Michael J. Garry, CFP®, JD/MBA



“I want to thank Michael Garry, CFP®, JD/MBA the owner of a fee-only financial planning and wealth management firm, Yardley Wealth Management, LLC for sharing his expertise in this great analogy comparing baby boomers and start ups.”

Michael J. Garry, CFP®, JD/MBA
Michael J. Garry, CFP®, JD/MBA

One might read an article in Fast Company or the Economist about some of the classic financial mistakes that plague startups and think, “How could they have been so naïve?” Don’t be so quick to judge. When it comes to planning for retirement, Baby Boomers seem to be wrought by the same naiveté.


It is vital to be aware of these five common “mistakes” as you prepare to enter retirement.

Not Understanding Your Market


As a business owner, market research provides a big-picture view of your real business prospect. Likewise, in retirement, understanding the new world into which you are embarking will result in peace of mind later.


When planning your retirement, it is important to know whether your goals and aspirations are aligned with your physical, emotional and financial means.

Not Having Enough Startup Capital


People assume that their Social Security, investments, and pension will be enough to to allow them to live the way they’d like to through retirement. Many people underestimate their cost of living and have an unrealistic expectation of how their existing portfolio will perform.


Having a portfolio that is appropriately aligned with your risk tolerance, needs, and goals is paramount to having a secure nest egg. Without the proper plan in place one might find themselves with less cash flow than they bargained for.

Failing to Record Cash Flow


Understanding where your money comes from is very important. Social Security, Medicare, and retirement savings withdrawals have deadlines associated with them that, if ignored, can cost a person thousands. The more organized you are the more control you will have over your financial future.

Under-calculating the Hidden Costs of Operation


It is crucial to project and consider not only operational costs but also hidden and associated costs. The same can be said for the cost of living in retirement. Accounting for increased medical expenses, inflation, the need for a new vehicle every few years and maintenance on your home are just a few of the items that we see people forgetting to include in their annual budgets. Poor planning could leave you in a position where you feel bound by a tighter budget.



When people retire they can be so elated by the freedom they suddenly possess, that they may lose focus on their future and their budget which can lead to a stark reality in short order.


Drawing down from your investments to make big purchases that are out of your budget, with the idea that you will make up for it by being more frugal later on could lead to disaster. What if the financial markets experience a downturn? You still need to make withdrawals for living expenses, but now your portfolio may not have as much cushion to ride out the temporary decline and bounce back as quickly as it would have, had you not unwisely splurged the prior year.


From Steve: “Thanks again Michael.  If you are in the Doylestown, PA, New Hope, PA, Newtown, PA, Yardley, PA, Pennington, NJ, and Princeton, NJ area and need help with overcoming some of these issues, do not hesitate giving Michael a call.”


Michael Garry, CFP®, JD/MBA is a NAPFA-Registered Financial Advisor, the owner of a fee-only financial planning and wealth management firm, Yardley Wealth Management, LLC located in Newtown, PA and the author of Independent Financial Planning: Your Ultimate Guide to Finding and Choosing the Right Financial Planner.