Know Your Retirement Income –– Kirk Sadilek

Know Your Retirement Income

By Kirk Sadilek, Principal National and Principal Life Financial Representative, Princor Registered Representative

You may not know how to retire, but that’s not surprising. You’ve never done it before.  Although many things change in your lifestyle when you retire, one thing remains constant—you still need income. Where will the money come from? Your financial independence later depends on your actions now.

Social Security

Government programs, like Social Security, provide regular income for as long as you live. However, Social Security simply creates a base income, and was never designed to be your sole retirement income source. Economists predict that in the not-too-distant future, there will be more Social Security benefit recipients than contributors to support the system.

Employer-Sponsored Retirement Plans

Employer-sponsored retirement plans are a good source of income. If you’ve moved or changed jobs, there may be confusion about how much you’ll actually receive. The benefit booklet provided by your employer should tell you what requirements must be met, and what benefits you can expect.

Personal Savings and Investments

Personal savings and investments such as annuities, stocks, certificates of deposit, life insurance policies, savings bonds, mutual funds, money market accounts, real estate, and personal property, often define the difference between financial hardship and financial comfort in your retirement years. A financial professional can provide the education to help you make decisions about how to handle your assets and investments before and after you reach retirement age.

Additional Income

You may still be earning income when you retire. Many people who retire go right back to work, and some even pursue new careers. If you decide to work after you retire, it’s a good idea to check how it may affect your Social Security benefits. Planning for your retirement is more important now than ever before. We tend to live longer and lead more active lives: therefore, retirement benefits may need to stretch over longer periods of time.  Knowing your sources of income, what to expect from them, and how they work together can help you toward a more financially secure retirement.

For more information about this and other financial topics, contact Kirk Sadilek at 319- 362-2149, ext. 142 or sadilek.kirk@principal.com.