social security http://www.wisebread.com/taxonomy/term/3387/all en-US If You're Lucky Enough to Receive a Pension, Here Are 6 Things You Need to Do http://www.wisebread.com/if-youre-lucky-enough-to-receive-a-pension-here-are-6-things-you-need-to-do <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/if-youre-lucky-enough-to-receive-a-pension-here-are-6-things-you-need-to-do" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/iStock-519505869.jpg" alt="Man receiving pension and doing these things" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>Pensions are becoming a thing of the past &mdash; so if you're still entitled to one, consider yourself lucky. Once you have a pension, however, what will you do with it? How will you manage it? Here are a few suggestions on how to handle your well-earned windfall.</p> <h2>1. Request an Updated Pension Statement Annually</h2> <p>Call me crazy, but I check my bank account every morning when I wake up. It's all still there each day, but I don't like to take any chances. You need to keep an eye on your pension, too. Granted, you don't need to check in every day, but you should request an update once a year.</p> <p>&quot;Like your Social Security benefits, your pension benefit amounts can change,&quot; explains Brannon T. Lambert, owner of the investment firm Canvasback Wealth Management. &quot;Not only that, but pensions can have several options for payouts, survivor benefits, or cash out options. You want to know every option available to you especially if you are married or have dependents.&quot;</p> <h2>2. Weigh Your Payout Options Carefully<strong> </strong></h2> <p>Before the IRS passed a law in 1978 to make self-funded 401Ks possible, many companies provided employees pensions &mdash; a fund that accrued in value over time to ensure that their employees were at least modestly supported through their retirement. That's all but reversed nowadays. In 1979, 28% of all workers were <a href="https://www.ebri.org/publications/benfaq/index.cfm?fa=retfaq14" target="_blank">enrolled with pension plans</a>, whereas only 2% of today's workforce is enrolled. Conversely, between 95% and 98% of employers <a href="http://www.cheatsheet.com/personal-finance/5-best-ways-for-companies-to-improve-401k-plans.html/?a=viewall" target="_blank">offer 401K plans</a>. Go figure.</p> <p>When it's time to receive your pension, the first decision you'll need to make is how you want to receive the money&mdash; which, in turn, raises many important questions. Morgan Christen, CFA at Spinnaker Investment Group in Southern California, explains your options.</p> <p>&quot;Pension planning involves many decisions that are irrevocable; anyone that will receive a pension should learn about all of the payout options,&quot; he says. &quot;Do you want to receive income for your life? Do you want to make sure a spouse is covered should you pass away? If you want to cover a spouse, how much of your benefit do you want that person to receive &mdash; 100%, 75%, or 50%?&quot;</p> <p>These are all things to think about when it comes time to take your pension. Keep in mind that if you want to cover a spouse, you will be taking a reduced amount on a monthly basis &mdash; and if your spouse predeceases you, you may not be able to change course.</p> <h2>3. Investigate the Social Security Offset Provisions<strong> </strong></h2> <p>You may expect a certain dispersed dollar amount each month when your pension begins, but you could be caught off guard if it changes down the road. Your Social Security payments may be the culprit.</p> <p>&quot;Some pensions come with Social Security offset provisions,&quot; Lambert explains. &quot;This means that your pension benefit amount could be one dollar figure initially, but once Social Security benefits begin, your pension will be reduced somewhat depending how much they offset. It could possibly be dollar-for-dollar up to a preset limit. This can come as a big surprise if you are not aware of it.&quot;</p> <h2>4. Research Your Investment Opportunities<strong> </strong></h2> <p>If you want to roll the dice with your pension, that's your prerogative &mdash; but you need to go into any investment situation well-informed of what you're getting into. This is money that needs to last the rest of your life, and you don't want to squander it because of poor decision-making. Do you research and get level with expectations so you're not blindsided by bad news.</p> <p>&quot;When it comes to pensions, many people assume that the managers of the funds will do the investment on behalf of the participants, which is rarely true,&quot; says Justin Kumar, senior portfolio manager at investment firm Arlington Capital Management in Arlington Heights, Ill. &quot;Participants must elect their investment options from the lineup of available funds, but if they do not, they will often be invested in the default option. The problem is that the default is usually some type of cash or money market equivalent funds. Although these funds may be a safer option, they will not participate in market uptrends, leaving participants confused at the end about why they may not have more money.&quot;</p> <p>Furthermore, for those participants with limited investment options, there may be language in the pension plan documents that specifies an age &mdash; such as 55 or 59 1/2 years old &mdash; in which pension funds can be rolled over by a participant into an IRA, thus allowing access to a greater universe of investment possibilities. Participants should consult with their pension consultants and perhaps with an outside adviser to determine the best course of action when making these investment decisions.</p> <h2>5. Avoid Greedy Financial Advisers<strong> </strong></h2> <p>How do you know if a financial adviser has your best interest at heart? Mark Zoril, founder of the retirement-planning firm PlanVision, reveals how to spot the con artist.</p> <p>&quot;As someone evaluates and reviews their options, it is important to understand the pros and cons of taking the pension or transferring it to an IRA,&quot; he says. &quot;Unfortunately, far too many advisers' compensation is directly impacted by what someone does with their pension. Therefore, they are strongly incentivized to convince people of the benefits of cashing out their pension. In fact, a transfer from a pension can be a very strong payday for an adviser.&quot;</p> <p>This applies to so-called &quot;fiduciary&quot; advisers as well.</p> <p>&quot;Many of these advisers promote how they are 'fee only' and offer objective guidance,&quot; Zoril adds. &quot;However, if they charge their clients based upon assets under management &mdash; the most common model of advisers &mdash; they have a huge conflict of interest in providing guidance on this particular topic.&quot;</p> <p>It's important that you seek the guidance of a professional &mdash; perhaps someone you know well in that field, and not someone who's blinded by your potential investment &mdash; regarding your pension plan to fully understand whether or not the advice you're seeking will be influenced by their adviser's compensation. This presents a real risk to your evaluation process.</p> <h2>6. Plan for the Taxes You're Required to Pay<strong> </strong></h2> <p>Your pension is not tax-free. It will be taxed as regular income. You need to plan and save for that bill so you stay in good standing with the IRS. You don't want to spend your golden years in the slammer, do ya?</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/mikey-rox">Mikey Rox</a> of <a href="http://www.wisebread.com/if-youre-lucky-enough-to-receive-a-pension-here-are-6-things-you-need-to-do">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-things-your-financial-planner-isnt-telling-you-about-retirement">5 Things Your Financial Planner Isn&#039;t Telling You About Retirement</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-states-with-the-lowest-taxes-for-retirees">7 States With the Lowest Taxes for Retirees</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-ways-to-guarantee-income-in-retirement">6 Ways to Guarantee Income in Retirement</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-much-do-i-need-to-retire-how-much-can-i-spend">How much do I need to retire? How much can I spend?</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement">6 Smart Ways to Boost Your Social Security Payout Before Retirement</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement fiduciary financial advisers investment opportunities payout pensions social security taxes Tue, 21 Feb 2017 11:00:11 +0000 Mikey Rox 1894200 at http://www.wisebread.com 5 Financial Moves Now That You'll Regret When You Retire http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/5-financial-moves-now-that-youll-regret-when-you-retire" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/money_uh_oh_175531215.jpg" alt="Learning financial moves now that you&#039;ll regret when you retire" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>We all make thousands of decisions every day. Come tomorrow, many of them won't matter much at all. But some decisions do have long-lasting implications. Here are five choices that may leave you longing for a do-over in retirement.</p> <h2>1. Borrowing From Your 401K</h2> <p>It's relatively easy to borrow from most 401K plans. However, the purpose of your 401K isn't to save for a down payment on a house or college bills. It's to build a nest egg for retirement. The more you nibble away at that, the less you'll have for your later years. The best approach? Consider your workplace retirement funds to be off limits &mdash; until retirement.</p> <h2>2. Resetting Your Mortgage Clock Past Your Retirement Age</h2> <p>Interest rates are very low, which has prompted many people to refinance their mortgages. It can be wise to swap out a high interest rate loan for one at a lower rate. However, if this is the home you plan to live in during retirement, make sure your new mortgage will be retired by the time you are. That may mean opting for a shorter term (15 or 20 years instead of 30) or committing to making extra monthly payments. (Use <a href="http://financialmentor.com/calculator/mortgage-payoff-calculator">this calculator</a> to help you figure out how much extra to pay.)</p> <h2>3. Claiming Social Security Too Early</h2> <p>There are some people who may benefit by claiming their Social Security benefits at the earliest possible age &mdash; 62. If longevity doesn't run in your family or if you absolutely have no other options but to take the money sooner than later, go ahead. But good things come to those who wait. When it comes to delaying the start of Social Security, those who can hold off will get quite a boost in benefits.</p> <p>When I looked up my own benefits (<a href="https://secure.ssa.gov/SiView.do">here's where to look up yours</a>), I saw that I'm eligible for $1,780 per month if I claim benefits at age 62. If I wait until my Full Retirement Age of 67, that amount jumps to $2,694 &mdash; a 51% increase. And if I wait until age 70, I would receive $3,441 per month &mdash; nearly twice as much as my age-62 benefit.</p> <p>And here's the other benefit from waiting. Men, I hope I'm not the first to break this to you, but you're probably going to die before your wife, unless she's a lot older than you are. And if your Social Security benefit is larger than hers, the more you can maximize yours, the more it'll benefit your wife once you're gone. That's because upon your death, she'll have the choice of continuing to take her benefit or yours.