On the fall of private pension plans
“Private companies over-promised on retirement benefits as well. Just look at the airlines. They’re all filing for bankruptcy because as soon as they do so, they’re not responsible for the hefty pension plans that they’ve promised for years. We’re seeing a massive shift from ‘defined benefit plans’ such as pensions to ‘defined contribution plans’ like 401Ks. The difference is that in a defined contribution plan, the onus is on the employees, not the employer, to make sure they have stashed away a large enough nest egg to retire comfortably.”

On healthcare and divorce 
“A number of other things are making the picture grimmer like the incredible rise in healthcare costs. Also, things most people never think of like divorce. It may sound callous, but don’t get a divorce unless it’s absolutely unavoidable! That’s 50 percent of your net worth taken from you right there, including your furniture!”

On a comfortable benchmark: $750k at 40
“People don’t like to hear it, but what they’ve got to do is save, save, and save. We’re in a consumption-oriented society, not a savings-oriented society. You’ve got to drive a less flashy car, spend less on entertainment, not go out to dinner as much, and so on. Let me put it this way, a couple who is in their mid-40s and both making $50,000 should have a net worth of about $750,000 right now in order to retire while continuing to enjoy their current lifestyle. That means retiring with a $2-million nest egg. I can guarantee you that most people aren’t even close to that.”

On going beyond your best bet
“A 401K is always your best bet, but that’s not enough. You need to save more than that. Get other investments that aren’t tied to your career like buying your home, starting your own side business, buying real estate, mutual funds, or stocks.”

On government’s role
“The next thing you should do is get involved in the political process. Some of the hot topics today like social security reform could have major implications on when and how you will be able to retire.”

On companies that still offer attractive retirement benefits
“They are fewer and farther between, but there are still companies that offer great benefits. First, what you need to do is try to make sure as best you can that your company is in good financial standing for the long-term to make sure they won’t go bankrupt. If they do, your retirement benefits can disappear with them. A lot of public entities still have great retirement benefits – the state, most cities and counties. Some have been so generous like the City of San Diego and Orange County that they’re having the same problem as the airlines – they’ve been too generous to employees in retirement. In terms of private companies, monopolistic companies such as the utility companies tend to have good benefits. Plus, most top companies realize their success comes from the quality of their people, so they attract top people by paying them well and offering good benefits. Microsoft, 3M – they both fit that mold.”

On staying put
“A lot of people in younger generations are switching jobs a lot. That may be okay in your 20s, but by the time you’re 30, you need to settle down because in order to accumulate some retirement benefits, you need stability.”

On Ulivi’s moral
“There’s a lot of ignorance when it comes to saving money. A lot of people think they can just stick their head in the sand and let Big Brother take care of them. I can’t say it enough: that’s no longer true; you need to take care of yourself. You need to save more, look long and hard at potential employers – one may offer less in salary but you may still be in a better financial situation because of their retirement benefits. Your nest egg is worth a few hours or days of looking into it. You need to also invest more on your own, and for crying out loud, don’t get a divorce unless it’s a last resort. Make marriage work, and it will pay you great dividends.”