Bob Carlson - Retirement Watch: The Essential Guide to Retiring in the 2020s

Retirement Watch

The Essential Guide to Retiring in the 2020s

Bob Carlson

Americas #1 Retirement Expert

If there was a Mount Rushmore for retirement planning, Bob Carlson would be included. In my opinion, Bob is the #1 resource in the U.S. for factual and clear information on all things retirement, and his publications are must-reads for anyone who is serious about his specific retirement plan. For the over ten thousand Baby Boomers hitting age sixty-five every single day, this book should be required reading. Its that good.

Stan The Annuity Man

For all those of you who fear running out of money after you retire, Bob Carlsons new book is the perfect antidote and will give you the freedom to enjoy your sunset years to the fullest.

Mark Skousen, editor of the Forecasts & Strategies newsletter and author of The Maxims of Wall Street

During his almost three decades of leadership as chairman of the Fairfax County (VA) Employees Retirement System, Bob Carlson has been at the forefront of innovative thinking on portfolio construction and implementation. His insights on markets and the interplay between economic growth and the forces of a potential new age of inflationary pressures hold real value to any retirement portfolio in the challenging times that lie ahead.

Andrew J. Spellar, CIO of Fairfax County (VA) Employees Retirement System

When it comes to assimilating the complexities of retirement and estate planning, there is no one better than Bob Carlson. Whether youre the data driven engineer or the financial planning novice, Bob has a gift for breaking down each aspect in depth to the degree that potential retirees at all levels of financial acumen will enjoy. Retirement Watch is a must-have instruction manual for all future and current retirees.

Todd Phillips, president of Estate Planning Specialists

In todays complex financial universe, rife with new federal regulations and tax laws, it is nice to have an up-to-date guide that will steer us in the right direction. Bobs new book is precisely what the title says it is, an Essential Guide to Retiring, for all of us, right here and now. As in all his works, including his prolific newsletter, Retirement Watch, Bob has a unique ability to translate confusion into easily understood English, with practical solutions. I will be recommending this Bible to my clients for years to come. Thanks, Bob!

David T. Phillips, CEO of Estate Planning Specialists and author of Estate Planning Made Easy and Disinherit the IRS

In memory of my parents, Ed and Muriel,

and

to Elaine, my wife and best friend

R etirement has changed, and it will change again.

After more than thirty years of researching, writing, and advising on retirement and retirement planning, Ive learned that almost everything about retirement finances changes over time. As the sign on my high school chemistry teachers desk read, The only constant is change.

The pace of change seems to have increased in recent years, and significant changes seem to happen more often. More importantly, it appears were entering a period of explosive changes in retirement finance. In Chapter 1 I describe a series of significant and rapidly occurring changes that I see coming. Any and all of these could affect your retirement finances in the coming years.

Because of the cumulative effects of these changes, the middle of this decade is going to be an especially tough time to retire, or to be in the early years of retirement.

But I dont write to cause panic or despair. Im not a believer in the widely promoted retirement crisis or retirement tsunami discussed in the media. I dont intend to cause people to wring their hands, gnash their teeth, or rend their garments.

My goal is to help you get ahead of these changes so that you can increase your financial security and independence at a time when others are worrying. I believe that there are solutions and responses to the concerns that I have identified. By solutions I dont mean dramatic actions by Congress or regulators, though some such actions would help. Rather, I present practical actions that you can take, and I discuss them in clear and easy-to-understand terms. This is what Ive been doing for more than thirty years in my newsletter Retirement Watch and its accompanying web site. I identify the issues and challenges facing retirees and pre-retirees and the changes that are occurring that might affect them.

From my independent research and analysis, I develop solutions and recommendations for my readers. I dont work for a major financial services firm, and Im not selling my services. I work for my readers. I conduct my own independent research and study the results of other independent researchers. Then, I present my best analysis and conclusions to my readers. I understand that the best solution for one reader wont necessarily be appropriate for another. I dont believe in cookie-cutter financial advice. I try to explain who should consider one action and who should consider another.

I sometimes refer to what I do as revving up your retirement. There are many parts and angles to your retirement finances. Too many retirees narrow their focus, dealing with only a few issues, especially their investments. In the last couple of decades theyve relied on investment returns to carry the load of financial security, and healthy investment returns may have covered up mistakes and oversights in other areas. But your retirement will be more secure if you take a comprehensive approach. Over time, you should look at all the elements of your financial world and tweak as many parts as you can. When you complete your financial tune-up, your retirement will be sound and securethe equivalent of a smooth-running engine. Instead of worrying about moves in the stock markets, you can be confident that whatever happens in the markets wont matter that much to you.

Dont try to take on everything at once. People who do that tend to become overwhelmed and give up. Work on one or two issues at a time. As you make decisions and take action youll realize that youre becoming more financially secure and that you have fewer worries. Youll also be planning wisely for the changes headed our way.

Top young professional golfers have at least one trait in commonone you can benefit from even if you dont play golf. In interviews given in 2022, many of them said they had the same essential approach to golf: they never set out to become the top-rated golfer, to win a certain number of tournaments, nor to achieve accomplishments of that nature. Instead, they work each day to become a better golfer. That was their daily goal, and they often achieved it by making small improvements. They worked steadily at making those small improvements and over time, they became excellent golfers and reached significant milestones.

You need to take the same approach to your retirement planning, whether youre already retired or a pre-retiree. Work on your total game but only work on one or a few parts at a time. Work at it steadily. Seek advice from independent sources that rely on research instead of rules of thumb, or one-size-fits-all recommendations.

Crucially, always be on the alert for changes and potential changes, and be ready to adjust and adapt your plan as needed. Dont think that once a plan is developed that its set in stone. Too often I run into people who say, Well, Ive been retired for a few years now. Theres not much I can do. Thats a dangerous way of thinking. You always need to be looking out for factors that could upend your current plan. Such changes have been happening regularly, and they are likely to happen more frequently in the coming years.