Society of Actuaries/Financial Finesse Present a Dynamic Retirement Planning Calculator

The Society of Actuaries (SOA) recently released a retirement planning guide for older retirees entitled, “Late-in-Life Decisions Guide.” According to the Society’s website, the guide was written by Financial Finesse (a financial wellness consulting firm), but the guide itself states, “In collaboration with Financial Finesse, the SOA Aging and Retirement Strategic Research Program prepared this guide as a resource to help older retirees and those who assist them.” Irrespective of who was responsible for writing this guide, we found the retirement planning calculator prepared by Financial Finesse and included in the guide to be of interest. We will discuss the calculator in this post

We Call BS Again on Investment Allocation Rules of Thumb for Retirees

Most investment allocation rules of thumb ignore the existence of non-financial household assets such as Social Security, pension benefits and life annuities in the calculation of a portfolio’s target investment allocation. As a result, such allocations frequently fail to properly measure the amount of risk being assumed by the retired household in its overall retirement asset allocation.

The Two Basic Equations Underlying the Actuarial Financial Planner

In this post, we will once again set forth and discuss the two basic equations that form the foundation of the AFP. Application of household demographic and financial data and reasonable assumptions to these two equations turns the AFP into a relatively simple but very robust planning tool for financial planners with retired or near-retired clients and for retired or near-retired DIYers.