2. What’s Next for Your Personal Financial Plan?

Survey retired individuals or people close to retirement to obtain information on their main sources of retirement income.

Make a list that suggests the best investment options for an individual retirement account.

Purpose: To determine the amount needed to save each year to have the necessary funds to cover retirement living costs.
Financial Planning Activities: Estimate the information requested below. This sheet is also available in an Excel spreadsheet format in Connect Finance.
Suggested Websites: www.ssa.gov, www.financialmentor.com, www.asppa.org

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Estimated annual retirement living expenses Estimated annual living expenses if you retired today Future value for years until retirement at expected annual income of % (use future value of $1, Exhibit 1- A of Chapter 1 Appendix) Projected annual retirement living expenses adjusted for inflation................. Estimated annual income at retirement $ (A) $ Social Security income $ Company pension, personal retirement account income $ Investment and other income Total retirement income.................. $ (B) $ Annual shortfall of income after retirement (subtract B from A).......... (C)