1 Today’s Economy: Life Stages Retirement Planning Presented by CIGNA Employee Assistance Program and CLC Incorporated Copyright 2008 CIGNA HealthCare – Confidential & Privileged – Not for Distribution

2 Greg Porter Mr. Porter is a CFP ® (Certified Financial Planner), Certified Financial Educator, (CFEd ® ) and Certified Credit Counselor He has over 19 years experience in the financial services industry He has worked as a stockbroker, retirement analyst, and Vice-President with a registered investment advisory firm He has a B.A.degree (Management), from California State University, Sonoma Your Presenter

3 Today’s Agenda We will discuss the best things to do now to optimize retirement, whatever your age: Unsettling Economy Getting Started: 20s and 30s Prime Time: 40’s and 50’s Head for the Finish Line: 55 to 65 At Retirement

4 Unsettling Economy Your investments may be reflecting these very unsettled financial times Stock markets sometimes move dramatically If concerned about volatility, make sure your investments match your risk tolerance Your 401k-plan administrator should have tools available to match your risk tolerance with the investments available - take advantage of those

5 Retirement Planning Puzzle Retirement planning involves fitting together many puzzle pieces to provide your ideal situation. Mortgage Movin g IRA Annuities 401(k) Debt Colleg e Insurance Budgeting

6 Getting Started: 20s and 30s Get ahead of the game Eliminate debt Contribute to employer retirement plan Establish an IRA Save part of any windfall cash received Don’t cash out retirement plan if changing jobs

7 Prime Time: 40 ’ s and 50 ’ s Set goals regarding retirement lifestyle Consider boosting mortgage payment for a “mortgage-free” retirement Review/establish estate-planning

8 Determine the Price of Potential Retirement Objectives Maintain current standard of living Learn a new skill or hobby Purchase a 2nd home Relocate Travel and entertainment

9 Ways to Retire Sooner Than Later Reduce expenses and invest the savings Invest aggressively (not carelessly) Retire, but work part-time

10 Head for the Finish Line: 55 to 65 Take inventory Review life and homeowners insurance Review retirement benefits you will receive from prior employers Determine Social Security benefits

11 Head for the Finish Line: 55 to 65 Develop a retirement budget – prior to retirement Plan for medical expenses and long term care needs Consider rollover strategies Do tax planning around retirement goals

12 When You Retire… Make smart withdrawals Factor minimum withdrawals (70½) Factor effect of inflation on investments and withdrawals Transfer monthly “paycheck” from liquid savings to aid retirement transition

13 We hope you have gained a better understanding of what you can do now to optimize retirement. It is our hope that you can use the information to feel more confident in making important financial decisions.

14 The information presented is not to be a substitute for seeking advice specific to your situation from a legal or financial professional. If legal or financial advice is required, contact an attorney or financial advisor. This presentation, and any handouts, were created and/or distributed by CLC Incorporated (CLC). The content hereof, together with any attachments, are subject to Federal and State Copyright and Trademark protections. This content may not be used, reproduced or distributed in any manner, in whole or in part, without the prior written consent of CLC Incorporated.