Nobody likes to be backed into a corner… 

Being backed into a corner always puts you in the worst possible position. That’s true in the boxing ring; it’s true when you’re painting your house; and, it’s true in retirement planning. 

And in a few years, that’s exactly the position you’ll be in… unless you do a bit of planning today. 

Here are three example of what I mean: 

By law you have to do something with your RRSP assets by the end of your 71st year.  They have to be converted from an accumulation account with ongoing contributions to some form of taxable income. Wait until the government forces your hand and you’ll be scrambling, but maximizing your nest egg so you have more to convert may be as simple as matching your investment and insurance maturities with the number of years before you turn 71. 
Do you have renewable term life insurance? These contracts usually have a non-medical conversion clause that expires at age 65 or age 70. Wait for the deadline and then you have nothing... but you can convert some or all of your life insurance to a product that doesn’t terminate before you do! It just takes a little paper work to make the switch. 
10-year policies that renew when you are in your late 50’s and 60’s have huge premium increases. If you wait for the notice like many people, you’ll probably just allow your coverage to lapse because it’ll be too expensive to maintain. But we might be able to convert your insurance now into a policy that’s both affordable and permanent. 

All of these examples show that by waiting until you are forced to act, you end up getting backed into a corner. To avoid that, all it takes is a little planning – and I really mean ‘a little planning’. This doesn’t require long and involved strategizing, as long as you work with someone who knows what they’re doing and can quickly analyze all the things that go into planning for these types of events and more. 

You see, my CLU professional designation means that I have broader knowledge about financial planning and insurance than most brokers, but what I believe has been so beneficial is the deep understanding I have of what people actually need – whether you are just starting out in your career, in your peak earning years, or in retirement. I really see the big picture! 


Cindy Bowden, CLU, CH.F.C.

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