The 5 WORST Retirement Strategies Created by 'Smart People'

This video discusses really bad retirement strategies that are (or at one time, were) quite common. These are strategies that never worked, or at least did not work consistently. They should be avoided if possible.

FREE Retirement Ready Checklist:

Important Links:

Follow Me on Instagram:

Geoff's Facebook Page

Federal Reserve Board Survey of Consumer Finances:

Social Security Administration Application for Benefits

Current Social Security Cost of Living Adjustment

Social Security Payment Estimator

THE CHANNEL’S MOST POPULAR VIDEOS

Should You Take Social Security at Age 62 and Invest it?

7 GOOD REASONS to File for Social Security Benefits at Age 62

Average Retirement Savings by Age 60. Are You Almost Ready to Retire?!?

The BEST AGE to File for Social Security Retirement Benefits

3 Social Security "Little Known Facts" That Are REALLY Important

Disclaimer: this video is for educational and entertainment purposes only and is not meant to be a substitute for legal, accounting, tax, or professional advice. If you have any specific questions about any legal, accounting, tax or other professional service matter you should consult the appropriate professional services provider.

[jerrycampbell-utyf]

Retirement is now more difficult than it was in the past. I've been saving for a long time instead of investing, and right now I only have about $400K. considering all the inflation, i'm thinking of investing in stocks, i dont just have idea on market strategies.

[Riggsnic_co]

I believe the retirement crisis will get even worse. Many struggle to save due to low wages, rising prices, and exorbitant rents. With homeownership becoming unattainable for middle-class Americans, they may not have a home to rely on for retirement either.

[Aurierserge]

I'm used to simply purchasing and holding assets, which doesn't seem applicable to the current volatile market, and inflation is catching up with my portfolio. My biggest concern is whether I'll survive after retirement.

[EmilyMoore-nn]

I just turned 51 and awfully late to investing with barely any portfolio except my 401k, I have a decent amount of cash saved up and with inflation currently soaring AGAIN, I’m getting worried about retirement, my intention is to retire at 65 atleast, so how best do I maximize my savings.

[jimfarmer]

My daughter has already told us not to expect her to help us when we get old. We told her that's fine just don't expect the multi million dollar inheritance that she was expecting.

[steventogami]

Retired 2 years ago. Golf, travel, fitness classes. Just love it. 3 kids all independent, and moved out. 
Some of my friends like multi-generational living. Their kid(s) live with them, and they have their spouse, and kids.  
I like coming home to a quiet, peaceful house. Relaxing.
My kids, grandchildren can come over anytime if we don’t have plans, but after dinner, they all go back to their own household.

[rightwingprofessor]

1. Muti-generational Households - Children Caring for Parents
2. Work as Long as Possible - Health Issues or changes in Job Market
3. Relying on Charity or Community - Not comprehensive and not guaranteed
4. Shelters or Poor Houses - Do you really aspire to this?
5. Variable Annuities with High Fees - Fee after fee after fee.
6. Market Timing - Buy Low, Sell High. Even professional money managers can't do this...and neither can you.
7. Pension Obligation Bonds - Dangerous
8. Retiring to Early - F.I.R.E. - Minimalist Life Style - Your skills deplete over time and you run the very high risk of outliving your money.
9. Inflation - There are no averages - It is constantly changing.
10. Using excessive withdrawal rate - Deplete your portfolio too quickly. You have to be able to adjust your strategy.

Good Stuff Geoff!

[MAnderson]

I’m closing in on retirement and I'd love to move from Minnesota to a warmer climate, but home prices seems ridiculous today, do I go ahead with buying a house anyways, or look at other sectors of the market?

[joethecomputerguy]

Still no suit. Love it!
If I cannot take care of myself I don't want to burden others with taking care of me.

[Pjeski]

“Retiring” at 29, makes me laugh. I wouldn’t call it retiring from something that wasn’t even done long enough to be considered a career, that’s more like winning the lottery.

[GillerHeston]

It's recommended to save at least 20% of your income in a 401k. You can use online calculators to estimate how much you should save based on your age and income. Saving at least 20% of your income in a 401(k) can help ensure that you have enough money to retire comfortably. By saving this much, you can take advantage of compound interest and potentially grow your retirement savings over time.

[Red]

@HolySchmidt. I am 76 with an MBA in finance. There might be better ideas but I think the following is strong. The sp500 etf SPY goes up most years. Take most of that increase as a withdrawal in January to deposit in your checking account for bills thru out the year. Take zero in those few down years. Ignore cpi for this. For example, if spy increased as it actually did recently at 25% then withdrawal most but not all such as 15 or 20%. If you limit any withdrawal to only up years then you never run out of money. Yes, I assume you have adequate pensions for cash flowing normal monthly bills most of the time. In our case, we do.

[Sylvan_dB]

I don't know how these numbers are supposed to work out...
1) children care for elderly parents - not common
2) work as long as possible - layoff? die at your desk?
3) charity / community - don't count on it
4) shelters / "poor houses" - yeah, really?
5) variable annuities - too expensive
6) market timing, trading - high risk
7) pension obligation bond - red flag for pension recipients
8) retire too early, FIRE - inadequate savings, skills and age when need to go back to work
9) ignoring inflation - 20% more expensive in 4 years, you need more income
10) excessive withdrawal rate - deplete your savings

[vtb]

My friend always said he'd retire at 40, and he did. That was 25 years ago. He's still financially secure (he was in a big banking institution) but he's socially isolated and lonely. All the friends he had when younger stayed working and so over the years they've drifted apart. He didn't really get on with other retired people, so who mostly were much older than him. He's bored, and boring. His wife is a saint.

[michaeldube]

Good video. One thing important for early retirees is your social security benefit calculation is heavily weighted to your top 35 years of SS wage income.

[terryB]

Thanks for Great Video especially working on your vacation!

[rick_vv]

Thanks for all the great content. Hope you are having a great vacation!

[Psuedo-Nim]

It's a shame annuities and whole life insurance are pushed by so called financial "advisors." I'm interviewing various ones; they don't know the moment they make that pitch, they have lost. The last interview, I just stopped them and said sorry, you aren't going to work for me and ended the call.

[reavesca]

i thoroughly enjoyed your "Smart People" retirement strategies. Has anyone yet pointed out the "win the lottery" strategy? 😆

[dynamickcboston]

I was layed off after 30+ years getting severance of 100k and I'll get a pension but i have no 401k or real savings I'm unprepared so this is a life line til I regroup .