Test bank for advanced assessment interpreting findings and formulating diffe...
Retirement Planning Workshop For Educators
1. Retirement Planning Workshop for Educators OppenheimerFunds Opportunities for TSA/403(b) Investors RE0000.575.0109 January 15, 2009
2. Are you ready for retirement? …How about your 403(b)? RE0000.575.0109 January 15, 2009
3.
4. Source of data: National Center for Health Statistics, National Vital Statistics Report, 2005. A Longer Life = A Longer Retirement Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009 M 75 Yr. W 80 Yr. 2005 66.3 Yr. 1950s Life Expectancy People Spend More Years in Retirement
5.
6. Don’t Forget Inflation! A $32,000 per year standard of living at an annual inflation rate of 3% Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009 Today $32,000 20 Years $57,800
7. X 80% of Preretirement Salary Years in Retirement Amount Needed to Maintain Same Lifestyle Retirement Formula How Much Will You Need? X 80% of $40,000) = $32,000 20 Years Example $640,000 Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009
8. Where Will Your Retirement Income Come from? $ Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009 403(b) Teacher’s Pension IRAs & Personal Savings Social Security
9. Avg. Man $13,212 Avg. Woman $9,984 Will You Be Able To Retire Comfortably? Source: Social Security Administration website Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009 ALL AMERICANS Will Face Difficulties When They Attempt to Retire $22,491 MAXIMUM Social Security Benefit in 2005
10. Information on Social Security Social Security Administration 1.800.772.1213 www.ssa.gov Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009
11. Where Will Your Retirement Income Come from? $ Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009 = 40% Social Security 403(b) Teacher’s Pension IRAs & Personal Savings = 60%
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22. Compare Amount of Distribution 31% Federal Income Tax 10% Penalty Amount now available for investment $200,000 ($62,000) ($20,000) $118,000 No Rollover Cash Dist. $200,000 $ 0 $ 0 $200,000 Direct IRA Rollover Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009
23.
24.
25.
26.
27.
28.
29.
30.
31. Invest in Mutual Funds The Right Way to Invest OppenheimerFunds , Inc. Your Financial Challenges Understanding Your Financial Choices Strategies for Investing Next Steps RE0000.575.0109 January 15, 2009
NOTE TO PRESENTER: THIS SEMINAR IS DESIGNED FOR EDUCATORS WHO ARE NEARING RETIREMENT AND ARE FACING IMPORTANT DECISIONS WITH REGARD TO THEIR PENSION AND TAX-SHELTERED ANNUITIES (403(B) PLANS). WHILE IT IS GENERIC IN NATURE, YOU ARE ENCOURAGED TO BECOME FAMILIAR WITH YOUR AUDIENCE’S SPECIFIC PENSION PLAN(S) AND THEIR OPTIONS UPON RETIREMENT. Good morning (AFTERNOON). (INTRODUCE SELF AND CREDENTIALS.) Thanks for being here today. I know that approaching or reaching retirement can trigger some major and, often, confusing financial decisions. And one of them—as you may have already discovered—is figuring out what to do with the money in your tax-sheltered annuity, also known as a 403(b) retirement plan. Why take the time to really examine your choices?
