26 October 2006
By John Tozzi
Ray Mignone knows that planning for retirement is different for people with no kids. Not only has the Little Neck financial planner helped his childless clients prepare for their golden years - he and his wife, Paula, are beginning to plan for their own.
Mignone, 52, has coined a term for people without children looking forward to retiring: retired, independent and no kids, or RINKs. He said his book by the same name is the first financial planning guide for them.
"I wanted to address this issue, maybe because it hit me personally," he said. Although he and Paula have no plans to retire any time soon, he said they're looking forward to being RINKs.
Typical RINKs have worked and saved all their lives, paid off their mortgages and have at least $500,000 in liquid assets. They want to maintain their lifestyles in retirement and they want to know that their partners, their estates - even their pets - will be taken care of when they pass on.
"I have a lot of clients that don't have any kids or their kids are across the country," Mignone said. "Some of them ... have a lot of money, but they have different issues."
RINKs are not concerned with leaving behind a large inheritance for their kids or paying for grandchildren's college tuition. But people retiring without children have to worry about who will manage their medical care if they fall ill, who will maintain their homes and care for their pets.
Mignone, a Richmond Hill native, said the ranks of the RINKs appear to be growing in Queens and Long Island.
"There's quite a few people in this area that fit the mold of RINKs," he said.
In his book, which is published by a print-on-demand publisher called AuthorHouse, Mignone recommends childless retirees create dual support networks. One, the money team, manages finances while the other, the emotional team, provides the social support critical to people without immediate families.
Mignone said many people retiring without kids become too cautious with their investments and risk not having enough income to continue living they way they want.
"Most people get too conservative in retirement," he said. Although every situation is different, Mignone recommends retirees keep about 60 percent of their money spread across a diverse stock portfolio, with the remainder in bonds and more stable investments.
Mignone, a former columnist for the TimesLedger, has been a certified financial planner since 1989. He keeps his client list small - about 100 families - because he wants to be able to give them the attention they need.
"What we do is more involved than a stockbroker," he said.
He said his job is to help clients, especially those without kids, sleep soundly as they enjoy the rewards of a lifetime of hard work.
"What to do with the money is a big burden for them," he said.
Mignone's book is available on his Web site, www.raymignone.com.