1. Planning for an average life expectancy. Playing entirely by the law of averages, you have a 50 percent chance of being wrong.

2. Failing to adequately account for inflation. Even at a mild inflation rate, you lose about one-third of your purchasing power every 10 years.

3. Not understanding the “70 1/2 tax trap.” Forced distributions from IRAs and 401(k)s at age 70 1/2 can push retirees into a higher marginal tax bracket and cause up to 85 percent of their Social Security benefit payouts to be taxed.

4. Not having investments properly diversified. Spreading the wealth is one of the best strategies for protecting your clients’ assets.

5. Withdrawing from growth investments in down years. Do so during an unprescedented downturn in the market, and the odds are overwhelming that they will not be able to recover their original principal

Source: Gaynes Financial Services, Inc.