If you think about it, planning for retirement is a bit like going to the grocery store. You need to know what you need, you need to know what you’re paying, and at times, you need to purchase the more expensive product. These are just a few of the similarities. Join us as we unpack this analogy and help you shop for a meaningful retirement.
The Bass Lines:
[1:38] – Know What You Need
- Don’t go to the grocery store without a list. Otherwise, you’ll forget what you came to buy.
- If you don’t have a list, you could also buy things you don’t need.
- In retirement, know what you need your money to do for you. Make a list of the purposes you need your wealth to serve.
[3:34] – Everything Needs To Fit Together
- If you’re aimlessly wondering through the grocery store, you’ll most likely have quite the random assortment of goods. Pineapples, cheese, and yogurt don’t necessarily go together.
- In retirement, there are all sorts of products out there. They’re not necessarily bad products, but if they don’t fit together to serve your needs, they’re not serving you as well as they could be.
- Your portfolio needs to work together to serve your needs.
[5:35] – Know What You’re Paying.
- Everyone knows that special someone who dominates The Price Is Right. That’s probably because they were the primary grocery shopper of their family. These people know what they’re paying for their groceries. In retirement, you need to know what you’re paying for financial services.
- Know what it costs to own your financial products. Understand the fees associated with your investments.
[8:25] – The Cheapest Option Isn’t Always The Best.
- The same could be said for the most expensive option. Look at name brands and store brands at grocery stores. Sometimes, that brand makes a difference. Other times, the generic option is just as good.
- Don’t buy the name brand when the generic will do the same job. In the financial world, pay for quality service. Don’t overpay, but make sure you’re purchasing quality.
- On the other hand, if your situation calls for a more expensive product, it’s worth paying for the proverbial name brand or premium service.