Retirement

Investing for retirement 

Here are some steps to help you get started in investing for retirement: 

1. Set Your Retirement Goals

• When do you want to retire?

• How much money will you need annually in retirement?

• What kind of lifestyle do you envision?

2. Understand Investment Accounts

There are different retirement accounts that offer tax advantages:

• 401(k), 403(b) – Employer-sponsored plan, often with matching contributions.

• IRA (Traditional or Roth) – Individual retirement accounts with tax benefits.

• Brokerage Account – A taxable investment account with no withdrawal restrictions.

3. Realize your Investment Options

• Stocks – High risk, high reward; good for long-term growth.

• Bonds – Lower risk, provide steady income.

• Index Funds & ETFs* – Low-cost, diversified investments ideal Do It Yourselfers (DYI).

• Real Estate – Can provide passive income and appreciation over time.

4. Start Investing Consistently

• Use dollar-cost averaging (investing a fixed amount regularly) to reduce risk.

• Increase contributions when possible, especially in tax-advantaged accounts.

5. Diversify Your Portfolio

• Don’t put all your money in one asset type. Spread investments across equities, bonds, and other assets.

• Adjust your asset allocation based on your risk tolerance and age.

6. Minimize Fees and Taxes

• Choose low-cost index funds or ETFs to avoid high fees.  (Important)

• Be mindful of tax-efficient investing strategies to maximize your returns.

7. Monitor and Adjust Your Investments

• Review your portfolio at least once a year.

• Adjust your investments as you get closer to retirement to reduce risk.

*Index funds - Most of our examples will be in managing low cost index funds or ETfs.  Research suggests that over the long term, low-cost index funds tend to perform similarly to or even better than actively managed funds, primarily due to their lower fees and expenses. RefVanguard ,  RefInvestopedia,  RefCNBC