Since the Federal Reserve is the central bank of the United States, it has a significant impact on the economy. And this means your retirement planning process, too!

Here are three ways the Federal Reserve can impact retirement planning:

1. Interest rates

The Federal Reserve sets interest rates, which can have a big impact on retirement savings. When interest rates are low, it’s easier to save money because you’re earning more interest on your savings. However, when interest rates are high, it’s more difficult to save money because you’re earning less interest on your savings.

2. Inflation

The Federal Reserve also has a role in managing inflation. When inflation is high, it can erode the value of your retirement savings. This is because your money won’t buy as much as it used to.

3. Stock market

The Federal Reserve can also impact the stock market. When the stock market is doing well, it’s easier to build your retirement savings. However, when the stock market is doing poorly, it can be more difficult to build your retirement savings.

Want to know even more on how the Federal Reserve can impact your retirement planning AND your retirement years? Listen to Dave Hall discuss in detail just how in episode 82 of the Retirement Risk Show!

How to prepare for changes in the Federal Reserve

There are a few things you can do to prepare for changes in the Federal Reserve:

• Stay informed. Keep up with the latest news about the Federal Reserve and the economy. This will help you understand how changes in the Fed could impact your retirement planning.
• Be flexible. Be prepared to adjust your retirement plans if the economic environment changes. This could mean saving more money, delaying retirement, or adjusting your investment portfolio.
• Work with a Retirement Risk Advisor. Our fiduciary advisors and team can help you develop a retirement plan that takes into account the latest economic conditions and the potential impact of changes in the Federal Reserve.

Are you ready to take action against the risks facing your retirement?

Attend our Shatter Your Retirement Risks Masterclass to learn how you can overcome the financial risks facing your retirement!