retirement
• counselling clients regarding their distribution options of pension benefits.
• evaluating the advice that a client receives from other retirement advisors, to ensure that it is consistent with his or her overall retirement plan .
• counselling clients who have retired about liquidating assets to meet living expenses.