Noted political analyst and former tax attorney Andrew Friedman says the mounting federal deficit means many American workers under the age of 55 are likely to face serious financial difficulty in their retirement years.
An InvestmentNews article quotes Friedman as saying that in spite of their differences, Democrats and Republicans in Congress will sooner or later have no choice but to find common ground and address the deficit problem. And, significant to those hoping to retire in coming decades, that common ground is likely to include reductions in Social Security and Medicare benefits.
In the environment Friedman describes, where the federal safety net is far from certain, strong planning is imperative. While his predictions are nothing new, they reinforce the ideas that everyone needs a sound, forward-looking financial plan, and that the role of insurance and financial advisors is more important than ever.