1. 2022 is drawing to a close. This is a good time to review all your beneficiary designations on your life insurance policies, annuity polices, and your retirement plans; especially if you experience a significant life event. You want to make sure your monies are disbursed accurately according to your latest wishes.
  2. This is also a time to make sure your Durable Power of Attorney for both Finances and Healthcare are in place. Durable means the appointment of the power will endure after your incapacitation or death. This power is effective either upon the date of execution of the document or upon incapacitation depending on the selection you make in the document.
  3. Is 2022 setting the stage for a lost decade? A lost decade is a 10-year period where assets including stocks and bonds generate a lost return. The most recent lost decades are:
    • The Great Recession: 14 Years to Recover (1999-2013)
    • The Oil Crises: 8 Years to Recover (1972-1980)
    • The Great Depression: 24 Years to Recover (1928-1952)
    There are strategies where you can benefit financially from these lost decades.
  4. It is our opinion that the three biggest challenges facing Americans
    in retirement are longevity, inflation, and taxes. Taxes will never disappear and there is a strong possibility they will increase. Inflation increases are probably out of your control. What do you do to minimize these problems?
    • Be realistic about inflation and factor it into your expected living expenses.
    • Make sure you have enough income to ensure your lifestyle, so you do not need to dip into your investment or savings if there is a downturn in the market.
    • Maximize tax efficiency through tax deferral and tax-free income.
    • Be sure to plan to plan for a few extra years beyond your lifetime expectancy.
    These suggestions require thoughtful planning and preparation.
  5. When thinking about which strategy to pursue it is important to look beyond premiums and deductibles.

“Original Medicare with a Medicare Supplement plan”
in comparison to
“Medicare Advantage with all the goodies they offer”

Many restrictions apply to Medicare Advantage plans, and you must follow a long list of rules that don’t apply to supplement plans. They usually come to light when you start requesting medical services the Advantage plans have the authority to DENY. Check out all the details on both types of plans when making your decision to enroll in a plan.

Recommendation: Secure an advisor, understand these concepts, and let him or her guide you to a worry free and successful retirement!

First Benefits Group Inc is neither a legal nor accounting firm, and does not render legal, accounting, or tax advice.

You should contact an attorney or CPA if you wish to receive legal, accounting, or tax advice.

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