(NAPSA)—Asthe Baby Boomer generation begins to retire in record numbers and medical advances allow them to live longer and healthier lives than previous generations, retirement income planning has emerged as a relatively new and largely untested area of financial planning. For those approaching and entering retirement, The Hartford recommends that they think of themselves as farmers, tending their “retirement income garden” to make the prospect of retirement less scary. They may notrealize it, but for years they have all focused on growing the garden or compiling all of the various assets which can be used to fund their retirement. These include our obvious retirement assets such as 401(k) plans, defined benefit plans and Social Security as well as less obvious ones, such as embedded equity in a home. When retirement comes, it’s important to be very diligent in tending this garden, drawing from multiple sources to finance our retirement lifestyle while continuing to plant new crops when possible. Three simple steps can help Boomers visualize the retirement income garden and how they mighttendit: Tip #1—Plan Your Harvest: According to the Employee Benefits Research Institute, 69 percent Visualizing The Retirement Garden 1. Plan your harvest. Calculate what you need for a comfortable retirement. 2. Rotate yourcrops.Diversify investments. 3. Tend your garden and make age-appropriate adjustments. stand diversification for income? A successful garden typically has a variety of crops and it’s not necessary to rely on just one or two. A retirement income should come from multiple sources, such as a 401(k), IRA, Social Security, pension plans and even equity from a house. Diversifying income stream at retirement can protect a retire- @ of Americans say that saving for retirement is their number-one goal, yet only 42 percent have actually done a calculation to estimate the cost. Too often people think of a number which, if reached, will assure a comfortable retirement. Is $1 million enough? Is it too much? This really depends on the withdrawal rate and what kind of crops are planted. It’s important to think about how much will be needed to live on in retirement and what will be needed to produce that income, as opposedto an arbitrary lump sum. The amount that can be withdrawn from personal savings each year for retirement should also be balanced with other sources of guaranteed retirement income such as Social Security and defined benefit pension plans. Tip #2—Rotate Your Crops: Many people seem to understand the concept of diversification for growth, but how many under- ment paycheck should any one incomesourcefall on hard times. Tip #3—Tend, Tend, Tend: Like a well-tended garden, the retirement incomeportfolio should be fertilized and weeded on a regular basis. As people age and their needs change, there may be a need to transition into new products, such as guaranteed income annuities or longevity insurance, to help offset the risk of running out of moneyin retirement. And similar to a retirement plan, a retirement income plan should be monitored on a regular basis to assess progress and make any changes as needed. In summary, when approaching retirement, thinking like a farmer can help build and maintain a successful retirement income plan. And, by all means, don’t go it alone. Seek the help of a qualified financial professional. You should also do your own research. Web sites such as The Hartford Investor (www.hartfordinvestor.com) have great retirement calculators and educationaltools. Note to Editors: This information is written in connection with the promotion or marketing of the matters addressed in this material. The information cannot be relied upon for the purpose of avoiding IRS penalties. Neither The Hartford norits agents or employees provide tax or legal advice. As with all matters of a tax or legal nature, clients should consult their own tax or legal counsel for advice. Hartford variable annuities are issued by Hartford Life Insurance Company and by Hartford Life and Annuity Insurance Company, and are underwritten and distributed by Hartford Securities Distribution Company, Inc. Clients should carefully consider the investment objectives, risks, and charges and expenses of Hartford Life’s variable annuities and the underlying funds before investing. This and other information can be foundin the prospectus for the variable annuity and the prospectuses for the underlying funds, which can be obtained from an investment representative or by calling 800-862-6668. Please read them carefully before investing or sending money. The Hartford Mutual Funds are underwritten and distributed by Hartford Financial Services, LLC. You should carefully consider the investment objectives, risks, charges and expenses of The Hartford Mutual Funds before investing. This and other information can be found in the funds’ prospectus, which can be obtained from your investment representative or by calling 888-843-7824. Please read it carefully before you invest or send money.
