The New Realities of Retirement

Happy portrait of senior couple, woman embracing her husband
10 May 2016

Approximately 4 million baby boomers will retire this year alone! Talk about a drain on pension and Social Security benefits…You don’t have to search very far to find information on the under-funding issues with both of these programs. There are many new realities to retirement. Here are just 3:

*You will live longer than you imagine– One out of every four people age 65 will live past 90. Don’t think of retirement in years, plan on decades.

*Social Security will not go broke– I know, I know. I brought Social Security up earlier, but the system will improve. I am confident it will be there for all of us, it just won’t be in the same format we see today. Changes will occur, like raising early/full retirement ages, raising the salary income cap for contributions, and many others.

*You will need more than you think in retirement– Increasing out of pocket health expenses and the looming threat of long term care make it more challenging as you age. No cost of living adjustments to most pensions and social security limiting raises as well-if your money isn’t going up, it’s probably going down.

Planning as early as possible will no doubt help you prepare for these and many other retirement challenges!

Good luck!





Jeffrey Johnston

Jeffrey is originally from Solon, Iowa. He currently resides in Swisher, Iowa with his wife, Prudence, and his three children, Seth, Ian, and Roman. He graduated from the University of Northern Iowa in 1989, where he majored in Finance and Investments. He has 24 years of experience in the investment and estate planning business. He is currently the President of “Premier Investments of Iowa, Inc.” Jeffrey’s main focus is Estate and Investment Planning for Senior Citizens and Pre Retirees. Jeffrey became a Chartered Financial Consultant (ChFC) in 2001. He is the author of many articles on industry related topics and he is a frequent seminar presenter. He is a Board Member TRIAD Linn County Seniors Against Crime, and he is also a past Board Member of the Heritage Area Agency on Aging Task Force. He is a member of CEO Roundtable in Cedar Rapids, a Daybreak Rotary Member, and a member of the Cedar Rapids Estate Planning Council. In March of 2009, Jeffrey became the host of the Premier Investments of Iowa Financial Hour which airs every Tuesday Evening from 6PM -7PM, on WMT 600 AM Radio. In his free time he enjoys golf, fishing, scuba diving, traveling, and coaching son’s basketball teams.