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Why Every Teacher Needs a Retirement Specialist

15 Dec - Posted at 19:35h in Retirement

There is no getting around it — saving for retirement is a confusing process. And that is even more true for teachers. Navigating the pension process along with a host of other retirement savings options can have your head spinning.

In this article, our team of retirement experts at Appreciation Financial explores the reasons why we believe that every teacher needs a retirement specialist to guide them through the process. Read on to learn more, or call our office to schedule your no-obligation consultation today.

Most times, when teachers come to our office to meet our retirement specialists, they tell us that they wish they would have started the process of planning for retirement earlier. Therefore, to help you get started thinking about the process, we want to outline the many reasons why every teacher needs a retirement specialist in their corner.

Avoiding Mistakes and Penalties

When you do not have someone to turn to with retirement savings questions, you are more likely to make costly mistakes or accrue penalties through investment mismanagement. Fortunately, all it takes to avoid mistakes is to have an expert that knows your situation. At Appreciation Financial, we understand the retirement needs of teachers and public servants because educators are the only clients we team with.

Understanding the Details of Your Teachers Pension

Pensions differ from state to state. Many states follow a traditional pension model, whereas others are opting for a newer form called a “hybrid model.” And the fact is, many teachers do not even know that there are different types of pensions.

By working with a retirement specialist at Appreciation Financial, you can get a pension review to let you know exactly where you stand.

Thinking Beyond the Pension

Teaming with a retirement specialist can help you explore investment options beyond the standard teacher's pension. We often suggest the 403(b) as an excellent retirement savings supplement. These investment options are similar to the 401(k) in the private sector but are specifically designed to meet the needs of teachers and public employees.

Creating a Budget

A retirement expert can help you create the two budgets you need to set for retirement success. First, you need a budget now, before you near retirement. A present budget makes sure you are not overspending and currently setting aside the right amount of money into your retirement accounts.

The second budget speculates what you will need and what you will spend during retirement. Our retirement experts will help you create a budget for when you retire from teaching that meets the needs and lifestyle you wish to live.

Giving You More Time to Do the Things You Love

As a teacher, you are an incredibly busy person. You are tasked with instruction, lesson planning, grading, and so much more. All of that leaves barely any time for yourself or with your family, friends, or hobbies. Now, add all of the complexities of retirement planning to that and you are going to feel quickly overwhelmed.

Teaming with our retirement experts lets us take care of creating a retirement strategy and offers you more time to do the things you love. You will always be part of the process, but you won't have to spend all of your free time trying to teach yourself about every investment option.

Learning Exactly How Much Money You Will Need

The fact is, most people — teachers included — have no clue how much money they will need during retirement. Couple that with people living longer than ever, and your retirement money will need to last decades longer than previous generations.

Our retirement specialists take into account that people are living longer and will need more retirement savings. We can help you get accurate numbers and projections. Other factors that go into how much you will need for retirement include outstanding debt (have you paid off your home, car, loans, and credit cards) and healthcare expenses. In fact, studies show that a couple will need $275,000 to cover healthcare costs alone over the course of their retirement.

Navigating Social Security For Teachers

Did you know that not all teachers will receive social security benefits? You read that right — and it is a shock to many teachers come retirement time. Whether you will receive social security benefits depends on the state where you teach.

By teaming with our retirement specialists, you can learn whether you can count on social security benefits once you retire. We can also perform a pension review and design a specific retirement plan for you as a teacher, whether you will be receiving social security or not.

Appreciation Financial has been a leader in helping teachers through retirement for years. And we want to help you navigate the process, too. To learn more about the services we offer and to meet a retirement specialist who prioritizes you, call our office today or reach out to our friendly staff online.