Posted on January 27, 2012 by Erin
Got a million dollars for retirement? Think it’s enough? Think again. A million dollars sounds like a whole lot of money to most folks, and it is! But in today’s market, one million for your retirement fund simply may not cut it when you need your money to stretch for your entire retirement. Why? Let’s think about it.
The average lifespan of most people today is longer than any point in the past. Living to age 90 isn’t that unusual anymore, especially with modern medicine. If you retire at age 62 and live until age 90, that’s 28 years that you will need to fund. Where you live and the lifestyle you want to maintain can significantly increase the amount of money you will need for retirement. You also have to take into account the cost of medical care. Do you have long term care insurance to protect you in case of an unforeseen medical expense? One hospital stay has been known to throw many people into financial turmoil.
Social Security is unstable and is not enough to live on for many households. It’s never too late to start preparing for your retirement by looking into Annuities and Long Term Care Insurance as options to help protect yourself.
What’s your retirement savings goal? How far along are you and are you confident you will reach it? Let us know your thoughts!
Use the NewRetirement Retirement Calculator to see how far away you are to reaching your goal!
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Posted on January 25, 2012 by Erin
Recently, a study put out by Ameriprise Financial took a look at the different ways men and women plan for retirement. Not surprisingly, both sexes reported not feeling 100% prepared. What was a little more surprising was just exactly how different men and women look at retirement planning.
According to the study, 54% of men report investing money into accounts such as IRAs and 401Ks while only 46% of women report the same. It was shown that men tend to pick a number with which they deem to be their goal for retirement savings. They work toward this goal and do it mostly through their investments. Women on the other hand were shown to think not so much about the specific number they want to hit, but the lifestyle they want to have during retirement. But the study still shows that both sexes are underestimating the amount of money they will need in retirement. With longer life spans, more expensive medical costs and the uncertainty of Social Security, everyone needs to begin to become more realistic with their retirement planning.
Are you prepared? See how long your money will last you in retirement. Use our retirement calculator.
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Posted on January 19, 2012 by Erin
Recently, the U.S. Government set a very ambitious goal of finding a way to treat Alzheimer’s by the year 2025. This is huge considering that over 5 million Americans suffer from the disease. How does the government plan on crushing Alzheimer’s? They’re calling for a blueprint of sorts on how to fight the disease. Unfortunately, there has been no new money allocated to the cause, so many are left wondering just how exactly the research that needs to be done in order to fight the disease is going to be paid for. Some say that the deadline is setting us up for failure but others don’t believe it to be aggressive enough. Something that everyone can agree on is that a cure for Alzheimer’s is greatly needed and it will be a wonderful day when a cure is discovered.
Are you and your family prepared for unexpected medical expenses? Protect yourself with Long Term Care Insurance.
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Posted on January 18, 2012 by Erin
It may be a new year, but it’s looking like the housing market may continue to be less than wonderful. In some parts of the country, home values are still declining and many people can’t seem to sell their homes. One of the ways seniors can tap into their home equity is to get a reverse mortgage.
It was reported in the Wall Street Journal that reverse mortgages are once again gaining steam. More lenders are beginning to offer the product again that allows you to take a loan against the equity you already have in your home. MetLife originated 171% more reverse mortgages in 2011 than they did in 2010! The program is tailored for homeowners ages 62 and up who want to stay in their home for a while and want to eliminate their monthly mortgage payments.
We can help you find a reputable lender in your area that can give you information on the program and tell you exactly how much money you can qualify for.
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Posted on January 11, 2012 by Erin
Enjoying this test may depend on whether you’re a cup half full or empty person, but recently, researchers at the University of California, San Francisco have come up with an assessment that determines when you have a good chance of dying. A little scary, but doctors are admitting that it’s a pretty good tool for them to use when determining the types of tests or medicines they use for elderly patients, or when a doctor is determining if a patient is ready for hospice care. Medicare requires that patients enter hospice when they have 6 months or less to live but with the way it is today, many patients enter when they have precious few days left to live.
The tool uses a formula that involves age and health conditions among others. Here is a link to take you to an interactive version of the tool. It is important to note that this tool is not something to self-diagnose yourself with. It is to be used by doctors and in no way should you alter your lifestyle without first speaking to your doctor. But it can be an interesting tool that can be used to better inform yourself about your health.
Does your test show you living forever? Is your retirement plan strong enough to support that?! Use our retirement calculator to see just how long your money will last you.
