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The Incredible Cost to Climb Mount Everest- Retirement is Very Expensive
Climbing Everest is expensive. The price range for a standard supported climb ranges from $28,000 to $85,000, and a fully custom climb will run over $115,000 Lots of companies offer climbs of Everest. At the lower end, extreme risk-takers can skimp by spending well under $20,000. When corners are cut when it comes to safety and preparedness, a herd mentality and overcrowded conditions have resulted.
Retirees often take many shortcuts, turning their retirement into a period of regrets. Why do incredibly disciplined professionals make bad decisions? After all, their successful career was not built on shortcuts. The answer is simple. Retirement calls for many one-time life decisions that few are qualified to be making. How do we get good at making decisions? Education and repetitive experience. The problem is, retirees have never gone through retirement before, so they can’t become experienced with making good decisions through repetition. At the same time, these retirees have salespeople pushing financial products (such as annuities) on them.
One shortcut we often see people make is to purchase an annuity they think will “guarantee” them income and remove their fears from market volatility. Unfortunately, the client may not understand the terms of the contract, and this can cost them dearly as there are often surrender periods and hidden fees inside these confusing products. At Intelligent Investing we may be able to provide an “annuity rescue” and would be happy to sit down with you to discuss your options.
There are two sides of Mt Everest, one in Nepal, one in Tibet. The southern route via Nepal is warmer, safer, and Nepal doesn’t limit the number of climbers. The alternate northern route via Tibet is cheaper, more dangerous, and Tibet limits the number of climbers. As in all choices, there are pros and cons.
When it comes to retirement, there are many paths to choose from. Some retirees think it best to “do-it-themselves” because it appears to be cheaper on the surface. Others think it best to purchase an annuity because it appears safer on the surface. However, cheaper and purchasing a murky product may not necessarily be in your best interests. Have you ever gone through retirement before? Have you ever advised other retirees through a successful retirement transition and pathway? Are you an expert when it comes to tax planning and the distribution phase of retirement?
In our next blog, we will cover the next parallel between climbing Mount Everest and transitioning into Retirement. To read about “How to Choose Your Sherpa,” click here.
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