You probably wouldn’t expect a retirement planning specialist like a registered investment advisor to tell you to avoid risks in your retirement — after all, it seems like a fairly obvious action. That being said, unnecessary risks are one of the leading causes for unforeseen issues in retirement, and as your source for retirement planning in Chicago, P.A. Berg Retirement Solutions is here to help you identify risks that you may not even know about.

If you live in Oak Park, Brookfield, or any other neighborhood in the Chicago area, we urge you to get in touch with us to schedule a free evaluation to assess the risks of your retirement. In today’s blog post, we are going to discuss why it is important to avoid unnecessary risks, as well as bring to light some of the more common risks that are associated with retirement and retirement planning.

Avoiding Risk In Retirement

Retirement planning is an extremely important service for you to take advantage of before taking the leap into retirement. But why is it important to avoid risks? Well, to put it simply, it is important that when you make the transition into retirement that you do so in such a way that ensures that you will be able to remain retired for the rest of your life without having to return to the workforce.

When it comes to retirement planning, there are four major risks that could potentially disturb, or interrupt, your long-term plans. While we will only be discussing four risks to keep in mind when planning for retirement in today’s post, there are many other risks associated with poor retirement planning — risks that our registered investment advisors are more than qualified to help you identify.

Below, we have listed and briefly explained the four risks that are most commonly identified in the retirement planning process.

Outliving Your Money

Each and every year new medical advances are made that increase both the standard of living and the average length of an American’s life. While this is great news, it creates a very real issue that you might not be planning for — and of course, that issue would be outliving the assets that you saved for retirement.

Why does this happen? Well, to put it simply, when people start to think in terms of their own retirement they compare themselves to the people that they know best — their parents — not taking into account that they may live substantially longer than their parents.

But What Can You Do?

One of the best ways to ensure that you do not outlive your retirement is to claim social security at a later age than you had initially intended. Additionally, you might consider investing in a lifetime income annuity to ensure that you do not spend money at an unsustainable rate. Regardless of what path you take in retirement planning, whether that be to invest in an annuity or claim your social security at an older age, it is important to speak with someone that is well-versed in financial planning retirement — someone like a registered investment advisor from P.A. Berg Retirement Solutions.

Changes In The Market

Another common risk that is associated with retirement planning is the common changing of the markets. Sure, the markets have been gaining for a long time historically, but the market fluctuates often, and if it drops significantly enough, it might affect your retirement plans — especially if you have too many assets invested. If you are affected by a significant drop in the market right before you are planning on retiring, or shortly after you have retired, you could be at risk, as it will now be hard for you to rebuild your assets.

But What Can You Do?

When it comes to avoiding the extreme effects of a market drop, it is important for you to be extremely cautious with your assets during the retirement planning process. In fact, it is important for you to both keep an eye on potential investments, while also becoming more conservative with your current investments and assets. Sadly, this is a very tricky balance — but luckily, a registered investment advisor can help you navigate your retirement assets in the way that will benefit you most during your retirement.


Sure, inflation has seemed to plateau in recent years, but that doesn’t negate it as a retirement risk. In fact, even with it being at a rather low percentage, it could still limit your spending power at some point in your retirement.

But What Can You Do?

Luckily, inflation can also help you, as your investments could potentially grow. But even if they are to grow it is important that you have them allocated in a sustainable way, as well as have them protected by all the possible inflation securities. In order to ensure that your assets are protected, or even poised for success in retirement, it is important to speak with a registered investment advisor. Schedule a free consultation with a Chicago-area investment advisor today!

Rising Medical Expenses

At the beginning of this post, we spoke of how people tend to overlook the likelihood that they will outlive their assets. On the other hand, people also tend to overlook how their assets will be affected by the costs of healthcare if they end up in poor health. Sure, medical advances are making it easier to stay healthier for longer, but as medicine advances, it also becomes more expensive — especially if health issues result in the need for long-term care.

But What Can You Do?

Aside from doing your best to remain healthy, the best way to brace yourself for unplanned medical expenses in retirement is to… plan for medical expenses. When working with a retirement planner, it is always a good idea to allocate assets in such a way that you can use them for medical expenses that become pressing. Schedule a free evaluation with our Chicago retirement planner today to learn more.

Schedule An Evaluation Today, Plan For Retirement Tomorrow

At P.A. Berg Retirement Solutions, we firmly believe that there is no such thing as “too soon” when it comes to retirement planning. In fact, we don’t think that scheduling an evaluation with one of our Chicago-area retirement advisors is soon enough. So what are you waiting for? Schedule a free retirement planning evaluation today! Contact us for more information.

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