</p> <p>Social Security claiming strategies are so varied, complex, and important that it would probably benefit you to seek additional guidance via <a href="http://www.socialsecuritysolutions.com/">Social Security Solutions</a> or <a href="http://maximizemysocialsecurity.com/">Maximize My Social Security</a>.</p> <h2>4. Ignoring Inflation</h2> <p>I talked with a newly-retired woman recently who thought she was set for life. She took her savings, divided by her estimated number of years remaining, and was satisfied with her answer. Until I rained on her parade by asking how she planned to account for inflation.</p> <p>She didn't like the idea of investing any of her money in the stock market because she thought that was too risky. And yet, keeping all of her money in a bank savings account virtually guarantees that her buying power will steadily decline. Even a modest annual inflation rate of 2% will cut buying power nearly in half over the course of a 30-year retirement.</p> <p>Most retirees will need to accept the idea of maintaining some level of exposure to the stock market with their investment portfolio in order to make sure their money lasts as long as they do.</p> <h2>5. Counting on Paid Work in Your Later Years</h2> <p>One of today's most significant retirement-related disconnects is the difference between the number of today's workers who are planning to work in retirement (I know, it sounds like an oxymoron) and the number of retirees who actually do still work.</p> <p>An increasing number of people still in the workforce are pushing back their retirement date &mdash; some because they want the mental stimulation that comes from work, some because they realize they'll need the money. And yet, nearly half of people who are now retired left the workforce sooner than intended, many times because of health issues.</p> <p>By the same token, nearly two-thirds of today's workers expect to work for pay to some degree after retiring from their main career, whereas less than one-third of those who are now retired have worked for pay since ending their main career.</p> <p>The best advice? Plan physically, emotionally, and vocationally to work longer than you might prefer while you plan financially to retire earlier than you think you will.</p> <p>Clearly, what you don't do as you prepare for a successful retirement is just as important as what you do. Avoiding the five miscues just discussed will help you prepare well.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/matt-bell">Matt Bell</a> of <a href="http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-4"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/12-money-moves-to-make-the-moment-you-decide-to-retire">12 Money Moves to Make the Moment You Decide to Retire</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement">6 Smart Ways to Boost Your Social Security Payout Before Retirement</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/4-of-the-fastest-ways-to-go-broke-in-retirement">4 of the Fastest Ways to Go Broke in Retirement</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-much-can-you-afford-to-spend-in-retirement">How Much Can You Afford to Spend in Retirement?</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/stop-falling-for-these-6-social-security-myths">Stop Falling for These 6 Social Security Myths</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement 401k full retirement age inflation Mistakes money moves mortgages regrets social security Thu, 01 Dec 2016 11:00:08 +0000 Matt Bell 1843961 at http://www.wisebread.com Stop Falling for These 6 Social Security Myths http://www.wisebread.com/stop-falling-for-these-6-social-security-myths <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/stop-falling-for-these-6-social-security-myths" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/social_security_card_76556001.jpg" alt="Learning to stop falling for social security myths" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>Over 166 million taxpayers pay into Social Security, which pays benefits to over 65 million Americans. As with any program as large and sprawling as Social Security, myths about how it works can run rampant &mdash; and since the facts tend to require more than a sound bite to explain, those myths become entrenched in our collective consciousness as fact.</p> <p>But not only are these Social Security myths untrue, believing them can cause you to make poor decisions about your Social Security benefits. Here are six of the most common and harmful myths about Social Security, debunked:</p> <h2>1. The Government Is Raiding the Social Security Trust Fund</h2> <p>You will often hear people complain about how untrustworthy our government is, and offer the fact that Congress &quot;raids&quot; the Social Security Trust Fund as proof. While it is true that the Trust Fund is where excess Social Security taxes are placed for future beneficiaries, and it is also true that the government uses money in this account to pay for government programs, it is simply not true that the fund is being &quot;raided.&quot;</p> <p>Here's what's going on. Money placed in the Social Security Trust Fund may sound like it is being put in a vault somewhere for the safekeeping of future beneficiaries. But that's not how money works. Not only would that be a security risk, but the money in such a vault would lose value to inflation. In order to maintain and increase the value of the trust fund, the money must be invested in government programs.</p> <p>Think of it this way: Any time you invest money commercially &mdash; whether by putting it in an interest-bearing bank account or by buying stocks or bonds &mdash; you are probably aware that the institution is immediately spending the money you have invested. The private institution spends your investment with the understanding that it will earn profits and be able to pay you back, with interest.</p> <p>The government is no different. It spends money invested in the Social Security Trust Fund on infrastructure, military spending, government salaries, welfare, and the like, knowing that those investments will earn interest. But unlike a private institution, this kind of government spending is backed by the full faith and credit of the U.S. government.</p> <p>The government's spending of money from the Social Security Trust Fund is just as valid a use of invested money as is the lending and spending that a bank or corporation does with investors' money.</p> <h2>2. Social Security Is Going Bankrupt</h2> <p>This myth is based on a kernel of truth &mdash; specifically, Social Security benefit payments exceed payroll tax revenues and have done so since 2010. In order to maintain promised benefits, Social Security has had to dip into the Social Security Trust Fund. As of 2013, the Trust Fund began losing value, and it will become entirely depleted by 2037.</p> <p>This is the point at which most analysis stops, and that is why you will often hear the myth that Social Security is circling the drain. But it is impossible for Social Security to go bankrupt, because it was always designed as an immediate transfer of funds from current workers to current beneficiaries. (When there were more workers than beneficiaries, excess taxes were placed in the Trust Fund. This was the case until 2009). The program does not count on a specific pool of money, but on the tax revenue of current workers.</p> <p>That being said, once the Trust Fund is depleted, tax revenue is only expected to pay for approximately 79% of promised benefits. This is the shortfall you will hear experts referring to when discussing the future of Social Security. But it does not spell the end of the program. It is just a shortfall that we need to find a way to make up.</p> <p>Social Security was created specifically so it could be changed and tweaked to meet the changing needs of Americans &mdash; changing needs like this anticipated shortfall. We might have little faith in Washington right now, but it is specifically the job of our government to make changes to Social Security to deal with this coming shortfall. Eventually, they'll get around to it.</p> <h2>3. It's the Baby Boomers' Fault We're in This Mess</h2> <p>There are plenty of articles out there that place the blame for Social Security's financial woes squarely at the feet of the baby boomer generation &mdash; the largest-ever generation of Americans, born between 1946 and 1964. There are 76 million baby boomers, and having that many people retire over a couple of decades places an enormous burden on Social Security. Since our system is based upon an immediate transfer from current workers to current retirees, having the boomers retire all at once puts too many retirees into the equation.</p> <p>But the boomers' retirement is hardly a surprise. They've been around for six or seven decades now, and we have seen this mass boomer retirement phase coming for many years. According to Virginia P. Reno and Joni Lavery in the Social Security brief <a href="https://www.nasi.org/usr_doc/SS_Brief_022.pdf">Can We Afford Social Security When Baby Boomers Retire?</a>, &quot;Policymakers began to plan as early as 1983, when Congress lowered the cost of Social Security benefits for boomers and later generations by raising the age at which unreduced retirement benefits will be paid.&quot;</p> <p>Believe it or not, our government has been trying for quite some time to prepare for this moment. Part of the reason we had such a surplus in the Social Security Trust Fund was because of our preparation for the mass retirement of the boomer generation. We are far better prepared for the boomers than many doomsayers might have you believe.</p> <h2>4. Waiting for Benefits Means You Risk Not Getting Your Fair Share</h2> <p>It is possible to take Social Security benefits as early as age 62, although your benefits will be permanently reduced by up to 25% to 30 percent by taking them early. Wait until your full retirement age (66 for individuals born between 1943 and 1954, rising to age 67 for anyone born in 1960 or later), and you will receive your full benefits. If you can wait until age 70, you will receive delayed retirement credit equal to approximately 8% per year between your full retirement age and 70.</p> <p>If you calculate the break-even analysis on your Social Security benefits, it often looks like you're better off by taking early benefits. Early, reduced benefits offer you more lifetime benefits for nearly 15 years into the break-even analysis.</p> <p>The problem with this thinking is that the only way for you to &quot;win&quot; these calculations is to die young. It would actually be far worse for you to take early benefits and then live a long life on a reduced income. It is much smarter to delay your benefits as long as possible to provide yourself with the largest benefit you can get.</p> <h2>5. Immigrants Are Taking Social Security Benefits They Didn't Pay For</h2> <p>This myth is an election year favorite, and it conflates Social Security benefits with Supplemental Security Income (SSI) benefits. Social Security benefits are only available to beneficiaries who either paid into the system themselves, or who are the dependents of those who paid into the system. If you have not paid any Social Security payroll taxes (or you haven't been the dependent of someone who has), you are not getting Social Security benefits. Period.