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Posted on January 9, 2012 by Erin
It’s something that many people don’t really think can happen but has become more common over the last few years – being laid off shortly before you retire. We like to think the chances of this happening are small due to the belief that it’s too outrageous, especially If you are one of those people that has put in many good years at a company. Who wants to think their employer would be so quick as to lay off someone just before retirement?
Unfortunately, it happens. The problems associated with losing your job before retirement age are numerous – are you too “old” to get a new job? Do you have too much experience and require too high of a salary? Will younger and cheaper candidates undercut you in the job race? Yet are you too young to receive Medicare or Social Security? Recently, the New York Times laid out some crafty ways that can help you survive, that you can read here.
Do you know anyone that this has happened to? What would be your plan if this happened to you?
If you were laid off today, how far would your money stretch? Find out by using our Retirement Calculator.
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Posted on January 6, 2012 by Erin
Yesterday we talked about the trend of parents moving in with their adult children. This trend will likely continue for some time and in many cases, the parent being home may create some extra work for the adult children. Many times if the parent needs medical care, the adult child is forced to take time away from work or cut back drastically on hours in order to care for their parent. This is why it’s important to point out that in some cases, the caretaker may be able to receive compensation.
Recently, AARP highlighted some different ways that children can receive financial compensation for the care of their parents. Much of it has to do with programs that are offered through the use of a Medicaid waiver. Of course, Medicaid is not the most cash rich program currently, so the hoops that need to be jumped through may be quite large. Another suggestion is to check the parent’s long-term care insurance policy, if they have it. Some policies allow for a cash benefit for the use of in-home assistance. And of course don’t forget – especially with tax time right around the corner – any deductible expenses the caregiver may have incurred to accommodate their parents needs. Wheelchair ramps, safety bars or even the gas used to drive the parent’s to their doctors appointments may be deductible.
Do you have long term care insurance to protect you? See how to select the best policy for you.
Will you be able to afford to stay in your home? Use our retirement calculator to see how your retirement plan shapes up and you can improve it.
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Posted on January 5, 2012 by Erin
Typically, energy drinks have been marketed to the younger crowd – shown as a way to stay up for all night study sessions or all night dance parties. But in 2012, the demographic these companies are targeting appears to be shifting to senior citizens!
According to the consumer research group, The Values Institute at DGWB in California, the trend is shifting to seniors, mostly due to the previously untapped market. 5 Hour Energy, a popular energy drink brand, has even nabbed Cliff Clavin (actor John Ratzenberger) from Cheers as a spokesman! But are they safe? The drinks main ingredient typically leans towards high amounts of caffeine and many drinkers of the product report a jittery feeling after consuming the drinks. That may explain why many of the companies are now pumping the drinks with vitamins and touting the drinks as a healthy way for seniors to maintain an active lifestyle.
Will you respond to the marketing and start chugging energy drinks?
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Posted on January 4, 2012 by Erin
Often times we hear of parents having the burden of taking back their adult children who just can’t seem to make it financially in this economy. But lately, a new trend has begun to take shape – adult children having to help out their parents.
According to a study done by the Pew Research Center, out of the adults who have parents ages 65 and older, 39% have reported that they helped their parents financially in the past year. One in 25 of unemployed Americans ages 55 and older have been forced to move in with their friends or family due to money problems. Many factors contribute to this new phenomenon, but Social Security not being enough to live off of, retirement savings being depleted due to forced retirement or unemployment and medical costs skyrocketing for those who need treatment, are issues that are not helping. It’s not to say that families staying close and living under one roof is bad, but the trend is showing that when parents move in with their adult children, they fear they are being a burden.
Would you want to move in with your adult children or would it be a last resort? And do you think the trend of parents moving into their adult children’s home is a trend that may continue even if the economy gets better?
See how long your nest egg will last. Use our Retirement Calculator and determine ways to stretch it a little further.
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Posted on January 3, 2012 by Erin
With the economy the way it’s been and the cost of living being so high for so many people, the thought of retirement is something that is simply a dream for many. But that thought just isn’t acceptable for some people and they’ve taken the matter into their own hands. They’re up and moving out of the country to get their retirement dream!
In a study done by Internationalliving.com, it was found that Ecuador is one of the most popular places for retirees to retire. Expenses here can be as little as one fifth of what they are in the U.S. In many cases, people can retire up to 10 years earlier than they would have been able to in the U.S. and they can also afford luxuries like maid services and weekly massages (how does $25 for an hour long massage sound?!). There are many places to explore around the world that could make your retirement a reality and could create something you may have never even dreamed of!
Can you afford to retire? Do you know when you will run out of money? Get answers by using for retirement calculator.
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