In writing Retire Wealthy, a 186-page book about the basics of managing your money and financial affairs for a comfortable retirement, Eric D. Brotman had a straightforward goal.

“My motivation for writing the book was in part to help build a brand for the firm, and to become a thought leader in our field and in the community. We include the book in our welcome kit for our clients. If new clients have taken time to read the book they will already know about our philosophy before we sit down. If we are not in sync, it helps weed out the folks who might, say, be looking for a gunslinger stockbroker.’’

Brotman, CFP, is president and managing principal of Brotman Financial Group Inc., an independent firm assisting clients with wealth creation, preservation and distribution. He began his financial planning practice in Baltimore in 1994, and founded Brotman Financial Group in 2003.

Retire Wealthy. The Tools You Need to Help Build Lasting Wealth -- On Your Own or With Your Financial Advisor, was first published in 2014.

A lack of savvy among Americans about how to save money and build a retirement nest egg inspired the book’s subject matter. Brotman acknowledged that many workers can’t afford to save adequately.

“It is absolutely true that there are people who have barely enough to cover their living expenses and really don't have extra cash to save. Half of the American working public is one missed paycheck, or one set of tires, or a washer that goes up, or an illness, that will sink their savings plan. They are teetering on the brink; it is an awful way to go through life,’’ he said by telephone from his office in Maryland.

“For those folks, [help can come from] dealing with very, very basic things, such as, should there be second job? Could there be loan modifications? Are there other resources available, such as scholarships or financial assistance, for education or job training?’’

The title suggests that readers can do it themselves; in reality, Brotman said, most need help.

“People have no idea what it takes to retire. Two generations ago, you worked for one company for 30 years, a pension took care of your needs and Social Security did the rest. You spent it down until you died. Now, people are living to 100, and they need elder care and long-term care. Medical care is bankrupting the family. There are things that you need to do, and it’s not just about saving enough money. It’s being smart about debt, insurance, cost management, legal and tax issues. The average American has a very little shot at getting that right without professional advisors.’’

And how much does he think one needs to have saved to retire wealthy?

 

“In the absence of a pension and without reliance on Social Security or another government program, 20 to 25 times your gross income net of savings put away. I would argue that the number is somewhere between $1.6 million and $2 million. Now if you have a secure pension and you are eligible for Social Security and rely on it, it lowers the amount of savings you need to put away. You can get by with $500,000 to $600,000 in savings, as long as Social Security continues and your pension is secure. But, those are very big ifs.’’

Brotman said most of his clients are in the “Sandwich Generation’’ -- 45- to 60-year-olds who have parents growing old and children needing to be educated. “We do not have an asset minimum. Our clients are typically multigenerational families, in most cases the folks are between 45 and 60 and they need help in figuring out how to handle all that noise. They are busy, nose to the grindstone, in their peak earning years. They want to keep as much as they can and they have tax, family, legal and financial concerns. Most are incredibly bright, but they just realize they don’t want to do this themselves.’’

He supports efforts in his home state of Maryland to create school programs to educate children about money matters. Educators and the state legislature disagree on the mechanics of implementing such programs though, he said.

Is the American inability to understand how money works due strictly to an education gap? “No; we learn most of the lessons in life from our parents very subtly. If both are spenders, robbing Peter to pay Paul, buy now and pay later; those habits stick with us. If parents are both savers and they take that too far, a miserly attitude gets taught to the kid. We come from such different backgrounds and we have learned different lessons about money, and most of what we have learned is bunk!

“I try not to embarrass anyone I know is ill prepared. But they need to hear the truth. Talking about money to people is like talking about mortality or marriage. There are tears, arguments, incredible emotions here between couples, generations. The conversations are as intimate as the conversations you have with your doctor. Except for the obvious difference that there is no disrobing  allowed.’’

Brotman, 43, says being a Certified Financial Planner is a “labor of love; it’s not work and I don’t know what else I could do. But I don’t want to have to work forever. By my own definition, I want to be in the position where I do not have to work, before I am 60.’’

Eleanor O’Sullivan is an award-winning freelance journalist who has written for USA Today and Gannett newspapers. She can be reached at [email protected].