The Bridge Builder – Are You Making Fatal Mistakes in Your Financial and Retirement Planning?

What would you think of a bridge builder who makes assumptions like these in designing a new bridge you will drive across every day?

• Earthquakes never happen.
• The temperature will never be lower than 65 nor higher than 75.
• Ships never run into bridges.
• The wind never blows more than 30 mph.
• The quality of concrete and steel used in building the bridge is not important.
• The amount of traffic on the bridge at any given time is insignificant.

Next, ask yourself if you have ever made any of the following assumptions in your personal financial planning?

• You will live forever.
• You will never be disabled.
• You will never lose your job.
• Your employer will never change the benefits you now enjoy.
• You will never experience an emergency in your life.
• The economy will never go south.
• The market will always go up.
• Your kids will never need your help.

No one likes to think about what could happen. But events of late 2008 and early 2009 make it clear that we must. Prudent planning requires that we take off our rose-colored glasses as we look at the future. Solid principles and good information is the basis of good planning. You can get a good start at the Provident Living website. You’ll find tips (and guiding principles) on everything from employment to family finances to social and emotional strength and emergency preparedness.

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