Solid retirement advice is often passed down from father to son, boss to employee or mentor to mentee. A recent USA Today article ("What's the best retirement advice you ever got?" March 2015) features successful people from various industries and backgrounds sharing the retirement advice that made a difference in their lives.
At the recent Forum on Contemporary Issues in Society symposium at Wayne State University, Roger Ferguson spoke about how to navigate retirement planning in our increasingly challenging retirement reality. Ferguson believes that our current retirement system places too much responsibility on employees, while most workers do not receive enough financial education to make the sometimes-complex decisions that are required.
He also provided his own tips for a successful retirement, no matter one's circumstances. Starting with a core principle of saving as much as possible no matter how early or how late you start, Mr. Ferguson recommended these steps:
Please note guaranteed lifetime income is provided by insurance companies and subject to their claims paying ability.
Diversification is a technique to help reduce risk. There is no guarantee that diversification will protect against a loss of income.
What's the best retirement advice you ever got? Who shared it?