Company Retirement Plan
Retirement plan
retirement
10 commandments of retirement planning

VIII. You shall set goals
Next
9 of 12
Back
VIII. You shall set goals

To stay on track for retirement, set goals within your financial plan.

"As you're putting money away, it's hard to say I want my money to grow by 'X' amount because you don't know what the market is going to do," says Kuhn. "But you can take it in five-year increments -- in five years I'd like it to be worth 'X,' in another five years I'd like it to be this."

Monitoring annual returns will let you know if your investments meet the overarching goals laid out in the financial plan.

"If their financial plan says they need a 5 percent return, they have no business being in something that is going to give them the chance for 30 percent returns," Rosenthal says.

"Maybe a portion, but they need to monitor their portfolio to make sure it is on pace to their financial plan," he says. "The market is not the barometer. Their plan is the barometer. Are they consistently staying on pace with their financial goals on an after-tax basis?"


 

 

advertisement

Show Bankrate's community sharing policy
          Connect with us
advertisement
CD & INVESTING NEWSLETTER

Learn the latest trends that will help grow your portfolio, plus tips on investing strategies. Delivered weekly.

Blog

Jennie Phipps

Get your shots and stay healthy

Vaccinations are free for Medicare participants and people insured under the ACA.  ... Read more

advertisement
Partner Center
advertisement

Connect with us