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Estimating the True Cost of Retirement

Topic

Retirement Savings and Income Planning

Program ID

321162

Hours

1

Format

Self-Study / Traditional course (50+minutes)

Complexity

Intermediate

Description

Retirement is the most expensive purchase faced by most individuals. In this session, David Blanchett will explore a framework to better understand how much retirement actually costs and a process for better estimating its true cost. This session will include a discussion of the implications of properly forecasting the growth of assets and important considerations when estimating the liability, such as determining the optimal replacement rate, forecasting the retirement period and understanding what it truly means to fail (or succeed) during retirement.

Learning Objectives

Gain a better understanding of the key variables required to estimate the cost of retirement; Learn of a more effective approach for calculating an income replacement rate; Learn of a better spending model to help you understand how expenses tend to change throughout retirement and the implications of these changes on the retirement need; Discover today’s “safe” initial withdrawal rate.