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In 2022, Americans continue to be burdened by student loan debt.

Among the class of 2020, 55% of bachelor’s degree recipients took out student loans, graduating with an average of $28,400 in federal and private debt. And 14% of parents with students in the class of 2019 — the latest data available — took out an average of $37,200 in federal parent PLUS loans.

But there are more scary student loan debt statistics. Americans owe nearly $1.75 trillion in student loan debt, spread out among about 46 million borrowers. That’s about $440 billion more than the total U.S. auto loan debt.

(Data via the Federal Reserve, College Board and Saving for College)

While there is no magic solution to eliminate student loans, there are new approaches to enhance your tax strategy for paying down student loans. Additionally, there are smart approaches to planning for college especially in the constantly shifting educational landscape.

Don’t wait to develop a plan. Contact us today to schedule your no-cost consultation:

Email: info@JeffersonAssetManagement.com

Call:     434-566-3570

We look forward to speaking with you!

The number of retirees in the U.S. will increase 40 percent by 2035. While four in ten pre-retirees have major concerns about running out of money during retirement, households with a plan feel less concerned about outliving assets than households with no plan.

Working with a financial professional to develop a plan provides retirees and non-retirees with confidence in their retirement security. Despite this, only 18% of pre-retirees work with a financial professional to develop a plan for retirement.

There are 5 key risks to lifetime income that need to be considered:

• Longevity: Clients should be prepared for the possibility of living into their 90’s and their income needs to last as long as they do.
• Inflation: A 3% inflation rate nearly double income needs in 20 years, drastically eroding buying power over time.
• Health Care Expense: Health care expenses tend to increase dramatically in retirement and can significantly drain a retirement plan.
• Withdrawal: Even a conservative withdrawal rate can jeopardize the resources needed to last a lifetime.
• Asset Allocation: A balanced allocation keeps some assets in growth-oriented investments, providing the opportunity to grow faster than inflation and to last throughout retirement.

Following a process helps protect against retirement income risks. Part of developing a retirement income plan is identifying any income gaps and including solutions to help fill them. Ideally, income sources provide income to cover essential expenses and discretionary spending. Without proper planning, income may need to be shifted, reducing discretionary spending to cover only essential expenses.

Don’t wait to develop a plan. Contact us today to schedule your no-cost consultation:
Email: info@JeffersonAssetManagement.com
Call: 434-566-3570

We look forward to speaking with you!