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Tom Meaglia, ChFC®, AEP®,

CLU®, CRPC®, MSFS

Chartered Financial Consultant

Investment Advisor Representative

Chartered Retirement Planning Counselor

CA Insurance Lic. #0567507

 

Meaglia Financial Consulting

2105 Foothill Blvd., #B140, La Verne, CA 91750

 

Toll Free: 800-386-3700

Bus:         909-593-6105

Cell:         818-681-8600

Fax:         909-593-6120

 

Email: tom@meagliafinancialconsulting.com

Website: www.meagliafinancialconsulting.com

September/October 2020

Find Extra Cash for Retirement

Find Extra Cash for Retirement

If you’re younger than 40, you can probably name a half-dozen reasons why you don’t have to worry now about saving for retirement. Yet, blink and you will find yourself 20 years older and staring retirement in the face.


No More Excuses
The earlier you begin saving regularly—think “today”—the better your chances are that you will reach your financial goals in retirement. But, for many people, finding the extra cash that can eventually become retirement income is difficult. You can take a bundle of small steps to save a little more at a time and watch it grow slowly, but who has the discipline to follow through? Or you can make big changes that will add up more quickly.


Start by figuring out how and where you spend your money. Are you a willing victim of self-induced lifestyle inflation? This fancy term is little more than a new way to say, “keeping up with the Joneses,” but it causes the same damage: You spend more and save less.


Next, talk to your spouse to determine how much money you need to put away for retirement. Pick a big number—say, 20% of income. This amounts to paying yourself. You may be able to invest that much money in tax-advantaged work and individual retirement accounts. Find an online calculator and figure how much that amount would grow to when you want to retire.


Lifestyle Deflation
Now sit down with your family and talk about how you will bring your lifestyle back to Earth to find more money. Do you really need to buy a 10-passenger SUV for your family of three every two years when a smaller SUV can cut your costs in half, especially after factoring in fuel? Do you need to upgrade your home constantly or can you save $50,000 in kitchen renovation costs and make do?


The kids don’t need the most expensive sneakers and you don’t need to eat at high-end restaurants regularly. The list goes on and on. Then, when your paycheck increases, keep your lifestyle at bay and pay yourself more. Stay the course and the retired you will be grateful.


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Thomas Meaglia is an Investment Adviser Representative of Coppell Advisory Solutions LLC, dba, Fusion Capital Management, a registered investment adviser that only conducts business in jurisdictions where it is properly registered, or is excluded or exempted from registration requirements. Registration as an investment adviser is not an endorsement of the firm by securities regulators and does not mean the adviser has achieved a specific level of skill or ability. The firm is not engaged in the practice of law or accounting.
Insurance and annuity products are not sold through Fusion Capital Management. Fusion does not endorse any annuity or insurance product, nor does it guarantee any insurance or annuity performance. Annuity and life insurance guarantees are subject to the claims-paying ability of the issuing insurance company. If you withdraw money from or surrender your contract within a certain time after investing, the insurance company may assess a surrender charge. Withdrawals may be subject to tax penalties and income taxes. Persons selling annuities and other insurance products receive compensation for these transactions. These commissions are separate and distinct from Fusion's investment advisory fees.
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