</p> <p>SSI, on the other hand, is a welfare program designed to provide aid to the elderly and disabled, and SSI benefits are paid through general governmental revenues. Immigrants are eligible to collect SSI benefits, but only if they show the same level of extreme need as any other SSI beneficiary.</p> <h2>6. Privatizing Social Security Would Make the System Fairer</h2> <p>The possibility of privatizing Social Security is a common suggestion for fixing many of the problems inherent in such a large government program. These suggestions often promise that privatization will be cheaper for the government, more lucrative for beneficiaries, and fairer for everyone since you will get out what you put in.</p> <p>Unfortunately, none of those three promises would be true. Social Security is a very efficiently run program, with administrative expenses totaling less than 1% of the program's budget. But creating and maintaining individual investment accounts would be incredibly expensive, since it would incur broker commission fees and/or mutual fund management fees, which would either come from the program budget or individual investors.</p> <p>In addition, it is unlikely that the majority of beneficiaries would be able to improve upon their Social Security &quot;return on investment&quot; through investment accounts, since humans are notoriously irrational investors. Social Security benefits are guaranteed, while investment returns are not.</p> <p>Finally, attempting to create pay-for-what-you-get fairness in a social insurance program like Social Security is a non-starter. The intention of Social Security is to provide guaranteed income to the elderly, the disabled, and their families, by spreading the cost of that income over all of society. Strict fairness in such a system would leave our most vulnerable citizens in abject poverty or worse. It's also important to note that the transition costs of privatizing Social Security have been estimated at nearly <a href="http://www.ncpssm.org/Document/ArticleID/14">$5 trillion over the first two decades</a>. Those costs would need to be paid by current workers, who would potentially be paying into their privatized accounts and still be paying taxes that go toward current beneficiaries &mdash; which would feel incredibly unfair.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/emily-guy-birken">Emily Guy Birken</a> of <a href="http://www.wisebread.com/stop-falling-for-these-6-social-security-myths">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-7"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement">6 Smart Ways to Boost Your Social Security Payout Before Retirement</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-to-plan-for-retirement-when-you-re-ready-to-retire">How to Plan for Retirement When You’re Ready to Retire</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/tiny-nestegg-retire-abroad">Tiny Nestegg? Retire abroad!</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">5 American Cities Where You Can Retire On Just Social Security</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire">5 Financial Moves Now That You&#039;ll Regret When You Retire</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Personal Finance Retirement baby boomers benefits Congress full retirement age government immigrants myths privatized social security ssi Mon, 07 Nov 2016 10:30:29 +0000 Emily Guy Birken 1827091 at http://www.wisebread.com Don't Panic: Do This If Your Identity Gets Stolen http://www.wisebread.com/dont-panic-do-this-if-your-identity-gets-stolen <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/dont-panic-do-this-if-your-identity-gets-stolen" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/data_breach_58553266.jpg" alt="Learning what to do if your identity gets stolen" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>The Bureau of Justice Statistics (BJS) reported that in 2014, 17.6 million Americans aged 16 or older were <a href="http://www.bjs.gov/content/pub/pdf/vit14_sum.pdf">victims of identity theft</a>. That, alone, is a scary fact. And to be honest, when anyone says the phrase &quot;identity theft,&quot; most of us picture lives being upended, years of court cases, and bank accounts being wiped out.</p> <p>But let's look a little deeper into this issue, because while it is definitely something to keep on your radar, identity theft is a broad term. Plus, these days, with so many people being affected, there are more resources available than ever before to help you out. So before you go into full-blown panic mode&hellip;read on.</p> <h2>It's Highly Unlikely Someone Will Actually &quot;Steal&quot; Your Identity</h2> <p>Of the 17.6 million Americans that were victims of identity theft in 2014, only 4% of them actually had their personal information used to open a new account. Think about that for a second, and you should already be feeling much more calm. The chances of someone actually pretending to be you, opening up account everywhere in your name, and sinking you into a world of pain, are very slim indeed. Sadly, media outlets and the news don't like to cover that, because it's not sexy, and it doesn't get ratings. That's why the identity theft stories you hear about are horrific. But in reality, it is highly unlikely that you will have your literal identity stolen.</p> <h2>Identity Theft Is a Very Broad Term</h2> <p>The phrase itself puts most people in a cold sweat, but it covers a lot of different aspects of the crime. The vast majority of identity theft crimes, around 86%, are tied to the misuse of a credit card or bank account. That's it. Someone grabs your digits, takes out some cash, and calls it a day before the card gets canceled. Or, they withdraw a bunch of money and move on to someone else's account. Either way, it's quick and dirty, but rarely goes beyond that level of theft. And as the next point proves, it's not worth worrying about&hellip;</p> <h2>Credit Card and Bank Account Misuse Is Covered</h2> <p>If someone manages to get hold of your credit card, either by stealing or cloning it, they will undoubtedly go on a shopping spree. But you don't have to worry. While the initial shock of seeing thousands in charges you didn't accrue is horrifying, you are not on the hook for it. Card issuers and bank accounts cover you <a href="https://www.consumer.ftc.gov/articles/0213-lost-or-stolen-credit-atm-and-debit-cards">for most (and generally all) of the theft</a>. You will get all of those funds put back onto your account, usually very quickly, and the card issuer or bank will take the hit and investigate the crime. Sadly, very little of this money is recovered from the thieves who did the spending. Unless there is CCTV footage of them committing the crime, and significant evidence to track them down, they'll get away with it. But rest assured, you won't have to foot the bill.</p> <h2>Over 52% of Identity Theft Victims Resolve the Problem in a Day or Less</h2> <p>Not years. Not months. Not weeks. Just one day. That should come as great comfort if you're worried about the time and expense it could take to sort out the mess some nasty crook has created for you. And here's further cause to relax&hellip;only 9% of victims spent more than a month trying to get their lives back on track, and even then, it was not a month taken off work, fighting eight hours a day, seven days a week. It is simply a process that can take time to get right.</p> <h2>This Is a Common Problem, So You'll Get Help</h2> <p>When identity theft first popped up, it was hard to get card issuers and banks to listen to the facts. But these days, that has all changed. There were more victims of identity theft in 2014 than <a href="https://ucr.fbi.gov/crime-in-the-u.s/2014/crime-in-the-u.s.-2014/offenses-known-to-law-enforcement/property-crime/property-crime">there were property crimes</a>, so it's definitely on law enforcement's radar. Most credit card companies monitor accounts very closely, and track your spending habits. They will often shut down a card immediately if they believe there is suspicious activity going on &mdash; for instance, an unusually large purchase, many purchases in one day, or purchases made out of state.</p> <p>If your card is stolen, report it the moment you notice it is gone, or has been cloned. If you see a new account has been opened in your name, report that immediately. These companies want your business, and they are setup to handle this kind of crime.</p> <h2>It's Easy to Stop Identity Theft in Its Tracks</h2> <p>These days you have resources and tools to monitor your accounts and your credit reports. The Federal Trade Commission (FTC) puts this kind of protection into two basic categories.</p> <h3>Credit Monitoring</h3> <p>This tracks activity on your credit reports, and notifies you if a company checks your credit history, a new account is opened in your name, a debt collector reports a late payment, your credit limits change, or your personal information changes. It's worth noting that this isn't actually protection, but a warning. However, once you're alerted, you can act on that information.</p> <h3>Identity Monitoring</h3> <p>This alerts you when personal information, including your driver's license, passport, Social Security number, medical ID number, or bank account information, is used in ways that don't show up on your credit report.</p> <p>You will already know of major identity theft protection sites and services out there, including LifeLock, CompleteID, IdentityGuard, and IDShield. Your bank account and credit card issuers may also have their own version of identity theft protection for you to take advantage of. All of these services require a nominal monthly fee, but for the peace of mind offered, it's worth it.</p> <h2>Criminals Need More Than Just Your Personal Information</h2> <p>If you see a news story talking about a data breach, take the time to find out what has actually been stolen. As Time reported in 2015, criminals can do very little with your name, birth date, and email address. Even with your address and phone number on top of that, they aren't going to be able to do much without a SSN and/or account numbers and passwords. The most they can do is some kind of &quot;phishing&quot; scam, where they will use your personal information to try and get money out of you in some way, via phone or email. But use your common sense, and never respond to a cold call or email. Always contact a business yourself to verify this.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/paul-michael">Paul Michael</a> of <a href="http://www.wisebread.com/dont-panic-do-this-if-your-identity-gets-stolen">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-3"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/phishing-scams-continue-to-plague-social-media-sites">Phishing Scams Continue to Plague Social Media Sites</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/is-credit-monitoring-ever-worth-it">Is Credit Monitoring Ever Worth It?