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Long Term Retirement Financial Planning is Essential

A middle-aged man had hopes to retire and enjoy his golden years with his wife in Chester County. They both had a myriad of interests and avocations, and constantly talked about cushioning their retirement assets with enough resources to comfortably enjoy these passions. Unfortunately, family issues took precedence over savings and they were unable to accumulate as much as desired. They were hopeful that expert retirement financial planning would help them meet their goals.


planning for retirement

They met with HFA planners when the husband turned 55, right after their last child graduated from college. Their planner conducted an in-depth analysis of the couple’s assets, including retirement plans. The husband was fortunate he had spent his entire career with the same company and not only had a 401k plan, but a frozen pension plan vested benefit, as well. The planners studied current and anticipated post-retirement monthly living expenses and analyzed potential pension and social security benefits. Company long-term financial incentives were also reviewed and coordinated with the retirement plan. Based on the results of their research, the advisors helped the couple develop an appropriate strategy for financial planning for retirement.

The developed financial plan utilized conservative investment rates and inflation expectations, and also outlined necessary steps for them to take to help achieve their retirement goals. It offered an appropriate investment strategy for existing assets and recommendations for annual savings and target asset allocation in the future. In addition, a Monte Carlo analysis was completed to project retirement income and expenses and present best and worst case scenarios and statistical probability of achieving retirement income goals. Monte Carlo financial planning software uses statistical modeling of various outcomes to generate probability of achieving success.

As a prominent member of the Greater Philadelphia community specialized in financial planning for retirement, HFA assists individuals and families throughout Philadelphia’s Main Line and Chester County in preparing appropriate retirement financial planning strategies, then executing to them in the years leading up to retirement. Based on vast knowledge and experience, the HFA planners were able to tailor a financial plan around the couple’s unique needs, even though the couple was later in their careers than is generally ideal.

Annually, HFA planners reviewed the plan and its progress towards meeting the couple’s retirement income goals. Periodic investment monitoring throughout the year occurred as well. Investment changes were suggested if deemed necessary. Actual portfolio values were compared to target savings objectives and adjustments were proposed when the husband received bonuses and financial incentives.

In preparation for retirement, additional analyses of pension and social security were completed. Various survivor options were explored for the pension and HFA planners recommended the optimal age for the couple to begin collecting social security. Planners helped to create a solid income stream from their investment portfolio. However, the planner warned them not to take too much income or they may jeopardize their long term future by outlasting their monies. HFA recommended an appropriate asset allocation based on retirement goals. Income tax issues were analyzed, as well, to help minimize amounts paid.

The Moral of the Story: Retirement can be joyful and worry free through strategic financial planning.


The case studies presented are hypothetical in nature and intended for illustrative purposes only to demonstrate the range and scope of services that are provided by HFA to its clients. Individual advice and results will vary based on each client’s circumstances, objectives and prevailing economic conditions.

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