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Why Retirement is Hard and What You Can Do

by Todd Bauman, IAR–Bauman Advisory Group

People today are living longer than ever before, and the cost of living is only going up–especially in the area of health care. Most people retiring today also do so without the benefit of a pension, so they have to rely on their investments. After spending a lifetime building up your nest egg, the only logical thing to do is to protect it.

However, that comes with its own challenges. Interest rates have gone down on traditional safe money products. The stock market saw not just one, but two major downturns in the last decade, and we’re in a global economy now. There’s no telling what will happen next in the world or what that might cause the market to do.

People today are also busier than ever before, and I get it, really I do. That’s why I’m not going to waste your time by talking over your head or throwing a bunch of investor jargon at you. My goal is to tell you what you need to do to protect and preserve what you have built up. That’s all.

What I have here are three short, simple bullet points that walk you through what you need to do in order to avoid the THREE BIGGEST MISTAKES investors make today when it comes time to retire.  

Businessman with binoculars at the top of money stairs which represents seeking financial advice, stock market predictions, wisdom, money goals, retirement and strategies.

  • Mistake #1: Not having enough SAFE Money. My definition of SAFE Money is money where the principal is protected. That means you can’t lose it to stock market fluctuation. This is vitally important to have in case the stock market has another correction or even a crash. You want to have money you can draw from if needed. That way you can leave your RISK money alone to get back to where it used to be before the crash.
  • Mistake #2: Not knowing where your income is coming from. For men who are reading this, it is your call to arms. You owe it to your spouse to make sure you do your job here and get this set up right. I don’t mean to sound bossy, but all the statistics point to the reality that it’s us men who kick the bucket first. There is no greater gift you can give the people you love than financial peace of mind. Have an income plan for your spouse that she can rely on so she doesn’t have to worry about where her income is coming from. If your marriage is like mine, she is going to be totally devastated when you’re gone, the least we can do is set her up with no financial worries or concerns.
  • Mistake #3: Not having an estate plan set up. A good estate plan includes the proper documents, living trusts, wills, health care directives, and powers of attorney. This last issue is so important; it’s how I start my consultations with clients. This is the part of financial planning that doesn’t even involve investments; it’s just the right thing to do. Retirement Plan word cloud with financial wordsSo there you have it. You have spent a lifetime tucking and saving and putting money away, watching as your accounts grew. You CAN have a great retirement, and if you’ve saved, then you deserve a great retirement—just as long as you don’t screw it up.

Take care of these three things:

      • Get the right percentage of SAFE and RISK money set up inside your portfolio.
      • Get the right amount of guaranteed income set up for you and, if married, for your spouse.
      • Get a proper estate plan in place.

And that’s it. With a little bit of work and the right tools in place, you can enjoy the peace of mind that you deserve. This is what I want for you, and it’s what you’ve worked so hard to achieve. Here’s to staying golden during your retirement.

Retirement Plan word cloud with financial words

Todd Bauman, Investment Advisor Representative, licensed document preparer, and Owner of Bauman Advisory Group, LLC, a registered investment advisory firm. For more information on financial planning, please contact Todd Bauman at or call (702) 897-9997.


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