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uncertainty of a financially secure retirement for many.These uncertainties have transferred the financing of retirement from employersand the government to individuals, leaving them with no choice but to take theirretirement planning into their own hands.
Unforeseen Medical Expenses
While the failure of a social security system may not occur, planning yourretirement on funds you don't control is certainly not the best option. Even withthat risk aside, it's important to realize that social security benefits will neverprovide you with a financially adequate retirement. By definition, social securityprograms are intended to provide a basic safety net - a bare minimum standardof living for your old age.Without your own savings to add to the mix, you'll find it difficult, if not impossible,to enjoy much beyond the minimum standard of living social security provides.This situation can quickly become alarming if your health takes a turn for theworse.Old age typically brings medical problems and increased healthcare expenses.Without your own nest egg, living out your golden years in comfort while alsocovering your medical expenses may turn out to be a burden too large to bear -especially if your health (or that of your loved ones) starts to deteriorate. As such,to prevent any unforeseen illness from wiping out your retirement savings, youmay want to consider obtaining insurance, such as medical andlong-term careinsurance(LTC), to finance any health care needs that may arise.
Switching to a more positive angle, let's consider your family and loved ones for amoment. Part of your retirement savings may help contribute to your children orgrandchildren's lives, be it through financing their education, passing on a portionof your nest egg or simply keeping sentimental assets, such as land or realestate, within the family.Without a well-planned retirement nest egg, you may be forced to liquidate yourassets in order to cover your expenses during your retirement years. This couldprevent you from leaving a financial legacy for your loved ones, or worse, causeyou to become a financial burden on your family in your old age.
The Flexibility to Deal With Changes
As we know, life tends to throw us a curve ball every now and then. Unforeseenillnesses, the financial needs of your dependents and the uncertainty of socialsecurity and pension systems are but a few of the factors at play.Regardless of the challenges faced throughout your life, a secure nest egg will
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