Solutions 4 Financial Independence: 01/30/18

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BRIDGEPORT, W.Va (WDTV)- Question: I am 60-years-old and work for Frontier Communications. I have recently been offered an early retirement package. What should I take into consideration?

Answer: (John Halterman-Beacon Wealth Management): "Wow Jeff, that is a huge, huge deal. I think the very first thing you have to decide is if you retired today, would you have things that you’re going to do?

The one thing I know, I have helped hundreds of people retire, for most people they do it one time. I have had the luxury of doing it hundreds of times and what I see is some people retire and they don’t have a purpose or they don’t have any goals or activities. They end up hating it. You have to make sure you have something you want to do that is going to keep you happy while you are in retirement."

Question: What are some of the financial considerations he should have?

Answer: (John Halterman-Beacon Wealth Management): "I think the very first financial consideration is, you have to worry about your income. The first thing you have to do is say 'How much income do I need on a monthly basis?' That is number one.

The second thing is, you have to identify the sources that are going to now produce your income. Things such as Social Security, which at 60 you are not eligible. Your investment portfolio, are you going to work part time? Anything that you think is going to produce an income you have to identify.

The third thing is you have to figure out how much income will you get from those sources because what you have to be able to do is calculate and see that if each source provides so much, will it exceed the amount of monthly income that you have? If you do the calculation, and if your sources exceed the income you have, then definitely from a financial standpoint, you are ready to retire. If not, what I would tell you is you have not reached the point of financial freedom freedom and you should definitely stay at work."