</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-to-protect-yourself-from-an-investment-scam">How to Protect Yourself From an Investment Scam</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-simple-ways-to-protect-yourself-from-medical-records-theft">7 Simple Ways to Protect Yourself From Medical Records Theft</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-to-spot-a-charity-scam-from-a-mile-away">How to Spot a Charity Scam From a Mile Away</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Life Hacks Consumer Affairs credit monitoring data breach fraud hacked identity theft illegal phishing scams social security stolen money Tue, 25 Oct 2016 10:30:09 +0000 Paul Michael 1819826 at http://www.wisebread.com 5 Ways American Retirement Is Changing http://www.wisebread.com/5-ways-american-retirement-is-changing <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/5-ways-american-retirement-is-changing" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/older_woman_retirement_93789725.jpg" alt="Woman learning ways American retirement is changing" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>Somebody once said, &quot;Retirement can be a great joy if you can figure out how to spend time without spending money.&quot; And because of the ever-rising cost of living, this quote is more true than ever. The whole concept of retirement isn't what it used to be, and retirement planning sure isn't, either.</p> <p>Just like you can expect to require a higher goal for your nest egg for a comfortable retirement, you can expect many other ways in which your retirement life will be different from that of previous generations. Let's reviews some of the ways the scope of retirement is changing in the U.S., including financial and social changes.</p> <h2>1. Fewer Americans Expect Social Security as Major Source of Income</h2> <p>More and more American workers are expecting Social Security to play a smaller role in their income during retirement. In 2016, only 35% of U.S. workers expect Social Security to be a <a href="https://www.ebri.org/pdf/briefspdf/EBRI_IB_422.Mar16.RCS.pdf">major source of income</a> in retirement. There are two reasons behind this. First, 32% of workers aren't confident in the ability of the Social Security Administration (SSA) to continue providing benefits of at least equal value to the benefits provided to current retirees. Second, given this lower confidence in the SSA, 46% of workers expect employer-sponsored retirement saving plans to be a major source of income in 2016, up from <a href="https://www.ebri.org/pdf/briefspdf/EBRI_IB_03-2010_No340_RCS.pdf">43% in 2010</a>.</p> <h2>2. More Americans Are Postponing Their Retirement Age</h2> <p>Given that nearly seven in 10 Americans have less than $1,000 saved for retirement, it shouldn't be surprising that 77% of them are postponing retirement. For 26 years, the Retirement Confidence Survey from the Employee Benefit Research Institute (EBRI) has been tracking the American worker's confidence in their ability to afford a comfortable retirement. This survey is clearly showing an increasing retirement age trend over the long-term.</p> <p>The good news is that upon reaching your full retirement age, ranging from 65 to 67 depending on your birth year, you get 100% of the benefits that you're entitled to. For every additional year past your full retirement age that you wait to retire, you can get up to an 8% increase in benefits through delayed retirement credits from the SSA. (See also: <a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement?ref=seealso">6 Smart Ways to Boost Your Social Security Payout Before Retirement</a>)</p> <h2>3. More Americans Are Expecting to Never Retire</h2> <p>Never retiring may seem like a strange notion, but consider that continuing to work part-time or full-time past age 70-1/2 can allow you to delay your required minimum distributions from certain retirement plans, including traditional 401Ks, Roth 401Ks, and IRAs. By rolling over your old retirement account to an eligible new employer-sponsored plan, you can continue to contribute to your new retirement plan and delay applicable income taxes. Not everybody can do this, such as those who are <a href="https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-required-minimum-distributions">owners of 5% or more</a> of the business sponsoring the retirement account.</p> <p>Before trying this strategy, consult with your previous and new retirement plan administrators and your financial adviser to avoid any potential penalties and have a full picture of the process.</p> <h2>4. $2 Million Is the New $1 Million</h2> <p>More and more financial advisers are making the case to upgrade the old rule of thumb of $1 million for retirement to $2 million. Consider the following:</p> <ul> <li>In 2016, the <a href="http://www.usnews.com/education/best-colleges/paying-for-college/slideshows/10-student-loan-facts-college-grads-need-to-know">average student loan balance</a> was $37,172, <a href="http://blogs.wsj.com/numbers/congatulations-to-class-of-2014-the-most-indebted-ever-1368/">up from $33,000</a> two years earlier.</li> <li>&nbsp;</li> <li>In the last four years, rents are rising quickly, with a <a href="http://www.cnbc.com/2016/06/16/rents-now-top-list-of-fastest-rising-prices.html">3.8% increase</a> in 2016, alone.<br /> &nbsp;</li> <li>According to NerdWallet, in 2015, the average U.S. household carrying debt had a $15,675 credit card balance, a $27,865 auto loan balance, and a $172,341 mortgage balance.</li> </ul> <p>In 2012, 30% of adults age 65 and older <a href="http://www.urban.org/features/how-retirement-changing-america">had outstanding debt</a>, up from 44% in 1998. Given that more Americans depend on debt to get by, many have to address the fact that some debts don't just go away even after they're gone. Combine that with ever-rising living costs and you can understand why some of us need to plan for a higher retirement saving goal. (See also: <a href="http://www.wisebread.com/what-happens-to-your-debt-after-you-die?ref=seealso">What Happens to Your Debt After You Die?</a>)</p> <h2>5. Americans Are Living Longer</h2> <p>Another reason why more Americans are deciding to postpone their retirement age and looking into bigger nest eggs is that they are living longer. Back in 1980, the life expectancies for American men and women were <a href="http://u.demog.berkeley.edu/~andrew/1918/figure2.html">70.0 and 77.4</a>, respectively. According to the latest data from the SSA, a man and a woman reaching age 65 today can expect to live, on average, until age <a href="https://www.ssa.gov/planners/lifeexpectancy.html">84.3 and age 86.6</a>, respectively. However, about 25% of those 65-year old Americans will live past age 90 and 10% of them will live past age 95.</p> <p>Knowing that you're very likely to live longer should be great motivator to set up your retirement plan and have your retirement strategy in place. Even if you're 15, 10, or even five years away from retirement, you can still take several steps to boost your nest egg. (See also: <a href="http://www.wisebread.com/7-retirement-planning-steps-late-starters-must-make?ref=seealso">7 Retirement Planning Steps Late Starters Must Make</a>)</p> <p>Today is the best day to get your retirement saving plan back on track.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/damian-davila">Damian Davila</a> of <a href="http://www.wisebread.com/5-ways-american-retirement-is-changing">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">5 American Cities Where You Can Retire On Just Social Security</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-states-with-the-lowest-taxes-for-retirees">7 States With the Lowest Taxes for Retirees</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire">5 Financial Moves Now That You&#039;ll Regret When You Retire</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement">6 Smart Ways to Boost Your Social Security Payout Before Retirement</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-to-enjoy-retirement-if-you-havent-saved-enough">How to Enjoy Retirement If You Haven&#039;t Saved Enough</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement America changing retirement life expectancy millions postponing retirement social security united states Tue, 18 Oct 2016 09:00:08 +0000 Damian Davila 1815054 at http://www.wisebread.com 6 Smart Ways to Boost Your Social Security Payout Before Retirement http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/6-smart-ways-to-boost-your-social-security-payout-before-retirement" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/old_couple_retirement_78209735.jpg" alt="Couple boosting their social security payout before retirement" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>According to the Employee Benefit Research Institute, <a href="https://www.ebri.org/pdf/briefspdf/EBRI_IB_422.Mar16.RCS.pdf">84% of U.S. workers</a> expect their Social Security benefit to be a significant source income during retirement. So, let's plan ahead with these six smart ways to boost that monthly Social Security check before retirement:</p> <h2>1. Check Reported Earnings on Your Social Security Statements</h2> <p>In September 2014, the Social Security Administration (SSA) began mailing Social Security Statements to workers at ages 25, 30, 35, 40, 45, 50, 55, and 60 and over, who aren't yet receiving Social Security benefits and don't have a <em>my Social Security</em> account. You should receive those statements about three months before your birthday at each one of those ages.</p> <p>Once you receive one, check your reported earnings for each year to make sure they match your W-2 forms. The SSA uses your average earnings over your lifetime to calculate your benefit amount, so any errors on reported earnings may alter the benefit to which you're entitled. Since you may have many employers during your lifetime, you're the only person who can look at your earnings history and know whether it's complete and correct.</p> <p>If any earnings before the previous year are missing or shown incorrectly, contact the SSA right away at 1-800-772-1213 (7 a.m. to 7 p.m. on your local time). Have your W-2 or tax return for those years available when you call.</p> <h2>2. Sign Up for a my Social Security Account</h2> <p>There's no need to wait five years before getting your next Social Security Statement. By creating you're my Social Security account at <a href="http://www.ssa.gov/myaccount">www.ssa.gov/myaccount</a>, you'll be able to check your reported earnings once a year to verify that those posted amounts are correct.</p> <p>Additionally, you'll receive updated estimates of your future retirement, disability, and survivors benefits. If you meet certain requirements, you'll also be able to request a replacement Social Security card through the my Social Security online portal.</p> <h2>3. Reach Full Retirement Age</h2> <p>When you have earned the necessary 40 credits (individuals with disabilities, recipients of survivor benefits, and some minors may need fewer credits) to qualify for retirement benefits, you can start receiving those benefits as early as age 62. Whether you receive a digital or paper copy of your Social Security statement, you'll receive an estimated benefit of your retirement benefits at age 62.</p> <p>You'll quickly realize that the estimated benefit at age 62 is much lower than the one at your full retirement age. For example, if you were born between 1943 and 1954, your full retirement age would be 66. If you were to start getting retirement benefits at age 62, they would be <a href="https://www.ssa.gov/planners/retire/1943.html">reduced to 75%</a> of what they would be four years later. For every month that you delay retirement past age 62, you would gain an additional 0.4% in retirement benefits until you reach your full retirement age. Depending on your birth year, your full retirement age ranges from <a href="https://www.ssa.gov/planners/retire/retirechart.html">65 to 67</a>.