Prudential Retirement 401K Login

Prudential retirement planning involves investing in both money market and annuity products. You can do this on your own or use a reputable financial advisor specializing in this area. Be sure to research different advisors and visit the Better Business Bureau for consumer protection information. Once you have done your homework and are comfortable with a few possible investment options, you are ready to begin building your portfolio.

Your first step should be asset allocation. Determine how much of your total assets should be invested in fixed income instruments such as bonds and stocks and how much should be allocated to growth vehicles like real estate and the stock market. Once you have a clear asset allocation for retirement funds, it is time to choose your ideal retirement target date. Your target date is the age at which you plan to retire.

For this article, let’s assume your target date is when you will be eighty years old.

Once you have your target retirement date established, figure out your annual income target based on a combination of two things. First, consider the annual income you would receive if you retired today and compare it to your current annual income. If your potential income increases substantially, then your annual income target may need to change. The second thing to consider is the return you will receive on your initial investment. To do this, calculate the present value of your guaranteed income stream and divide it by the age you are planning to retire.

Once you have your target date, you are ready to begin asset allocation. Choose a mix of safe growth products that offer guaranteed returns and low risk. Some of these options include long-term growth mutual funds, bond funds, money market funds and bond funds with both long and short terms returns.

You can also use a professionally designed financial wellness offering to help determine your asset allocation. These financial planning products include detailed reports about your financial well being, asset allocation and investment objectives. Investing in a product such as this will allow you to determine your optimum retirement saving and investment strategy. Depending upon your goals, you can adjust your portfolio’s risk/reward ratio to create a solid plan that will ensure maximum asset protection and maximum financial growth.