When a client or prospect is ready to retire, they’ll need access to his or her assets to fulfill their income needs. Flexibility is critical during this time. Having a diversified portfolio of investments which they can use is essential for retirement income strategies. It also is important to find out how much income they actually need.
Here are several more questions to ask:
- Is the client or prospect taking Social Security benefits now or are they deferring them to a later date?
- How long does the client expect the liquid portion of their assets that they're utilizing to last?
- If married, is it important that some or all of this income continues for the surviving spouse?
- What plan is in place in the event of the client or their spouse’s death?
- Do they know their life expectancy? Are there any health issues?
- How important is it that their income remains guaranteed?
- How does the client feel about inflation and having income track inflation?
- Are benefits needed for long-term care?
- Is it important to leave a legacy for children or charities?
Depending on how the conversation proceeds, it's essential to know not just the facts, but also their feelings surrounding retirement:
- Are they working with anyone else regarding their retirement planning?
- Do they confide with other professionals, friends or relatives?
- What other programs or planning tools have they used?
- What time frame do they have to put their plan in place?
Other questions will come up during your conversation, but to put a solid retirement income strategy in place, you should have many of these types of questions on hand.
Need assistance in guiding your clients through what they should review when planning for their future? DMI offers a Financial Independence Worksheet that can be customized to your brand and can help your clients consider important aspects of retirement. Click below to check out the sample download and make your request!