Your Financial Advisor Says You’re on Track — But Have You Asked This Question?

A retirement plan should account for market downturns, rising expenses, and the lifestyle you actually want. Ask your financial advisor how the plan would change if your assumptions no longer matched reality – Shutterstock

Your financial advisor says you’re on track for retirement. Your investments look reasonable, your savings follow the plan, and your projected numbers seem reassuring. Before leaving that meeting feeling financially accomplished, ask one question: “What happens if life doesn’t go according to this plan?”

That question can reveal more than another review of your investment returns. A retirement projection depends on assumptions about spending, health, inflation, investment performance, and the age you stop working. Change a few of those assumptions, and a comfortable-looking forecast may tell a different story.