</p> <h2>4. Obtain Delayed Retirement Credits</h2> <p>According to estimates from the SSA, about <a href="https://www.ssa.gov/planners/lifeexpectancy.html">one out of every four</a> 65-year-olds today will live past age 90, and one out of 10 will live past age 95. If you have a family history of longevity, consider delaying retirement until age 70.</p> <p>Individuals born 1943 or later receive an extra <a href="https://www.ssa.gov/planners/retire/delayret.html">2/3 of 1% increase</a> on their retirement benefits for every month that they delay retirement past full retirement age. If your full retirement age were 67, you would increase your retirement benefit to 132% by waiting until age 70. You can only gain delayed retirement credits until age 70.</p> <h2>5. Evaluate Spousal Benefits</h2> <p>Spouses can claim retirement benefits based on their own earnings record or receive up to 50% of the higher earner's benefit, whichever is higher. For example, if your own retirement benefit and your spouse's were $600 and $1,800, respectively, you would receive $900 (50% of $1,800).</p> <p>However, taking the spousal benefit as early as age 62 reduces your payout. A spousal benefit is reduced 25/36 of 1% for each month before full retirement age, up to 36 months. If the number of months exceeds 36, then the benefit is further reduced 5/12 of 1% per month. For those born 1960 or later, a $900 spousal benefit would be reduced to $585 when taking it at age 62.</p> <p>If you're divorced from a marriage <a href="https://www.ssa.gov/planners/retire/divspouse.html">lasting 10 years or longer</a>, remain unmarried, and have a retirement benefit smaller than the one you would receive from your ex-spouse, then you can receive spousal benefits on your ex-spouse's record even if he or she has remarried. However, you'll only be able to keep collecting benefits if you keep single. To learn more details about spousal benefits for divorced spouses, consult the SSA website.</p> <h2>6. Plan Ahead With Your Dependents</h2> <p>Talking about relationship updates later on in life, keep in mind that you can receive additional Social Security payments when you have dependent children <a href="https://www.ssa.gov/planners/retire/yourchildren.html">under age 19</a> living with you during retirement.</p> <p>As long as your biological child, adopted child, stepchild, or dependent grandchild is unmarried and under age 18, then he or she can receive up to one half of your monthly retirement benefit. The benefit can extend until graduation date or two months after the 19th birthday of a dependent who is a full-time student (no higher than grade 12), whichever is earlier.</p> <p>While each one of your qualifying dependent children can receive a benefit, generally the total amount you and your family can receive is about <a href="https://www.ssa.gov/planners/retire/yourchildren.html">150% to 180%</a> of your full retirement benefit. Depending on your child's age, you may find it advantageous to retire earlier than you originally planned to take advantage of a higher total family benefit.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/damian-davila">Damian Davila</a> of <a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-3"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/stop-falling-for-these-6-social-security-myths">Stop Falling for These 6 Social Security Myths</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">5 American Cities Where You Can Retire On Just Social Security</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire">5 Financial Moves Now That You&#039;ll Regret When You Retire</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/13-crucial-social-security-terms-everyone-needs-to-know">13 Crucial Social Security Terms Everyone Needs to Know</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-to-plan-for-retirement-when-you-re-ready-to-retire">How to Plan for Retirement When You’re Ready to Retire</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement benefits dependents full retirement age marriage payout social security spouses ssa Wed, 12 Oct 2016 09:00:06 +0000 Damian Davila 1810488 at http://www.wisebread.com 13 Crucial Social Security Terms Everyone Needs to Know http://www.wisebread.com/13-crucial-social-security-terms-everyone-needs-to-know <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/13-crucial-social-security-terms-everyone-needs-to-know" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/money_social_security_42928626.jpg" alt="Learning social security terms everyone needs to know" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>All Americans expect to receive Social Security benefits during their retirement years.</p> <p>According to the latest data from the Employee Benefits Research Institute, <a href="https://www.ebri.org/pdf/briefspdf/EBRI_IB_422.Mar16.RCS.pdf">91% of U.S. retirees</a> and 84% of U.S. workers expect Social Security to be a major or minor source of income during retirement. And since about a third of Americans have less than $1,000 saved for retirement, it's not surprising that many expect Social Security benefits to be their major source of income.</p> <p>That's why it's essential you understand these 13 important Social Security terms.</p> <h2>1. Full Retirement Age</h2> <p>Starting at age 62, you become eligible for Social Security benefits. However, you would take reduced benefits if you were to retire anytime before your full retirement age, which for most Americans is now 65 or older.</p> <p>For example, individuals born in 1960 or later have a full retirement age of 67. If a person with a full retirement age of 67 were to start taking benefits at age 62, she would receive a retirement benefit <a href="https://www.ssa.gov/planners/retire/1960.html">reduced to 70%</a>. For every month past age 62 that she waits, she earns about 0.4% more in retirement benefits until she reaches a full 100% at age 67.</p> <p>Depending on your year of birth, your full retirement age ranges from <a href="https://www.ssa.gov/planners/retire/retirechart.html">65 to 67</a>.</p> <h2>2. Delayed Retirement Credits</h2> <p>About 19% of Americans <a href="http://www.bloomberg.com/news/articles/2016-05-13/-i-ll-never-retire-americans-break-record-for-working-past-65">age 65 or older were working</a> during the first quarter of 2016. One possible reason is that working past age 65 to 67 can increase your retirement benefit from <a href="https://www.ssa.gov/planners/retire/delayret.html">5.5% to 8% per year</a>, depending on your year of birth. For every month past your full retirement age that you wait to start receiving your benefit check, you earn delayed retirement credits that boost your full retirement benefit beyond 100%. Going back to the example of the individual with full retirement at age 67, she would receive a monthly increase of two-thirds of 1% for every month that she delays retirement past age 67.</p> <h2>3. Age 64-3/4</h2> <p>Even though you may decide to wait until or past full retirement age to start taking your benefits, you can still apply for Medicare <a href="https://www.ssa.gov/planners/retire/justmedicare.html">within three months of age 65</a> (age 64-3/4) and apply for your retirement or spouse's benefits later.</p> <h2>Medicare Parts A, B, C, and D</h2> <p>People age 65 or older have access to the U.S. health insurance program known as Medicare. This program helps cover health care costs and has several parts.</p> <h3>4. Medicare Part A</h3> <p>This hospital insurance helps pay for inpatient care in a hospital or skilled nursing facility (following a hospital stay), some home health care, and hospice care.</p> <h3>5. Medicare Part B</h3> <p>Medical insurance that helps pay for doctor services and many other medical services and supplies not covered by Part A.</p> <h3>6. Medicare Part C</h3> <p>Also known as Medicare Advantage Plans, Part C plans are offered by private health carriers approved by Medicare and available to Americans enrolled in Part A and Part B with Medicare.</p> <h3>7. Medicare Part D</h3> <p>A drug coverage plan available to everyone with Medicare.</p> <p>While you have a seven-month window starting age 64-3/4 to sign up for Part A, you don't have to enroll in Part B. Depending on when you enroll for Part B and other factors, your coverage may be delayed and you may have to pay a higher monthly premium unless you qualify for a&hellip;</p> <h2>8. Special Enrollment Period (SEP)</h2> <p>Every year has an open enrollment period in which you can enroll in an insurance plan. There are certain life events that qualify you for a Special Enrollment Period. Qualifying events include losing job-based coverage and losing coverage through a family member. For the full list of life events that make you eligible for SEP, visit this section from <a href="https://www.healthcare.gov/coverage-outside-open-enrollment/special-enrollment-period/">HealthCare.gov</a>.</p> <h2>9. Social Security Credits</h2> <p>In 2016, you will earn <a href="https://www.ssa.gov/planners/disability/dqualify2.html">one Social Security work credit for each $1,260</a> of wages or self-employment income. You can earn up to four of these credits per year. The amount of money required to earn one credit goes up every year. Most Americans need to accumulate <a href="https://www.ssa.gov/pubs/EN-05-10024.pdf">40 credits</a> (about 10 years of work) to qualify for Social Security benefits. However, adults and children may require fewer credits to be eligible for other certain types of Social Security benefits, such as...</p> <h2>10. Disability Benefits</h2> <p>Those who can't work due to a qualifying medical condition that's expected to last at least one year or result in death can receive Social Security Disability Insurance (SSDI) benefits.</p> <p>Besides meeting the Social Security Administration's definition of disability, you must also have worked long enough and recently enough to qualify for Social Security disability benefits. Unless you're <a href="https://www.ssa.gov/planners/disability/dqualify8.html">blind or have low vision</a>, you must have earned <a href="https://www.ssa.gov/planners/credits.html">at least 20</a> of your required credits in the 10 years before you became disabled to qualify for disability benefits. For example, if you were born after 1929 and became disabled at age 50, you would require at least 28 credits to qualify for Social Security disability benefits.</p> <p>Certain family members, including your spouse if he or she is age 62 or older or an unmarried child, may qualify for benefits based on your work.</p> <h2>11. Supplemental Security Income Benefits</h2> <p>The Supplemental Security Income (SSI) program pays benefits to <a href="https://www.ssa.gov/pubs/EN-05-10026.pdf">disabled adults and children</a> who have limited income and resources. Qualifying recipients of Social Security disability or retirement benefits can receive SSI as long as they meet the requirements. The online <a href="https://ssabest.benefits.gov">Best Eligibility Screening Tool</a> can help you determine whether or not you or your child are eligible for SSI benefits.</p> <h2>12. Back Payments</h2> <p>Given that there are an <a href="http://www.pewresearch.org/fact-tank/2016/04/25/millennials-overtake-baby-boomers/">estimated 74.9 million Baby Boomers</a> (ages 51 to 69) in the U.S., you can expect that Social Security consistently receives a large number of enrollments. The more paperwork, the longer the time to process your application. So, you'll receive back payments from the Social Security Administration for the months between the date that you applied for benefits and the date you were approved for benefits.