Help make the most of your financial future Retirement Planning 101

Help make the most of your financial future Retirement Planning 101

Today’s Agenda Logical questions we’ll ask and help you answer: What’s my retirement vision? What are my goals? How do I devise a plan? How should I monitor my plan? How TIAA-CREF can provide the assistance I may need? 2

Test your Financial IQ What percent of Americans do not have enough money saved to cover three months of expenses? A. 10-15% B. 20-25% C. 45-50% 3

Test your Financial IQ Answer: C. 45-50% About 49% of Americans don't have enough money saved to cover three months of expenses. It is generally recommended to have enough saved to cover at least six months of expenses. * Source: http://money.cnn.com/2012/06/25/pf/emergency-savings/index.htm 4

Test your Financial IQ How much credit card dept does the average American household have? A. 2,500 - 5,000 B. 5,000 - 10,000 C. 15,000 - 20,000 5

Test your Financial IQ Answer: C. 15,000 - 20,000 The average American household with at least one credit card has nearly 15,950 in credit-card debt (in 2012), according to CreditCards.com. Since the average interest rate runs in the mid- to high teens at any given time, its smart to make it a priority to pay off any balances. * Source: http://www.creditcards.com/ 6

What’s my retirement vision? You may be retired for longer than you think Average years in retirement Women 20 years Men 18 years * Source: U.S. News & World Report, “8 New Retirement Rules”, June 20, 2011. 7

Replacing Income in Retirement Replace Income in Retirement Nest Egg to Fund Gap Spouse’s Income GAP Spouse’s SSI Your Income ERSRI WORKING RETIREMENT 8

How does your retirement vision look? Sources of retirement income for people age 65 and over Rhode to Retirement Participants US overall Defined Benefit Pension vs. Rhode to Retirement Asset Income Earnings Social Security Other Source: Social Security Administration, 2010 What will your slices be? 9

What are my goals? Do you know or can you estimate: Your planned retirement age How your expenses will change in retirement Projected retirement expenses 10

How do I devise a plan? First things first Debt Pay off highest-rate credit cards first Only use credit cards for emergencies Spending Use cash and debit cards for daily expenses Create a Cash Flow worksheet & review regularly Savings Start saving now, even if you can manage to only save a little Emergency fund of 3-6 months fixed expenses 11

The power of two – defined benefit and defined contribution 12

How should I monitor my plan? 1 2 3 4 Track your spending Revisit your plan every 2-3 years or with major life events Rebalance annually, if customizing portfolio If you wish, meet with a TIAA-CREF Financial Consultant or go online for an advice session for your retirement plan. Before initiating a transfer of assets, carefully consider differences in features, costs, charges and expenses, services, company strength and other important aspects. There may also be surrender charges and tax consequences associated with the transfer. Indirect transfers may be subject to taxation and penalties. Consult with your own advisors regarding your particular situation. 13

TIAA-CREF Advice and Guidance Personalized fund-level asset allocation advice on retirement plan assets Based on your investment goals Using an advice methodology from Ibbotson Associates, Inc. Available in-person, online or via phone Advice sessions answer questions such as: How much do I need to save now? What mix of investments is right for me? When can I retire? 14

TIAA-CREF Advice and Guidance One-on-one advice sessions are available To schedule a one-on-one advice session, call TIAA-CREF at 800 732-8353. Speak with a TIAA-CREF Financial Consultant Call TIAA-CREF at 800 897-1026, Monday through Friday, 8 a.m. to 10 p.m. (ET). Access plan information online Visit www.tiaa-cref.org/ri, log into your account and select the Advice & Planning tab. 15

How do I learn more? Review your portfolio at: www.tiaa-cref.org/ri. Call TIAA-CREF at 800 897-1026 Monday to Friday, 8 a.m. to 10 p.m. and Saturday, 9 a.m. to 6 p.m. Setup a one-on-one session with a TIAA-CREF Financial Consultant. You will have access to objective investment advice on your retirement assets from TIAA-CREF via phone—at no additional cost to you. Call TIAA-CREF at 800 732-8353 Monday to Friday, 8 a.m. to 10 p.m. and Saturday, 9 a.m. to 6 p.m. to schedule a session. In-person sessions are now available at the Providence office located at: 15 Park Row West, Suite 102 at The Gateway Center 16

Thank you for your attendance. In Partnership With 17

Important information Investment products, insurance and annuity products are not FDIC insured, are not bank guaranteed, are not deposits, are not insured by any federal government agency, are not a condition to any banking service or activity and may lose value. TIAA-CREF products may be subject to market and other risk factors. See the applicable product literature, or visit www.tiaa-cref.org for details. You should consider the investment objectives, risks, charges and expenses carefully before investing. Please call 877 518-9161 or log on to www.tiaa-cref.org for a prospectus that contains this and other information. Please read the prospectus carefully before investing. TIAA-CREF Individual & Institutional Services, LLC and Teachers Personal Investors Services, Inc., members FINRA, distribute securities products. Annuity contracts and certificates are issued by Teachers Insurance and Annuity Association (TIAA) and College Retirement Equities Fund (CREF), New York, NY. The TIAA-CREF Retirement Advisor is a brokerage service provided by TIAA-CREF Individual & Institutional Services, LLC, a registered broker-dealer and member of FINRA 2012 Teachers Insurance and Annuity Association-College Retirement Equities Fund (TIAA-CREF), 730 Third Avenue, New York, NY 10017 18