Whether you make tennis one of your leisure activities during retirement or just enjoy watching the sport, you may not realize that the same strategies used in a tennis match may also translate into retirement. Prepare yourself for peak performance during the game of retirement by trying some of these retirement tips.
1. Singles or Doubles
Before starting any tennis match, you must determine whether you plan to play the game alone or with a partner. Do your retirement goals only apply to you or also a spouse or significant other? If you plan to have a partner for retirement, do they have their own retirement savings, or do you both need to live off the same savings? Even if you are currently single but plan to share your future retirement with someone, it is crucial to factor that into your retirement equation.1
2. You Must Hold a Serve for a Break To Count
Making an excellent investment may feel like you are winning the game, but that victory might be short-lived if you follow it with a bad investment. Continuing to make well-researched and wise decisions is one way to work towards making confident investments.
3. Always Go for the Aces
Just as in tennis, going for a quick gain might help you win your retirement goals. If your employer offers a 401(k) plan with a sizable percentage for its employer match, investing your money in that way may help it grow quicker.2 By simply investing in the employee program on each paycheck, you may get closer to your savings goals.
4. Diversity May Salvage Unforced Errors
Even the greatest tennis players may experience unforced errors in their careers, and even savvy investors make mistakes. By diversifying your retirement portfolio, you may offset these bad decisions.1 With this strategy, your entire retirement does not end up in jeopardy because of a single bad decision.
5. Choose the Correct Court
While skills play a crucial role in tennis and investing, so does the court you choose to play on. Identifying where to invest your savings for retirement is essential for the diversification of your portfolio. After assessing your current financial situation and retirement goals, a financial professional might help you consider different places to invest.
6. Always Have a Strategy
Those serious about tennis know that developing a strategy is the key to winning a match. Many components are involved in a solid tennis strategy, and many are in a well-developed retirement plan. Tennis players research their opponents and practice their serve, forehand, and backhand before stepping onto the court. Before retirement, you should be sure to do research on your future financial needs and put in place insurance plans, withdrawal strategies, and estate plans.1
Just like great tennis players have coaches, great investors seek out the services of financial professionals to help them work towards retiring with confidence. Prepare for your retirement like a pro by using these six tips to develop your retirement plan.
18 Essential Tips for Retirement Saving, Investopedia, https://www.investopedia.com/articles/investing/111714/8-essential-tips-retirement-saving.asp
2Top 10 Retirement Tips For 2022, Forbes, https://www.forbes.com/advisor/retirement/top-10-retirement-tips/
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.
Investing involves risks including possible loss of principal. No investment strategy or risk management technique can guarantee return or eliminate risk in all market environments.
There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
All information is believed to be from reliable sources; however LPL Financial makes no representation as to its completeness or accuracy.
This article was prepared by WriterAccess.
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