</p> <p>There is a mandatory <a href="https://faq.ssa.gov/link/portal/34011/34019/Article/3715/Is-there-a-waiting-period-for-Social-Security-disability-benefits">five-month waiting period</a> for SSDI benefits, so back payments only start once the waiting period ends.</p> <h2>13. Retroactive Benefits</h2> <p>Back payments are available for for both SSDI and SSI benefits, but retroactive benefits are only available for SSDI benefits. Retroactive benefits are the monies that you were already eligible for due to your disability onset date but didn't apply for earlier. Keep in mind that you'll receive no interest on any back payments for SSDI or SSI.</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/damian-davila">Damian Davila</a> of <a href="http://www.wisebread.com/13-crucial-social-security-terms-everyone-needs-to-know">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">5 American Cities Where You Can Retire On Just Social Security</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement">6 Smart Ways to Boost Your Social Security Payout Before Retirement</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/stop-falling-for-these-6-social-security-myths">Stop Falling for These 6 Social Security Myths</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-you-should-make-five-years-before-retirement">5 Financial Moves You Should Make Five Years Before Retirement</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-to-plan-for-retirement-when-you-re-ready-to-retire">How to Plan for Retirement When You’re Ready to Retire</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement backpayments benefits credits income medicare retroactive social security terms Mon, 10 Oct 2016 10:30:09 +0000 Damian Davila 1808267 at http://www.wisebread.com 5 American Cities Where You Can Retire On Just Social Security http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/5-american-cities-where-you-can-retire-on-just-social-security" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/retired_old_couple_90300353.jpg" alt="Retired couple finding cities to retire in on social security" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>The statistics on how unprepared Americans are for retirement can be terrifying. The <a href="http://laborcenter.berkeley.edu/pdf/2015/RetirementSavingsCrisis.pdf">median retirement account balance</a> is $2,500 for all working-age households and $14,500 for near-retirement households, according to a 2015 study by the National Institute on Retirement Security.</p> <p>Two-thirds of working families fall short of conservative retirement savings targets for their age and income based on working until age 67, the report finds.</p> <p>With virtually no retirement savings for the average working household and 45% (nearly 40 million) of working households not having any retirement assets, their best hope for surviving after age 67 may be income from Social Security.</p> <h2>What Social Security Pays</h2> <p>The average monthly Social Security check as of June 2016 was $1,234, according to the Social Security Administration, or SSA. Where could you afford to live on such an income?</p> <p>There are some good options, but before we get to those, let's be a little more generous with the SSA income, based on the government's statistics.</p> <p>While the average monthly benefit was $1,234, 82% of beneficiaries receive a little more &mdash; $1,280 from &quot;Old-Age and Survivors Insurance&quot; SSA beneficiaries. The largest average monthly SSA benefit was $1,348 for retired workers, who made up 67% of the pool.</p> <p>Assuming you're a retired worker receiving the average $1,348 each month from SSA, that's still a low amount of money to live on each month, considering that a retirement planning rule of thumb is to plan on having 70%&ndash;80% percent of your pre-retirement income replaced with SSA, a retirement account, or other form of income in your old age.</p> <p>At 80%, that $1,348 would equate to a pre-retirement monthly income of $1,685, or $20,220 per year. If you were comfortable living on $20,220 per year before retirement, then living on 80% of it during retirement should be just as comfortable, the theory goes.</p> <p>For a couple who are both retired, their SSA income would double to $40,440 per year. But for our purposes, let's assume one retiree is living by themselves.</p> <p>So, where to live on the average SSA check of $1,348 per month for retired workers? In no particular order, here are five cities where it's affordable.</p> <h2>1. Buffalo, New York</h2> <p><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/u5171/buffalo_new_york_82224935.jpg" width="605" height="340" alt="" /></p> <p>Buffalo may come as a surprise for being a cheap place to live because it's in New York state. But the <a href="https://smartasset.com/mortgage/top-ten-cheapest-places-to-live">median monthly rent</a> in Buffalo is $512, making it the cheapest city in the U.S. to live in, according to a SmartAsset analysis. Buffalo also has the lowest cost of living at 79.34, meaning that the U.S. average is 100 and that $100 in groceries, for example, would cost $79.34 in Buffalo.</p> <h2>2. Johnstown, Pennsylvania</h2> <p>If you're looking for the cheapest rent in the country, this city of 20,576 residents has it with a gross median rent of $466 per month, according to data from the U.S. Census. Since housing is one of the biggest expenses in life, such low rent can make other expenses a lot more affordable.</p> <p>The <a href="http://places.findthehome.com/stories/10260/city-every-state-cheapest-affordable-rent#50-Pennsylvania-Johnstown">average per capita income</a> in Johnstown is $16,153, according to FindTheHome, putting the average SSA income in retirement above the average there. In this city, you'd be rich.</p> <h2>3. Memphis, Tennessee</h2> <p><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/u5171/graceland_memphis_91136155.jpg" width="605" height="340" alt="" /></p> <p>If you're looking for a large U.S. city that's affordable in retirement, Memphis is it. This city of 653,450 has low housing costs. The average apartment rent of $709 per month is 21% below the U.S. average, and the median home value of $98,300 is 46% below the U.S. average, according to Kiplinger.</p> <h2>4. Akron, Ohio</h2> <p>Living in the center of the country is usually cheaper than it is elsewhere, and Akron, Ohio proves that point by being one of the <a href="http://www.cbsnews.com/media/the-15-most-affordable-places-to-live-in-america/16/">most affordable places to live</a> in the country. Its median home price listing in August 2015 was $120,450, and the median household income was $45,628 &mdash; putting the average SSA income at just below the median. The amount of monthly income spent on housing, utilities, and commuting in Akron was 28.9%, allowing retirees to spend about 70% of their income on other things.</p> <h2>5. Indianapolis, Indiana</h2> <p><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/u5171/indianapolis_indiana_62568936_0.jpg" width="605" height="340" alt="" /></p> <p>Listed by Trulia as one of the best cities to move to for a high-paying job, Indianapolis has low home prices for <a href="http://www.nbcnews.com/business/consumer/millennials-meet-indianapolis-your-new-dream-city-n623021">Millennials looking for work</a> and for retirees, too. The median home price of $130,000 is $58,900 below the median home price in America. That allows about two of every five renters to be able to afford a typically priced home there. For retirees who sell their homes and have enough money to buy a home outright or put down a large down payment, then living with little or almost no housing costs can leave a lot of room in their budget for other things.</p> <p>The good news is that there are plenty more U.S. cities that are affordable for retirees who only have an income from Social Security. These are only five of them, and are a good start to investigate more when deciding on the cheapest places to retire.</p> <h2 style="text-align: center;">Like this article? Pin it!</h2> <p>&nbsp;</p> <p style="text-align: center;"><a href="//www.pinterest.com/pin/create/button/?url=http%3A%2F%2Fwww.wisebread.com%2F5-american-cities-where-you-can-retire-on-just-social-security&amp;media=http%3A%2F%2Fwww.wisebread.com%2Ffiles%2Ffruganomics%2Fu5180%2F5%20American%20Cities%20Where%20You%20Can%20Retire%20On%20Just%20Social%20Security.jpg&amp;description=5%20American%20Cities%20Where%20You%20Can%20Retire%20On%20Just%20Social%20Security" data-pin-do="buttonPin" data-pin-config="above" data-pin-color="red" data-pin-height="28"><img src="//assets.pinterest.com/images/pidgets/pinit_fg_en_rect_red_28.png" alt="" /></a> </p> <!-- Please call pinit.js only once per page --><!-- Please call pinit.js only once per page --><script type="text/javascript" async defer src="//assets.pinterest.com/js/pinit.js"></script></p> <p style="text-align: center;"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/u5180/5%20American%20Cities%20Where%20You%20Can%20Retire%20On%20Just%20Social%20Security.jpg" alt="5 American Cities Where You Can Retire On Just Social Security" width="250" height="374" /></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/aaron-crowe">Aaron Crowe</a> of <a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-2"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-you-should-make-five-years-before-retirement">5 Financial Moves You Should Make Five Years Before Retirement</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/13-crucial-social-security-terms-everyone-needs-to-know">13 Crucial Social Security Terms Everyone Needs to Know</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-states-with-the-lowest-taxes-for-retirees">7 States With the Lowest Taxes for Retirees</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-smart-ways-to-boost-your-social-security-payout-before-retirement">6 Smart Ways to Boost Your Social Security Payout Before Retirement</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-much-can-you-afford-to-spend-in-retirement">How Much Can You Afford to Spend in Retirement?</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Real Estate and Housing Retirement America benefits cost of living income relocating social security u.s. cities Tue, 20 Sep 2016 10:30:05 +0000 Aaron Crowe 1795982 at http://www.wisebread.com 5 Financial Moves You Should Make Five Years Before Retirement http://www.wisebread.com/5-financial-moves-you-should-make-five-years-before-retirement <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/5-financial-moves-you-should-make-five-years-before-retirement" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/older_woman_tablet_91678151.jpg" alt="Woman making financial moves five years before retirement" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>Here you are, five years from retirement. The reality of the end of your career is finally hitting home, but you may not feel completely ready to quit work yet.</p> <p>But with adequate planning and preparation, it <em>is</em> possible to feel confident about your life and finances as you approach retirement. Here are five goals that most workers should plan on reaching when they are five years from retirement.