Creating a Retirement Plan: Key Elements To Consider

Matt Stevenson and Peter Lott discuss essential-key elements to consider when building your appropriate retirement plan to fit your needs.

Risk Tolerance, or your comfortability and ability to take more or less risk, is compared to Risk Capacity, or your ability to actually withstand risk of loss and maintain your lifestyle in retirement. Matt and Pete give examples of how these concepts have applied to building a retirement plan for many of their clients.

Allied Wealth’s Mission is to help as many people as we can to live the richest life possible with the resources they have to work with during their golden years.

Our primary discipline is to help our clients capture more of the market return that studies have proven the average investor has missed out on for more than 25 years, by seeking to limit downside risk first and capitalizing on upside growth second. 

A few key information that are shared throughout the video from Matt Stevenson and Peter Lott:

Our primary goal is to help people navigate all these uncharted waters to and through retirement, and so much of that. You know we talk a lot about risk tolerance and sometimes that’s a fluid conversation. You know a lot of what we talk about with our clients, is what is your capacity to take risk and meaning what can you afford.

We’ll talk about that for a second because you know where you say risk capacity, risk tolerance, all these different things. But really, what does risk capacity mean to a retiree? A guy that’s maybe 65 years old that has a million dollars in his Ira that he’s pulling income from?

What is really that risk capacity mean to that gentleman exactly? So when we talk about risk capacity and that’s often overlooked when you know we research things on the world’s smartest financial advisor Google or maybe working with another financial advisor.

But it’s what can you actually afford to lose and maintain your lifestyle all the way through retirement over maybe the next 20 or 30 years. And you’ve had some recent client examples where we’ve seen some pretty substantial losses and how that impacts them.

I had a woman come in probably two days before we’re here airing this show right here to now she’s down 35% in her portfolio. She was not rich to begin with, she’s not rich now, and her advisor never picked up the phone to call her to say this is something we should change.

This is you, maybe you’re taking too much risk, we’re several months into this drawdown. No one’s called her, no one’s talked to her. She’s lost 35% of her net worth and it just evaporated. She didn’t take the money to Vegas, it’s gone.

So what I showed her were tools that we could kind of like I call this you trading the car in right? You’ve got this old car, it’s a beater, it’s a clunker, it’s not fuel efficient. It’s costing money and repairs, you don’t continue to drive that car.

That’s a no-brainer right? You go and you get the new car that is faster, sleeker but more fuel efficient, less in repairs because that car is going to take you in the future better. And that’s what it is.

Taking your old outdated financial plan that maybe you started 15 20 years ago, that you’ve never updated is now more up to date with your current situation and secondly what’s going on in the economy today.

Most people think this is this Buy and Hold strategy that we’re just going to ride this thing out. This may not be the time to write it out. This may be here to stay, because this whole uncle inflation that showed up that we didn’t think was ever going to do he hasn’t showed up in 40 years now he’s showing up that’s a big deal of portfolios this year.

And you know we’re talking already about what’s our tolerance for risks what can we actually afford to lose but that’s directly tied to our investment selection that we take. You know what’s under the hood of our Nest Egg what were some of the things that you found with this lady in particular?

She was in stocks, individual stocks that she and her advisor had informed it might be some good buys. And maybe they were in the past, but she was in a place to where as we know she’s just gotten crushed. And to see that happen, that pulls at my heartstrings in a matter to where somebody’s letting just this go by the wayside.

And it’s probably because she didn’t have a lot of money and I understand that she wasn’t your big client but she matters too. And those clients matter to me, those clients matter to you because it’s your life savings.

I don’t look at anybody who comes in my door as a number. It’s your life savings, I don’t care if you have fifty thousand dollars or five million dollars, it still took you your life to get to this point. And we want to treat it as such, and build something for you that can take you on in the future without having these big dumps in your portfolio.

Absolutely, and that’s part of what we want to help folks identify when they come to see us is. You know, is there investment selection? Is it already on the right path? You know, we put that to the test, maybe we don’t need to make any tweaks or adjustments and you’ve got a great probability of hitting all of your goals while maintaining your lifestyle for the next 20 or 30 30 years.

If that’s the case that’s awesome! You’re already in good shape and prepared for retirement. Then we can’t add value to your situation in that case and maybe we part as friends.”

We highly recommend that you watch the full video in order to get the most out of it and to fully understand the valuable information that is shared regarding retirement plan.

retirement plan

In conclusion, creating a retirement plan is a crucial step in ensuring a financially secure and comfortable future. By considering key elements such as saving and investing, creating a budget, and protecting your assets, you can set yourself up for success and enjoy a fulfilling retirement.

We hope that this video has provided you with valuable information and key elements to consider when creating your own retirement plan. Remember to consult with a financial advisor and do your own research to make the best decisions for your unique retirement plan.

With proper planning and execution, you can achieve your retirement plan goals and enjoy the next phase of your life to the fullest.


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Topics we will be covering are Retirement and Financial Planning, Investment Selection, Retirement Income Planning, Taxes and Taxation during Retirement, Healthcare, Long Term Care, Legacy and Estate Planning, in addition to important Market and Economic changes impacting Retirement.

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With Allied Wealth, you will spend less time worrying and more time enjoying the life you’ve earned.