“We currently have around $24 trillion dollars sitting in retirement assets… and a lot of that money is in the hands of financial services companies, so let’s talk a little about how they work. Which I know sounds boring! But, as a favor to your future self, it is worth watching this for 20 minutes because you could easily make small mistakes which could seriously cost you down the line.” - John Oliver
We have tried to impress upon our clients a number of dangers within the retirement industry:
- Financial advisors, paid on commissions, can work against your best interest, perfectly legally.
- There are often hidden, exorbitant fees in company sponsored retirement plans, like the 401(k).
- The effects of compounding interest works on fees and can seriously impact your long term wealth.
- There is a dangerous lack of qualifications for advisors within the industry.
- The advance of the fiduciary rule and industry attack against it.
- How disinterest among participants can lead to poor results in a plan.
But don’t just take our word for it. The latest episode of “Last Week Tonight with John Oliver” is all about retirement plans (video above). Whether you are an individual thinking about your own personal goals or managing a 401(k) for your business, this show will have some useful information for you. Assuming, of course, that you can handle a few curse words and snarky jokes along the way.