</p> <h2>1. Calculate Your Post-Retirement Budget</h2> <p>It may seem too soon, but now is an excellent time to re-evaluate how much money you will need to live on comfortably in retirement. Many workers assume that their expenses will go down in retirement, since they will no longer need to pay for professional clothing, commuting, business travel, and the like. However, depending on how you intend to spend your time in retirement, your expenses could go down by less than you anticipate, or even go up if you plan to travel more or enjoy expensive hobbies.</p> <p>In order to calculate your post-retirement budget, start by listing all of your monthly expenses that will stay the same, including rent or mortgage, car payment, utilities, groceries, personal care, taxes, and insurance.</p> <p>Then tease out what expenses you incur from working. These might include car maintenance, professional clothing, dry cleaning, dining out, tolls/parking, and professional subscriptions. Don't forget to include the kinds of purchases that are not necessarily work-related, like convenience foods or getting a stress-relieving massage, but that you will have less of a need for in retirement.</p> <p>Finally, calculate how much you expect to spend on retirement-related expenses, such as hobbies, memberships, or travel.</p> <p>These three numbers can give you a sense of how much you are currently spending, what not working will save you, and how much you need to have set aside for activities in retirement. Now is the perfect time to start scaling back on the monthly expenses that will stay the same if you are worried about affording your retirement activities.</p> <h2>2. Take Advantage of Catch-Up Provisions</h2> <p>Calculating a post-retirement budget is often a good motivator to start putting more money aside for retirement. Don't assume that five years before you retire is too late to do any good. You still have time to grow your nest egg, particularly if you can take advantage of the catch-up provisions in your tax-advantaged retirement accounts.</p> <p>Tax-advantaged accounts like 401Ks and IRAs have contribution limits that put a cap on the amount of money you can place in them each year. For the majority of taxpayers, the 401K contribution limit is $18,000 per year, and the IRA contribution limit is $5,500 per year. However, taxpayers over the age of 50 may contribute a total of $23,000 per year to their 401Ks and $6,500 per year to their IRAs (as of 2016).</p> <p>Coming up with that kind of scratch to send to your retirement account might be a tall order, but don't forget that both 401K plans and traditional IRAs are tax-deferred. That means you can deduct your contributions from your annual taxes, thereby lowering your current tax burden.</p> <h2>3. Pay Down Your Debt</h2> <p>Entering into retirement while carrying debt can seriously weigh you down, so the five years before retirement is a great time to tackle it.</p> <p>Start with your consumer debt, such as credit cards or a car loan. These are probably charging higher interest than you could earn through any investments, so <a href="http://www.wisebread.com/5-day-debt-reduction-plan-pay-it-off?utm_source=wisebread&amp;utm_medium=internal&amp;utm_campaign=article">eliminating all of your consumer debt</a> will help your money go further and save you a great deal over time.</p> <p>It's also a good idea retire your mortgage before you stop working (although you should prioritize paying off consumer debt before your mortgage). Owning your house free and clear in retirement offers you more options to handle whatever happens next.</p> <h2>4. Calculate Your Social Security Benefits</h2> <p>All of the arcane details of claiming Social Security <a href="http://amzn.to/2bKOeVe">could fill a book</a> (ahem), but it is a good idea for workers nearing retirement to get a basic understanding of what benefits will be available to them based on various retirement timelines and spousal coordination.</p> <p>In order to determine your benefit, the Social Security Administration uses a complex formula to adjust your earnings to account for average wage changes (this is known as indexing), and then calculate your specific benefits. The Social Security website offers several user-friendly calculators and applications to help you figure your potential benefits. Specifically, the <a href="http://www.ssa.gov/planners/benefitcalculators.htm">SSA benefits calculators</a> allow you to enter your information to learn what you can expect from your benefits.</p> <p>In addition, signing up for a &quot;<a href="http://www.ssa.gov/myaccount/">My Social Security</a>&quot; account can provide you with a great deal of specific information about your particular earnings record and projected benefits. It's an important planning tool for anyone within five years of retirement.</p> <h2>5. Start Planning Your Income Withdrawal Strategy</h2> <p>Many retirees don't really think about how they'll draw down their assets in retirement, assuming that they can just take a small 3% to 4% of their nest egg each year.</p> <p>There are two problems with this scenario. First, if you have a less than robust nest egg, the small percentage you have to live on might not be enough. Second, if you have to withdraw money during a major market downturn, your nest egg may not recover.</p> <p>Instead, you can plan ahead with the bucket method for retirement income, which starts with the assumption that retirees will have to ride out some market volatility during their retirement. With this method, you split your portfolio into separate income &quot;buckets,&quot; each of which will be intended to handle a different time period in retirement. A common allocation would look like this:</p> <h3>Bucket 1: Years 1&mdash;5</h3> <p>This will be the money you live on in your first years post retirement, while the majority of your nest egg remains invested in longer-term assets. Since you want both stability and liquidity in this time period, the money in this bucket will be placed in cash equivalent assets, such as CDs, U.S. Treasury bills, and money market funds.</p> <h3>Bucket 2: Years 6&mdash;15</h3> <p>You won't be tapping this money until you have gotten a few years into your retirement, so you can afford to be a little more aggressive with your investments. This means your second bucket will generally consist of a mix of bonds and stock, leaning more toward the safety of bonds. You want to reasonably protect your principal here, but still allow your money some room for growth.</p> <h3>Bucket 3: Years 16+</h3> <p>You can afford to be aggressive in this bucket of your portfolio, since you have time to let your money grow. This bucket will consist of higher-risk/higher-return assets, such as stocks and other types of equities, since you have at least 15 years to both ride out market volatility and reap potential benefits.</p> <p>Five years before retirement is the perfect time to start planning your retirement income withdrawal strategy, so you can make decisions without feeling the time-crunch of a looming retirement date.</p> <h2>This Is Your Victory Lap</h2> <p>The five years before you retire can be a challenging and emotional time. Feeling prepared for the financial aspect of retirement can give you the freedom to enjoy the last few years of your career.</p> <p><em>Will you be ready to make these key retirement moves when you're five years away?</em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/emily-guy-birken">Emily Guy Birken</a> of <a href="http://www.wisebread.com/5-financial-moves-you-should-make-five-years-before-retirement">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">5 American Cities Where You Can Retire On Just Social Security</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/12-money-moves-to-make-the-moment-you-decide-to-retire">12 Money Moves to Make the Moment You Decide to Retire</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-states-with-the-lowest-taxes-for-retirees">7 States With the Lowest Taxes for Retirees</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/13-crucial-social-security-terms-everyone-needs-to-know">13 Crucial Social Security Terms Everyone Needs to Know</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-much-can-you-afford-to-spend-in-retirement">How Much Can You Afford to Spend in Retirement?</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement approaching retirement budgets catch up contributions cost of living debt end of career goals income social security Fri, 26 Aug 2016 09:00:15 +0000 Emily Guy Birken 1779929 at http://www.wisebread.com 4 Things You Need to Know About Disability Insurance http://www.wisebread.com/4-things-you-need-to-know-about-disability-insurance <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/4-things-you-need-to-know-about-disability-insurance" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/68605699.jpg" alt="Family learning about disability insurance" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>Insurance. There are probably no other financial terms more likely to induce feelings of sleepiness. Or dread. After all, who likes to spend money on something you hope you'll never have to use? And don't you have enough types of insurance already?</p> <p>Well, without wanting to sound like an insurance salesperson, how would you pay your bills if an accident or illness left you unable to work? That's the risk disability insurance is designed to cover. It would pay a portion of your salary in that situation.</p> <p>The good news is you may already have adequate protection. And even if you don't, the cost of coverage may not be as high as you feared. Here's what you need to know about disability insurance.</p> <h2>1. You Might Need It</h2> <p>When you're young and healthy, it's difficult to imagine life might ever be different.</p> <p>However, the insurance industry is quick to point out that your chances of becoming disabled are higher than your chances of dying prematurely. And the Social Security Administration has a scary-sounding statistic to back that up: Some 25% of 20-year-olds will become disabled before reaching retirement age.</p> <p>However, not all disabilities are the same. Some are severe and permanent. About 10% of all Americans are now severely disabled, according to the U.S. Census Bureau. Many other disabilities are neither severe nor long-lasting. To put the situation in context, the Council of Disability Awareness says the average length of a long-term disability claim is three years.</p> <p>So, when considering your need for disability insurance, it's important not to be scared into overpaying for protection.</p> <h2>2. You Might Already Have Some</h2> <p>Even without buying a disability insurance policy, you might already be at least partly covered.</p> <h3>Workers' Compensation</h3> <p>This program is administered on a state-by-state basis, and some states do not require companies with fewer than four employees to maintain the coverage. However, if you work for a company that <em>does </em>carry workers' &quot;comp&quot; and you're injured on the job or develop a work-related disabling illness, this insurance should cover about two-thirds of your pre-disability income.</p> <p>Still, the National Safety Council points out that only 27% of long-term disabilities are work-related. Most don't even come from accidents; they come from cancer, heart disease, and other illnesses.