Real Estate Thoughts

Can a professional really retire?

Entrepreneurs establish methods of operating a business based upon risk. The objective is to obtain independence and reward for the risk that are taken when operating as a professional. The level of risk towards integrity, personal health, financial assets and obligations to others exceed the level of risk when one takes a position as an employee. The typical goal is to have the reward overcome the risk level and allow for a profitable future with an advantage of time to smell the roses in the latter years of life.

How many of these professionals ever strategically plan a retirement plan that will allow them to enjoy and benefit from the fruits of their labor?

Consider the risk of one’s health and the cost associated with a major medical issue. The cost to obtain and maintain an insurance premium in the age brackets of 40 – 67 may be significant for too many individuals. The Medicare program is under attack and its survival may be significant to the planning of retirement for the majority of entrepreneurs. Or for the extreme risk takers that attempt to disregard health insurance premiums altogether, they may experience the liability of paying for an actual medical expenses that most likely will eliminate the hope of any retirement at all (at least with enjoyment).

Than there is the issue of civil and even criminal liability, from prior reports issued. Each state will differ upon their code of law, but the extension of responsibility can carry on for a decade. In the state of Missouri, the liability could be extended for up to 10 years, Chapter 516.120(5) for fraud; Chapter 516.350 for judgments and Chapter 516.120(1); 516.110 for contracts. Liability insurance can be extended at a cost to aid in the coverage of risk, however it is not free.

So, I raise the question to ponder. Can a professional really ever walk away and begin to smell the roses or will the risk outweigh the rewards?