Posted on April 28, 2011 by Jason
The government uses an index of prices to determine whether inflation is occurring, and if so how much. As can be imagined, there is a great deal of debate as to what commodities and goods are represented on that index, even in good times. Right now however, with gas and food prices spiraling upwards without any end in sight, the government’s insistence that there is no inflation occurring and that prices are overall holding steady are beginning to sound fairly thin.
We’ve mentioned before that inflation can destroy your retirement more effectively than almost any other factor. Whether you believe that it is happening or not, it is vital to plan ahead assuming that the inflation rate continues to grow.
Posted on April 28, 2011 by Jason
And not only Detroit. Detroit’s renegotiation on private pensions has inspired more than one local or state government to take another look at their pension requirements. Understandably, public sector unions, to say nothing of the retirees themselves, are spitting bullets over the very idea of cutting ongoing pensions for already-pressured retirees. They’re getting scant sympathy from private sector workers though, who already resent the guaranteed benefits that public sector employees continue to enjoy over their private sector counterparts.
This debate is only going to get more difficult as the deadlines for budgets loom.
Posted on April 22, 2011 by Jason
The House of Representative’s Ways & Means committee released a report today slamming AARP as an organization that manipulates seniors for their own personal benefit. In it, the authors discuss AARP’s status as one of the largest insurance companies in the country, and the fact that their for-profit activities dwarf all of their non-profit and charitable activities put together.
The report also claims that AARP’s support for the Health Care reform plan passed several years ago was motivated by profit considerations, and that the organization mis-advises Seniors to suit their own purposes.
NewRetirement is in no position to speak to the allegations in question, but the House’s objections are certainly creating a stir.
Posted on April 20, 2011 by Jason
If you have reached retirement age, you have probably witnessed or even experienced the devastating effects of an earthquake, hurricane, fire, tornado or flood.
Now imagine dealing with the disaster as you age. The odds are that you may move or even think just a little bit slower now than when you were younger, which makes having a sisater supply kit and plan even more important:
- Write it Down: Important telephone numbers (doctors, family members, friends), a list of medications you require, all bank and insurance account information and copies of your credit cards and identification should be stored with your disaster supplies and another copy should be kept ready to take with you in case of evacuation. Also keep a written list of other items you need to take with you if you need to flee your home.
- Get Local Information Now: Talk with local authorities about disaster plans in your area. They may be able to give you phone numbers for emergency transportation or shelter locations in advance.
- Prepare for Medical Conditions: Most seniors take prescription drugs and many seniors require medical devices. Experts recommend that you have at least a two week supply in your emergency kit. As an additional precaution, talk with your doctor about what to do if these supplies are somehow damaged. Extra eyeglasses, hearing aid batteries plus a basic first aid equipment should be part of your kit.
- Assemble Basic Supplies: Authorities recommend that you have at least three days – ideally two weeks — worth of water and food plus some cash, blankets, clothing, a can opener, matches, flashlights, toilet paper, soap and trash bags in your emergency supplies.
- Maintain and Update Your Plans: It is very important that you assess your disaster plans about every six months or after any major changes in your life.
Get More Information from the AGS Foundation for Health in Aging
Posted on April 20, 2011 by Jason
The newly passed federal budget cuts $88 million that was to be used for loan counseling – including Reverse Mortgage counseling — programs. A Reverse Mortgage counseling session is a requirement of securing a Reverse Mortgage and is intended to help the borrower understand the loan and alternatives to a Reverse Mortgage.
After September of this year, the federal government will not fund this counseling and it is likely that the borrowers themselves will pay the $100-$150 expenditure.
If you are considering a Reverse Mortgage, you may be able to avoid paying for this counseling session by scheduling it as soon as possible. Studies have shown that participants find these sessions useful and they are offered by independent agencies like the National Council on Aging (NCOA). They are not sales sessions.
Talk With a Pre-screened Reverse Mortgage Lender About Reverse Mortgage Counseling.
