April Fools’ Day is still fresh on the minds of people, so it’s a great time to think about the ways you may be getting fooled when it comes to your retirement. You may actually be listening to foolish advice that’s not setting you up for success in your golden years. Jacobs Financial Services appeared on “Live In The D” to explain some of the foolishness that’s out there that you shouldn’t believe.
First, founder and owner Tom Jacobs warned that people shouldn’t believe that if their money is in the market, and the market drops, it’s just a paper loss. “I say when you lose a bunch of money, it’s not a paper loss. You now have a bunch less money,” said Jacobs. He says it’s important that people close to or in retirement to take less risk because as people get older you have less time to recover from a market drop. So, never think of it as just a “paper loss”.
Another item Jacobs Financial Services doesn’t want you to be fooled by is the idea that paying fees is normal. It’s actually something they say you can avoid.
“You may get your 401K statement and you don’t even look at what’s embedded in there, the fine print. What you may not realize is that 1%, 2%, or 3% is going to fees. While that may not sound like a whole lot, over the decades of compounding, those fees will work against you,” said Terri DeBoer, director of communications for Jacobs Financial Services. DeBoer said at Jacobs Financial Services, you pay no fees because they are compensated by the companies they represent.
They last things you shouldn’t be fooled by is the idea that everybody loses money sometimes. To hear how Jacobs addressed this idea, you can click the video clip above.
You can also call 248-250-9003 to get a free copy of Jacobs’ book “Retirement Domination”. For more information about Jacobs Financial Services click here.