Posted on May 10, 2012 by Rohith
Social Security now provides a service to all that will provide you with your Social Security statement online. It will provide you with the estimated Social Security and Medicare taxes you’ve paid, information about qualifying and signing up for Medicare, things to consider for those age 55 and older who are thinking of retiring, and many other pieces of information that can be useful for planning your retirement. All of the provisions can be found here. To get your Statement online, you must create a my Social Security Account.
Are you considering retirement or having trouble deciding on when to take your Social Security benefits? Use our Free Retirement Calculator as well as our Social Security Calculator
Posted on March 19, 2012 by Steve
Not very – consider some of these stats from a recent NYT article on the impact of the 2008 financial crisis:
- 36% of American workers age 55 to 64 say they have less than $25,000 in retirement savings
- 52% of American workers age 45 to 54 say they have less than $25,000 in retirement savings
- 33% of retirees get more than 90% of their income from Social Security (the avg SS payment is ~ $1,000 per month)
- 17 % of workers have defined-benefit pensions
- 39 % have 401(k)’s
- 53 % of all workers have neither…
To compound the problem some professional investors are predicting lower long term returns for stocks of about 5% vs. 8-9% historically, based on the historical relationship with bonds which are now providing lower returns.
Anyway – some things to consider as you plan your own future. Good luck!
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 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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Posted on December 30, 2011 by Erin
It’s that time of year again – Time to make those New Year’s Resolutions! This year while you’re thinking about all the ways to improve yourself or your life in 2012, don’t forget to add improving your retirement plan to that list!
What do you plan on achieving this coming year to help strengthen your retirement? Are you going to invest more money into your IRAs of 401(k)s? Are you going to purchase a lifetime annuity to guarantee income later in life? Or are you going to look into Long Term Care Insurance to make sure you are covered in case of unexpected medical costs? There are many small adjustments that you can do to increase the health of your retirement plan. You can use our retirement calculator to see what a small adjustment can do for you and how far your money will stretch. We’ll be here in the New Year to continue to help with all of your retirement planning needs – Have a Happy New Year and see you in 2012!
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Posted on December 13, 2011 by Erin
In a continuation of end of year retirement fund reminders and wrap ups, it’s a good time to let you know about two important dates that are coming up very quickly. The first is December 31st. This is the last day of the year that you can make a 401(k) contribution that will count for your 2011 tax return. So if you haven’t put in $16,500 (or $22,000 if you’re over 50), you better hurry up! You only have a few weeks.
Next up is of course, tax day, April 17th. We know it’s only December, but this is a date that seems to sneak up on a lot of people every year. After the clock strikes midnight and it turns into 2012, you can still make IRA contributions up until April 17th, but you will need to be specific as to what year it is for. The financial institution that holds your IRA will assume that the contribution is for the year that you made the deposit.
Two very important dates that can help you save more for your retirement!
Do you have to play catch up with your retirement savings? Use our retirement calculator to see where you stand.
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Posted on December 8, 2011 by Erin
This year, workers have continued to contribute to their 401(k) plans, yet the money in those accounts continues to drop. According to Fidelity, the balances have dropped almost 12 percent from June through the end of September. How can it be that more people are investing more money while their work places are matching, yet these people seem to be further away from their retirement savings goals now than they ever were before?
A few different reasons. Remember the credit downgrade from Standard and Poor’s 500 index and the European debt crisis earlier this year? These helped the markets become shakier than they were previously and the stock market reacted by declining. Luckily, because 401(k)’s usually include a mix of bonds along with those volatile stocks, the damage was less than it could have been. Bonds saw good investment gains in the third quarter of this year which helped to offset the deep declines from stocks. Fidelity also reported seeing a small increase in hardship withdrawals from 401(k) which also contributed to the decline in balances.
Is your money still in a 401(k)? Do you intend to keep it where it is or do you have other plans?
Relying heavily on 401(k)’s for your retirement income? See how safe you are from volatile markets by using our retirement calculator.
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Posted on December 2, 2011 by Erin
We go over how to prepare you for your retirement a lot on this blog. But it never hurts to keep reminding people what it will take to make sure they will have enough money to last their entire lives. Typically, if you retire at age 65, you will have to fund over 20 years of retirement. If you’re a woman, that number increases. So what can you do? First off, start here at our retirement calculator. You can enter your information and then change it around to see what one small move can do to help make your retirement plan a little stronger.
Next, sit down and think about what decisions you can make today that can greatly affect you in the future. One, is pushing back your retirement date feasible for you? Would you be able to physically and mentally handle a few more years of working? The longer you work, the longer you can contribute to your 401(k) and each additional year of working is one less year of supporting yourself on retirement funds. Can you delay social security? This alone guarantees you a better annual rate of return. Look into annuities and make sure you can protect yourself with long term care insurance. Unexpected medical bills can ruin the best of retirement plans if not planned for. Try playing around with the retirement calculator and see what happens to your outlook when you make changes.
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Posted on December 1, 2011 by Erin
Yesterday we told you about a study that showed young investors are no better prepared for retirement than the boomers before them, and that in some cases, are actually less educated about their investments. Well on Monday, the Pew Research Center released a study that shows the wealth gap between the younger and older generations is indeed getting much wider.
Right now, the gap is the biggest it has ever been in recorded history. Older Americans are actually increasing their net worth while younger Americans are seeing noticeable declines. Why is this happening? Well for starters, kids graduating from college are facing an extremely difficult economy. Many times people in this age group have no choice but to delay their careers because they simply cannot find work. Others choose to continue with their education by going back to school . Although higher education typically means higher paychecks down the road, the loan amounts that students today are acquiring are much larger than the generations before. The fear is that if this trend continues, this younger generation will never be able to play catch up and the future for both them and the country’s economy may be dim.
How far along are you with your retirement planning? Are you further ahead than most? Try out our Retirement Calculator to see where you stand.
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