Posted on May 16, 2011 by Erin
Last week, 42 freshmen Republican members of Congress wrote a letter to President Obama urging him to stop saying that the Republican budget plan would put an end to Medicare.
Why do some believe that Republicans ARE ruining Medicare? Because of their plan to reject any tax increases that come to the table. Baby Boomers are now reaching retirement and beginning to rely on programs such as Social Security, Medicare and Medicaid. In order to keep these programs alive, a significant increase in spending will be necessary. Some ask how we can do this if we don’t raise taxes. Others believe we just need to cut more spending. What’s your opinion?
Read the New York Times’ full article, “Seniors, Guns and Money,” here.
Will changes in Medicare change you retirement plan?
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Posted on May 14, 2011 by Steve
I swung into Whole Foods today and noticed that a pint of Ben and Jerry’s had hit $5.40.
Poll your neighbors and they’ll say food and energy inflation is rising fast….
MIT’s Billion Price project – worth checking out.
Posted on May 12, 2011 by Erin
It’s a story that many have heard before – a woman who is nearing retirement, just recently taking the reins of her own financial future. Whether she is widowed, divorced or never married, single women retirees are facing major challenges planning for their retirement.
Women typically live longer and earn less money than their male counterparts – about 77% less – and therefore do not accumulate as much in savings as men. Planning for retirement and having financial awareness is a must for women of all ages. Programs such as Social Security may not be enough to sustain women throughout their retirement and women owe it to themselves to secure a great future!
Read “Women Face Extra Obstacle to Secure Retirement,” here
Is Your Retirement Plan Enough? Use the NewRetirement Retirement Calculator to see how it adds up
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Posted on May 11, 2011 by Jason
Antipsychotic drugs are routinely prescribed in nursing homes, costing Medicare more than $200,000,000 per year. Yet a new study indicates that they are being erroneously prescribed, particularly in the less well regarded nursing homes.
The political and cost implications of this are best left discussed elsewhere, but there is a serious physical consequence in taking any kind of un-necessary medication, one that many seniors seem to be paying in many of these facilities. If nothing else, this should show the importance of choosing your assisted living facilities with great care and diligence.
Posted on May 10, 2011 by Erin
Last week, Housing Secretary Shaun Donovan was given the opportunity to stand before the Senate Banking Committee and plead his case on The Department of Housing and Development’s (HUD) 2012 appropriation request. Donovan argued it is critical that Congress restore funding for HECM counseling – HUD is requesting $168 million.
Just a few weeks ago, 88 million dollars was eliminated from fiscal year 2011′s budget for counseling. This is an issue for seniors because HUD guidelines require HECM counseling before borrowers are allowed to go through with the loan process. According to Donovan, if funding is not restored, after October 1st of this year, the expense will fall on seniors who are interested in a HECM Reverse Mortgage.
Posted on May 10, 2011 by Jason
Alzheimer’s Disease is one of the scariest diseases in the book, and unsurprisingly, a major concern of seniors, as well as those who expect to live as long. The search for conclusive proof as to the cause, or even for contributing factors, has been long and more or less fruitless. Today, Reuters reports that a US government panel investigating the causes of Alzheimer’s announced that they have been unable to determine a link between lifestyle or diet and the development of Alzheimer’s.
Where does that leave seniors trying to avoid this disease? Well the report did indicate that some of the usual unhealthy factors, diabetes, high cholesterol, and smoking, all have some impact in developing the disease. As such, seniors are urged for this and many other reasons to remove themselves if at all possible from the above categories. In general however, it seems that the best defense is simply “healthy living”, as with so much else.
Posted on May 5, 2011 by Jason
It appears in recent days that the House republicans have been backing down on their proposed plan for replacing Medicare with a voucher-based system to control the spiraling costs of the federal program. While this is probably a move designed to enable a deal to be worked out over the impending debt ceiling increase, it still leaves Medicare’s ultimate future in flux.\
Whatever alterations are made to Medicare are unlikely to affect those currently receiving benefits, but those who are turning 65 in a few years would be well advised to consider their retirement plan in the light of possible changes to the program, and decide whether supplemental coverage is likely or not to assist them in their overall retirement strategy.
Posted on May 4, 2011 by Jason
Admittedly, not as many people are retiring early nowadays, but for those who are, one of the biggest challenges is finding affordable ways of getting health insurance. Almost no companies offer continuing health insurance benefits to retirees anymore, so until you reach the age of 65 and the protection of Medicare, you are unlikely to have any means but privately-purchased ones to get insurance.
COBRA is the obvious answer of course, but COBRA requires that you be able to afford such coverage, that your previous employer offers a COBRA program, and for that matter, that your previous employer remains in business (not a guarantee in these uncertain times). If COBRA’s not an option, there are other possibilities that recommend themselves, solutions that range from a part time job to qualify for health care benefits, to unofficial risk-pooling systems of insurance or PCIPs.
Posted on May 3, 2011 by Jason
Working people today are stretched. Most of us know that saving for retirement is important, and might have even heard the figures about the “optimal savings rate” (usually posited at around 10% of take-home pay). But knowing what we would be saving in a perfect world is one thing. Being able to actually save that much (or anything at all) is quite another. A lot of people find themselves choosing between everyday vital expenses like food, rent, and utilities, and saving.
In circumstances like that, it’s not exactly a surprise that more people are choosing to eat rather than save for retirement.
