According to a Gallup poll, less than a third of Americans have long-term financial plans, which is concerning. Failing to consider critical factors could lead to not saving enough money and watching the well run dry during your golden years.
There are plenty of big questions to ask yourself when planning for retirement, such as what age you plan to retire at and how much you’ll be earning in Social Security benefits. But there are also less obvious factors to consider as well, and making these mistakes can have a serious impact on your retirement.
1. Forgetting about inflation
It’s hard enough to create a budget for the next 30 days, so of course figuring out how much you’ll need during retirement 30 years in advance may seem like an impossible task. It doesn’t stop there, though inflation can further complicate things.
The U.S. inflation rate typically hovers around 2% to 3% per year, That may not seem like much, but when you consider how many years you have until retirement and how many years you’ll spend in retirement, it adds up. For example, say you’re 40 years old and have $50,000 saved for retirement. By the time you turn 65, assuming an inflation rate of 2% per year, that $50,000 will only be worth around $30,476. Once you turn 80, that $50,000 will be worth approximately $22,644.
Top Gold Stocks To Watch For 2019: Extra Space Storage Inc(EXR)
- [By Matthew Frankel]
The final REIT type I like right now is self-storage, particularly Extra Space Storage (NYSE:EXR).
First, I should mention that this could prove to be the most volatile company on the list. Self-storage isn’t as defensive as retail or healthcare simply because of its lease structure. Generally, you don’t sign a multi-year lease on a storage unit — you just pay each month that you want to keep it. This makes it easier for tenants to vacate the properties during tough times.
- [By Jon C. Ogg]
Extra Space Storage Inc. (NYSE: EXR) was raised to Buy from Neutral at Merrill Lynch.
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Goodyear Tire & Rubber Co. (NYSE: GT) was reiterated as Buy with a $36 price target (versus a $25.16 close) at Argus. The firm noted that the recent sell-off offers an attractive entry point.
Top Gold Stocks To Watch For 2019: Telecom Italia S.P.A.(TI)
- [By Lisa Levin]
In trading on Friday, telecommunications services shares fell by 0.29 percent. Meanwhile, top losers in the sector included Telecom Italia SpA (ADR) (NYSE: TI), down 4 percent, and Internet Initiative Japan Inc. (ADR) (NASDAQ: IIJI), down 3 percent.
Top Gold Stocks To Watch For 2019: NTN Buzztime, Inc.(NTN)
- [By Lisa Levin]
NTN Buzztime Inc (NYSE: NTN) shares were also up, gaining 26 percent to $7.22. NTN Buzztime reported a Q4 loss of $0.22 per share on revenue of $5.98 million.