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Planning For Retirement

With longer life spans people can expect to spend 20 to 40 years in retirement.    Social Security alone will not meet most people’s retirement needs and pensions that promise lifetime defined benefits are less commonplace. We are now more responsible than ever before for funding our own retirement needs, and that takes planning and disciplined action over time. Determining how much money is enough, selecting retirement investment vehicles in which to consistently save and transitioning from earning wages to relying on the income from investments are all important stepping stones toward a comfortable, financially secure retirement.

Key Elements of Retirement

Saving, Not Spending In your 20’s and 30’s, it may be difficult to imagine retirement and even more difficult to prioritize saving for retirement over buying a new home, a new car or piano lessons for your child. But it is at this time in your life when you have the advantage of TIME which slips away over time. Through the power of compound interest (the interest earned not only on the initial principal, but also on the accumulated in from prior periods), dollars invested in your 20’s are worth far more when you retire, than dollars invested later in life. For example, consistently investing $400 a month in a 401(k) plan starting at age 25 will be worth, assuming an 8% return, $811,000 or 57% more by age 65 than if you wait until age 35 to start saving the same $400 a month.

Tax-Efficient Saving By maximizing your pre-tax contributions to employer-sponsored plans and Individual Retirement Accounts (IRAs), you can take advantage of the tax-deferred benefits of these savings vehicles. If your employer matches your contributions, try to contribute at least enough to maximize the employer’s match, thus putting even more money to work on your retirement. In your 50’s and 60’s, take advantage of the catch-up provisions Congress passed in 2001. Workers age 50 and over can invest extra dollars into their employer’s retirement plan and their IRAs.

Inflation Protected Investing Over time, inflation can erode your savings if you are not careful with your investment selections. At 3% inflation, $100 today will be worth only $67 in 20 years, a loss of one-third of original value. Investing in instruments and vehicles that hedge against inflation are key.

Income Generation in RetirementIn retirement, your needs shift from growing your asset base to preserving your wealth and ensuring that it provides the monthly income you require. Your investment objective shifts away from asset growth to income generation which requires a shift in underlying investments.

How Can PWA Help?

Our consultants at Pacific Wealth Advisors start by listening to your thoughts and dreams of the ideal retirement. When do you want retirement to start? How do you want to spend your time? Traveling? With grandchildren? Volunteering? Do you want to pursue a second (or third) career? Your aspirations for retirement are the core element in establishing what your financial requirements will be to meet those goals.

  • Plan Your Retirement Before You Retire
  • Implement A Distribution Plan After You Retire

Many of our clients are interested in receiving guidance regarding retirement planning services. They especially want to know how much they need to accumulate, when they can retire, how to spend down their assets in the most tax-efficient manner and finally to distribute their assets to their heirs upon their death. PWA's retirement strategy and distribution planning services address all these areas and more.

We assist each client during this stage of their life in a number of ways including:

  • Counseling each client with regard to how to invest and accumulate monies for retirement during their employment years
  • Performing extensive retirement calculations both before and during retirement to determine if the clients’ assets will be adequate to live on
  • Advising each client as to what assets to spend down
  • Guiding each client through the complex regulatory environment as how to distribute these assets from IRA’s and other retirement plans in the most tax-efficient manner
  • And finally, facilitating the planning and transfer of the assets to the client’s heirs.

Our consultants also counsel each client in other retirement matters such as long-term care insurance, life insurance, estate & trust planning issues and charitable giving.

Contact Us About Retirement Planning

Whether part of a comprehensive Financial Plan or as a separate Retirement Plan, we are here to assist you in designing a strategy that fits with your personal and financial goals. If you would like further information about Pacific Wealth Advisors, please call us at (650) 353-4702, email us at contact@pacwealthadvisors.com, or set up a consultation with this form.


Pacific Wealth Advisors, LLC
2391 The Alameda, Suite 200
Santa Clara, CA  95050
Phone (650) 353-4702 |  Fax (650) 433-5404

Securities and Advisory Services offered through LPL Financial.  Member FINRA/ SIPC 

Information provided on this website is solely intended for the use of individuals residing in the states listed. No information provided on this website is intended to constitute an offer to sell or a solicitation of an offer to buy shares of any security, insurance product, advisory product or service, or other financial product or service. Pacific Wealth Advisors, LLC, its Investment Advisor Representatives, or the Registered Representatives or Investment Advisor Representatives with LPL Financial whose identities and association with Pacific Wealth Advisors, LLC are disclosed herein may only discuss securities and advisory services or transact business with persons who are residents of the states listed below or states where the Investment Advisor Representative is excluded or exempt from registration. Current states of registration are: AZ, CA, CO, FL, HI, IL, NM, NV, OH, OR, SD, TX, WA, WI.  Consulting services offered through Pacific Wealth Advisors, LLC, a Registered Investment Advisor and a separate entity from LPL Financial.  Investment Advisory services offered through LPL Financial.

Our Team members of Pacific Wealth Advisors may be Registered Representatives and/or Investment Advisor Representatives (IARs) with LPL Financial.  In such capacity as IAR, the IAR may offer advisory accounts through LPL Financial, the details of which are fully described in LPL's Form ADV or relevant schedules.  Financial Planning clients are under no obligation to use PWA or its IARs, or the IARs of LPL Financial, to implement advisory recommendations.  

If your state of residence in not listed herein, Pacific Wealth Advisors, LLC, its IARs, or the IARs with LPL Financial associated with Pacific Wealth Advisors, LLC may be excluded or exempt from registration in your state and may conduct business upon registering. To check on excluded or exempt status, please email contact@pacwealthadvisors.com for specific information. As additional assistance, you can locate an LPL financial representative in your state by accessing www.lpl.com.