Posted on April 20, 2011 by Jason
AARP recently polled 1000 older adults about their biggest retirement worries. The top three concerns are:
- Health Care: While maintaining health is a concern, paying for health care was listed as the top worry for seniors. And there is good reason for the anxiety. Research estimates that the out of pocket healthcare costs for a 65 year old will range from around $200,00 to $300,000 – this amount exceeds the total savings of most retirees.
- Running Out of Money: Have you saved enough? Can you spend it efficiently? Will you outlive your money? Can you afford your desired lifestyle? Here again, there is good reason for anxiety – but also many options for improving your financial situation. Many seniors find that reducing debt, cutting expenses, working longer or securing a Reverse Mortgage can dramatically improve their finances.
- Maintaining Independence: Remaining self-sufficient – preferably in their own home – is a goal for most baby boomers. Adequate retirement planning and perhaps Long Term Care Insurance or a Reverse Mortgage could help achieve these goals.
Get Loan Estimates to Help Determine if a Reverse Mortgage Could Improve Your Retirement
Assess Your Overall Retirement Plan with the NewRetirement Calculator
Talk with a Financial Advisor About Which Products Are Right for You
The Top 3 Retirement Fears
AARP recently polled 1000 older adults about their biggest retirement worries. The top three concerns are:
- Health Care: While maintaining health is a concern, paying for health care was listed as the top worry for seniors. And there is good reason for the anxiety. Research estimates that the out of pocket healthcare costs for a 65 year old will range from around $200,00 to $300,000 – this amount exceeds the total savings of most retirees.
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- Running Out of Money: Have you saved enough? Can you spend it efficiently? Will you outlive your money? Can you afford your desired lifestyle? Here again, there is good reason for anxiety – but also many options for improving your financial situation. Many seniors find that reducing debt, cutting expenses, working longer or securing a Reverse Mortgage can dramatically improve their finances.
- Maintaining Independence: Remaining self-sufficient – preferably in their own home – is a goal for most baby boomers. Adequate retirement planning and perhaps Long Term Care Insurance or a Reverse Mortgage could help achieve these goals.
Get Loan Estimates to Help Determine if a Reverse Mortgage Could Improve Your Retirement
Assess Your Overall Retirement Plan with the NewRetirement Calculator
Talk with a Financial Advisor About Which Products Are Right for You |
Posted on April 19, 2011 by Jason
Health Insurance is hard to come by for retirees, particularly ones who retire before Medicare begins to cover them. US News & World Report has an article in their most recent issue concerning ways for retirees who have not yet reached Medicare age to get or retain their existing health insurance.
But for those of you who do have Medicare, you either have already or will rapidly discover that it doesn’t cover everything that one might wish. Many of these tips apply even if you’ve already begun Medicare. And for those still looking for additional help, there’s always the option of Supplemental Medicare Insurance
Posted on April 18, 2011 by Jason
Marc Freedman has defined a new norm for retirement in his new book, The Big Shift. He defines a new period of life – in your 60s and 70s — that occurs between middle age and old age. And he writes that most people will spend at least some of this time working – either in an encore career, part time or in their traditional job.
This new age is an important part of a New Retirement.
Posted on April 13, 2011 by Jason
Politicians seem to finally be waking up to the fact that Medicare is unsustainable in its current form. The New York Times reports a number of the suggestions for resolving the looming Medicare crisis that are being considered on Capital Hill
These include:
- Raising the minimum age
- Altering Co-Payments
- Increasing Premiums
- Switching to a bundled payment system
Read “Reshaping Medicare Brings Hard Choices” at the New York Times.
Supplement your Medicare with Supplemental Medicare Insurance
Find out how Medicare works into your overall Retirement Plan
Posted on April 13, 2011 by Jason
The National Council on Aging has released the data from a Poll of seniors called the One Away Poll, to investigate how senior citizens have been coping with the economic downturn.
The results are about what we at NewRetirement have expected. Some two thirds of respondents are either having a hard time making ends meet, or know someone their age who is. One in three seniors derive 90% or more of their income from Social Security, a harrowing figure.
