The sooner you begin to prepare financially, the more likely you will
be able to accumulate the assets you need to carry you comfortably through
your retirement years.
This list suggests resources to help you get started now. The The Actuarial
Foundation accepts no responsibility for the quality of the information
provided by the various sources listed. Those using this list should
contact the sources and make their own evaluation of the information
received.
Employers' Human Resources or Employee Benefits Office
Most employers have trained professionals in their personnel or human
resources offices who are well informed on retirement issues and on
Social Security. If you have a company-sponsored pension or retirement
savings plan, you can get booklets there that explain the plan. The
laws require that your employer provide you with a benefits estimate
of this plan at least once a year. Your company may refer you to the
plan administrator to answer more specific questions related to your
personal situation.
Estate Planners
Some attorneys, trust officers, certified public accountants (CPAs),
and certified life underwriters (CLUs) specialize in estate planning.
They can help you do long-term planning, including making out wills,
living trusts, and legal documents to protect your assets. Call the
National Association of Estate Planners office, (610) 525-1389,
if you'd like to be referred to an appropriate member in your area.
Financial Planners and Stock Brokers
Many firms and individuals offer financial planning, either separately
or within stock brokerage firms. Some offer advice at no charge, but
may recommend certain investment products, such as stocks, annuities
and mutual funds. Some financial advisors receive sales commissions
or other administrative fees on these products. Other financial planners
are "fee-only" and charge a fee for their advice, but do not
receive sales commissions. You can receive information on how to select
a financial advisor and to get referrals to financial planners in your
area by calling the toll-free numbers at the National Association of
Personal Financial Advisors (888-333-6659) or at the
Institute of Certified Financial Planners (800-322-4237).
Government
U.S. Department of Labor
The U.S. Department of Labor has been promoting retirement savings through
their education campaign, "Save! Your Retirement Clock Is Ticking."
Call (202) 219-9247 for its free brochure, "Top
Ten Ways to Beat the Clock and Prepare for Retirement." You can
also request a brochure from the Pension and Welfare Benefits Administration
(202-219-8776) , "What You Should Know About Your
Pension Rights."
Social Security Administration
Call (800) 772-1213 to request a Personal Earnings
and Benefit Statement, which shows your Social Security earnings history
and estimates how much you have paid in Society Security taxes. It estimates
your future benefits and tells how to qualify for benefits. Check this
statement carefully for any mistakes or gaps in your earnings record
during times you know you were working.
The Internet
On the Internet, World Wide Web sites on financial matters abound. You
will find hundreds of sources by putting in key words and phrases. Many
of these sites promote products and encourage sales online. You should
exercise caution and do further research on the companies and products
before agreeing to buy anything on the Internet. A good source for information,
without the sales pitch, are the many home pages for nonprofit associations
and consumer education organizations.
Libraries
The reference desk at libraries can help with your research. Libraries
with comprehensive business sections have books, newsletters, newspapers,
magazines, and brochures that offer financial information and advice.
A sampling includes:
Newspapers, Newsletters & Magazines:
Wall Street Journal and Investor's Business Daily,
daily newspapers with business news and stock prices
Barron's, a weekly magazine with business and Wall Street
news
Annuity and Life Insurance Shopper, a quarterly guide to
investing in annuities
Better Investing, a monthly newsletter reporting on individual
stocks
Donoghue's Money Letter and Morningstar, twice-a-month newsletters
on mutual funds
Money, Kiplinger's Personal Finance Magazine, Smart
Money, and Forbes, monthly magazines focusing on personal
and business finances
Books:
The Under 40 Financial Planning Guide by Cornelius P. McCarthy
Get a Financial Life: Personal Finance in Your Twenties and Thirties,
by Beth Kobliner
60-Minute Estate Planner by Sandy F. Kraemer
Personal Financial Planning by Victor Hallman & Jerry
S. Rosenbloom
Understanding Wall Street by Jeffrey Little & Lucien
Rhodes
The Wall Street Journal Guide to Understanding Personal Finance
by Kenneth Morris
The New York Times Book of Personal Finance by Leonard Sloan
Dun & Bradstreet's Guide to Your Investments by Nancy
Dunnan
A Commonsense Guide to Mutual Funds by Mary Rowland
Estate Planning: Easy Answers to Your Most Important Questions
by Alex Soled
Estate Planning: A Basic Guide by Edward Sutkowski
Nonprofit and Private Organizations
The following nonprofit organizations offer free or nominal cost publications
on a variety of retirement issues. Some sponsor local programs through
their regional offices or member volunteers.
American Association of Homes & Services for the Aging
(800) 508-9442
American Association of Individual Investors
(312) 280-0170
American Association of Retired Persons
(800) 424-3410; Web site: http://www.aarp.org
American Council of Life Insurance
(800) 705-ACLI
American Institute of Certified Public Accountants
(201) 938-3990
Commission on Saving and Investment in America
(202) 637-0110
Employee Benefit Research Institute
(202) 775-6338
Employers Council of Flexible Compensation
(202) 659-4300
International Foundation of Employee Benefit Plans
(414) 486-6700
Investment Company Institute
(202) 326-5800
National Center for Financial Education, Inc.
(619) 232-8811
Pensions Rights Center
(202) 296-3779
Profit Sharing/401(k) Council of America
(312) 441-8550
Software
Computer stores sell financial planning software that can help you plan
not only your retirement needs, but also for taking loans, setting up
living trusts, writing wills, financing major expenses, and planning
future withdrawal amounts. With some software programs, you can test
several assumptions with varying dollar and interest amounts to predict
the value of savings in the future. Some titles include TMONEY, Living
Trustmaker, and Willmaker.
Technical Reports
Written principally for actuaries and public policy makers, the following
sources, while more technical, offer details of the issues for those
who want a more in-depth understanding. In addition to the following,
a two-page bibliography of technical reading from a Society of Actuaries
June 1996 Social Security conference, "Myth vs. Reality,"is
available by calling (847)706-3500.
The American Academy of Actuaries
The American Academy of Actuaries has prepared a series of issues briefs
and monographs from an actuarial perspective:
"Social Security Privatization: Individual Accounts" Spring
1996
"Social Security Privatization: Trust Fund Investment" Spring
1996
"Solutions to Social Security's and Medicare's Financial Planning"
Fall 1995
The Academy's monthly magazine, Contingencies, contained several
articles during the past year on Social Security, pension and other
retirement issues. Call (202) 223-8196.
Society of Actuaries
The Society's monthly newsletter, The Actuary, devoted its
April 1996 issue to Social Security. Call (847) 706-3500
for a copy.
Government
The 1994-95 Advisory Council to Social Security's report should be issued
during the summer of 1996. The 13-member panel of experts, appointed
by the U.S. Secretary of Health and Human Services, will offer its suggestions
for reforming the Social Security system. Various news outlets will
report on the Council's recommendations.
This list is part of The Actuarial Foundation's "On the Edge
of Change" program to educate consumers on the possible changes
in Social Security and the need to begin planning now for retirement.
The Foundation's mission is to contribute to the understanding and resolution
of social and economic problems, using the skills of actuaries.
