Financial Planning Tips for Retiring in Phoenix

    

Financial Planning Phoenix

Phoenix is a marvelous city, full of breathtaking nature and an endless number of things to do.

If you’re in the mood to see incredible geologic formations, head over to the Grand Canyon, Petrified Forest National Park, Saguaro National Park, or Monument Valley. If sports are your thing, you can catch the Suns, Cardinals, Diamondbacks, Coyotes, and Mercury in action—as well as your favorite collegiate teams. Some of the best golf courses in the world are also near the Phoenix area, which is why the PGA Tour holds the Phoenix Open in nearby Scottsdale every year. Due to Phoenix’s favorable winter climate, Major League Baseball holds spring training in the area every year, too.

Phoenix is also ideally situated with respect to other cities you might want to visit. If you’re retiring in Phoenix, other Arizona cities such as Tucson, Sedona, and Scottsdale are within striking distance, as are out-of-state cities such as San Diego; Los Angeles; Las Vegas; and Santa Fe, New Mexico.

With a favorable climate (most of the year!), an endless number of exercise and entertainment options in the vicinity, and a relatively affordable cost of living, Phoenix is one of the finest places where you can sit around enjoying your golden years.

But if you want to live comfortably during retirement, you may want to start planning ahead and saving today.

Are You Thinking About Retiring in Phoenix?

Phoenix is one of the most affordable large cities in the western United States. One recent report found that the median home price in the area hovers near $273,000, and that the median household income for the area is $69,100.

It costs slightly more to live in Phoenix than it does to live in the average U.S. town, but this is completely understandable because Phoenix is a big city that 1.6 million people call home. Retirees and income earners alike are increasingly moving to Phoenix to get away from the high costs of living associated with places such as San Francisco and Los Angeles. Although rent and utilities might be slightly more expensive than in the average U.S. town, food prices are lower in Phoenix. 

Further, unlike many other states, Arizona does not tax Social Security benefits. This is part of the reason why one study found that Arizona retirees save more money than their counterparts in 47 other states.

Despite Phoenix’s relative affordability, retirees of all financial persuasions still need to put together robust retirement plans that help them achieve their financial goals. 

Up next, we’ll explore a few tips that should help you start thinking about ways to work toward those goals—and get that much closer to the retirement you envision.

Financial Planning Tips for Retiring in Phoenix

Whether you’re planning on retiring in 10 years or 40 years, there’s no better time to start saving for retirement than the present moment.

So first things first: Study your spending and look for ways to reduce your cash outflow. If you’re like most people, you probably still have a mortgage or rent to pay. Moving to Phoenix might present an opportunity for you to reduce your living costs substantially. Who knows? Maybe you can sell your house outside of San Francisco, ditch your mortgage, and buy a house in the Phoenix area with cash. 

At the same time, you might look to Phoenix as an attractive option for tax purposes. The recently enacted tax law caps state and local tax (SALT) deductions at $10,000, which is well below what many of us in high-tax states pay each year. Moving to Phoenix may help you reduce your SALT obligations.

Another thing to consider is what you’ll be spending your money on once you move to Phoenix. For example, if you’re moving to the area from somewhere else, you might end up incurring more travel expenses as you look to beat the heat during the summer. And if you end up becoming the world’s biggest Diamondbacks fan, you might end up buying season tickets. Envision what your life in Phoenix might look like and start planning accordingly.

Finally, you’ll have to figure out a Social Security strategy and your insurance needs as you enter your golden years.

If this all sounds like a tall task, that’s because it is. But the good news is that you don’t have to go at it on your own. 

By contacting a financial advisor and working together, you can start planning your own retirement journey and continue taking the steps to reach your financial goals.

How EP Wealth Can Help You Plan for Retirement in Phoenix

If you’re thinking about retiring in Phoenix, EP Wealth Advisors can help. We have a brick-and-mortar presence in Phoenix, right over on East Camelback Road, so we’re a phone call and a quick drive away.

We have deep ties to the Phoenix area. For example, our very own M.J. Nodilo volunteers for Thunderbird Charities, an organization involved in hosting the Phoenix Open every year.

Contact M.J,, Adrian or one of our other advisors today and set up a time to speak about your financial future. Together, we can create a plan that helps you move toward a comfortable retirement lifestyle—right here in the beautiful city of Phoenix.

We look forward to hearing from you!

The Retirement Planning Guide | EP Wealth Advisors


Disclosures:

  • Hiring a qualified advisor and/or financial planner does not guarantee investment success, and does not ensure that a client or prospective client will experience a higher level of performance or results. No guaranty or warranty is made that any direct or implied results or projections being represented here will be met or sustained.
  • Information presented is general in nature and should not be viewed as a comprehensive analysis of the topics discussed. It is intended to serve as a tool containing general information that should assist you in the development of subsequent discussions. Content does not involve the rendering of personalized investment advice nor is it intended to supplement professional individualized advice. 
  • The need for a financial advisor or financial planner and/or the type of services required are specific to the uniqueness of each individual’s circumstances. There is no guarantee or warrantee that the services offered by EP Wealth Advisors will satisfy your financial services requirements. Services offered by other advisors may align more to your specific needs.  
  • All investment strategies have the potential for profit or loss. Different types of investments and investment strategies involve varying degrees of risk, and there can be no assurance that any specific investment or strategy will be suitable or profitable for a client's portfolio. The risk of loss can never be eliminated even if working with a professional.
  • EP Wealth Advisors, LLC is not engaged in the practice of law or accounting. Always consult with a legal or accounting professional regarding your specific situation before acting on anything referenced herein.
  • EP Wealth Advisors, LLC. is registered as an investment advisor with the SEC and only transacts business in states where it is properly registered, or is excluded or exempted from registration requirements. SEC registration does not constitute an endorsement of the firm by the Commission nor does it indicate that the advisor has attained a particular level of skill or ability



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