</p> <h3>Social Security</h3> <p>If you've been contributing to Social Security long enough, you may qualify for disability benefits. To find out, go to <a href="http://www.ssa.gov">ssa.gov</a> and click on &quot;sign in/up.&quot; However, even if you're <em>eligible</em> for Social Security disability benefits, that doesn't mean you'll <em>qualify. </em>Your disability has to be severe enough to keep you from working for at least a year (or be expected to), and it has to prevent you from doing the work you used to do or keep you from &quot;adjusting to other work.&quot; In other words, the program is designed to protect only the most severely disabled.</p> <h3>Self-Insurance</h3> <p>If you experience a short-term disability, you may be able to cover your expenses with personal savings. For example, an emergency fund savings account containing six months' worth of essential living expenses could be viewed as a short-term disability policy.</p> <p>You may be able to tap retirement funds, as well. For example, if you have a workplace plan, such as a 401K, you may be able to take out a low-interest loan. Or, if you have a <a href="http://www.wisebread.com/4-reasons-why-a-roth-ira-may-be-better-than-your-401k" target="_blank">Roth IRA</a>, you can withdraw your contributions at any time for any reason without penalty.</p> <h2>3. You Might Need More</h2> <p>After reviewing all of the above, if you decide to buy additional coverage, check whether it's offered through your employer. That will typically be the least expensive option.</p> <p>If it isn't offered, get some quotes from an online broker, such as <a href="https://www.policygenius.com/">PolicyGenius</a>, <a href="http://di-resource-center.com/">Disability Insurance Resource Center</a>, or <a href="https://www.disabilityquotes.com/disability-insurance/faq-moreabout.cfm">DisabilityQuotes.com</a>.</p> <h2>4. You Can Control the Cost</h2> <p>Key variables that will influence the price of a policy include:</p> <ul> <li>The waiting period. This is the amount of time between the onset of a disability and when the policy will begin paying. The longer the waiting period, the less the policy will cost.<br /> &nbsp;</li> <li>The benefits period. This is how long the policy will pay benefits. You could opt for a policy that pays through age 67, but remember, the average long-term claim is three years, and choosing a shorter benefits period will lower the cost of the policy.<br /> &nbsp;</li> <li>The benefit amount. You may qualify to cover 60% of your salary, but choosing a lesser amount will lower your cost.<br /> &nbsp;</li> <li>The definition of &quot;disability.&quot; Ideally, you'll want a policy that protects you in case you are no longer able to perform the duties of your current occupation (an &quot;own occupation&quot; policy). You could buy a less expensive policy, though, if you're willing to accept one that pays only if you are not able to do other types of work.<br /> &nbsp;</li> <li>Add-ons. You'll be offered numerous policy &quot;riders.&quot; Among those that may make the most sense is inflation protection, which would provide a cost-of-living increase in the benefit amount each year.</li> </ul> <p>Your ability to earn income is one of your most valuable assets. So, if you're not covered by a workplace disability insurance policy, take a few minutes to think about how you would pay your bills if you were suddenly unable to work. And keep in mind that you don't need to buy the most deluxe policy available. Protecting <em>some</em> of your income would be better than protecting <em>none</em> of it.</p> <p><em>Do you have disability insurance?</em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/matt-bell">Matt Bell</a> of <a href="http://www.wisebread.com/4-things-you-need-to-know-about-disability-insurance">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-8"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/when-should-single-people-get-life-insurance">When Should Single People Get Life Insurance?</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/everything-you-need-to-know-about-flood-insurance">Everything You Need to Know About Flood Insurance</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/4-times-its-okay-to-borrow-from-your-life-insurance-policy">4 Times It&#039;s Okay to Borrow From Your Life Insurance Policy</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/follow-these-5-steps-to-full-health-care-coverage-in-retirement">Follow These 5 Steps to Full Health Care Coverage in Retirement</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-long-can-you-really-live-on-unemployment">How Long Can You Really Live on Unemployment?</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Insurance disability emergency funds illness injury out of work policies social security workers comp Tue, 02 Aug 2016 10:30:12 +0000 Matt Bell 1762585 at http://www.wisebread.com Here's How the Election Could Impact Your Wallet http://www.wisebread.com/heres-how-the-election-could-impact-your-wallet <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/heres-how-the-election-could-impact-your-wallet" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/voter_pins_money_72870711.jpg" alt="Learning how the election will impact your wallet" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>It's Clinton versus Trump, and the topic is money &mdash; because, more than anything else, that's what's on the minds of American voters. All told, 44% of Americans say the economy is their <a href="http://i2.cdn.turner.com/cnn/2015/images/07/26/72715cnnorc.pdf?iid=EL">top campaign issue</a>. Read on for our roundup of how either candidate's presidency would impact your dollars and cents.</p> <h2>Donald Trump</h2> <p>First up, the presumptive Republican nominee and his ideas about taxes, wages, and more.</p> <h3>Taxes</h3> <p>Trump proposes a systemwide overhaul of the U.S. tax code aimed at simplifying it to the point where it would &quot;<a href="http://money.cnn.com/2015/08/11/news/companies/donald-trump-hr-block-tax-code/">put H&amp;R Block right out of business</a>.&quot; In addition to his pledge to make the tax filing process more intuitive for Americans, Trump has also said that he believes the wealthiest Americans should <a href="http://www.ctpost.com/news/article/Trump-close-hedge-fund-tax-loophole-6511995.php">pay higher taxes</a>.</p> <p>&quot;If you make $200 million a year and you pay 10%, you're paying very little relatively to somebody that's making $50,000 a year and has to hire H&amp;R Block because it's so complicated,&quot; Trump said during a Republican presidential debate last year. &quot;I know people that are making a tremendous amount of money and paying virtually no taxes, and I think it's unfair.&quot;</p> <p>Under Trump's plan, federal income taxes would be eliminated for Americans who earn less than $25,000 and married couples that earn less than $50,000.</p> <p>Corporations and the wealthy would pay a decreased corporate tax rate (15% rather than the current 35% rate). The highest income tax rate would drop down to 25% from 39.6%.</p> <p>Despite these cuts, Trump has said that his plan would ultimately raise taxes on the wealthy. That would be achieved, he said, through proposed measures such as the elimination of a hedge fund tax loophole and a one-time 10% tax on money brought back into the U.S. by corporations currently holding funds overseas.</p> <h3>Jobs</h3> <p>Trump has vowed to grow the economy, namely by bringing back jobs he says the U.S. has lost to countries including Japan, China, and Mexico. Tariffs on foreign goods and negotiating better trade deals are the two main ways Trump has said he would accomplish this goal.</p> <p>When it comes to bringing home foreign jobs, Trump has specifically criticized Apple's China-based manufacturing. If elected, he has said he would force the tech company to &quot;start building their damn computers and things in this country instead of in other countries.&quot;</p> <p>As a billionaire real estate developer, Trump has already directly <a href="http://money.cnn.com/2015/09/03/news/economy/donald-trump-jobs-created/">created about 34,000 jobs</a>, according to an analysis by CNNMoney.</p> <h3>Minimum Wage</h3> <p>Reversing a previous position, Trump has said he would <a href="http://money.cnn.com/2016/05/05/news/economy/candidates-minimum-wage/">raise the federal minimum wage</a> from its current rate of $7.25 an hour. He has not, however, revealed by how much.</p> <h3>Social Security</h3> <p>Trump pledges to <a href="http://fortune.com/2016/03/15/primary-elections-ohio-florida/">leave Social Security</a> &quot;the way it is,&quot; a position that has been called impractical by analysts. The reserve fund will be depleted soon after 2030, upon which, if the law is not changed, monthly benefits will have to be slashed by 21%, experts say. There is one change that he would make, however. Trump has said he would raise the age at which Americans are eligible to begin receiving Social Security benefits to 70. Trump has said that he would not support cutting benefits to those who already receive them.</p> <h3>Health Insurance</h3> <p>Trump has said that he would <a href="http://www.cnn.com/2016/03/02/politics/donald-trump-health-care-plan/">ax the Affordable Care Act</a>, also known as Obamacare, and replace it with his own medical care reform system, the details of which are fuzzy. Trump's plan would, however, allow the sale of health insurance across state borders and make health insurance premium payments for individuals fully tax deductible.</p> <h2>Hillary Clinton</h2> <p>Secretary Clinton's plans differ from Mr. Trump's, of course, especially in the areas of taxes and health care.</p> <h3>Taxes</h3> <p>Clinton's economic plan aims to <a href="http://www.nytimes.com/2015/07/14/us/politics/hillary-clinton-offers-her-vision-of-a-fairness-economy-to-close-the-income-gap.html">close the wealth gap</a>, in part by raising taxes for the rich while encouraging the private sector to raise middle-class wages. Specifically, she has said she would close corporate loopholes, including those used by hedge funders to avoid paying millions in income taxes, in an attempt to reign in Wall Street.</p> <p>&quot;We must raise incomes for hardworking Americans so they can afford a middle-class life,&quot; she said at a campaign event last year where she debuted her economic recovery strategy. &quot;That will be my mission from the first day I'm president to the last.&quot;</p> <p>Under Clinton's plan, low and middle-class Americans would pay lower taxes &mdash; just how much lower, she hasn't yet revealed. Meanwhile, wealthy Americans would pay more.</p> <p>Analysts estimate that Clinton's plan would, on average, raise taxes for the top 1% of Americans by <a href="http://money.cnn.com/2016/03/03/pf/taxes/hillary-clinton-taxes/">more than $78,000</a>, reducing their after-tax income by 5%. Individuals with adjusted gross incomes topping $1 million would pay a minimum of 30% of their income in taxes.</p> <p>Experts say that while lower and middle-income Americans would pay less, most won't pay very much less.</p> <p>Overall, Clinton's plan is closer to the status quo than the plans proposed by Trump or any other major candidate.</p> <h3>Jobs</h3> <p>Clinton's plan for job growth includes measures that would incentivize corporations to invest in employees. It would also eliminate tax benefits to companies that outsource jobs to foreign countries. Companies that move their headquarters overseas would be hit with an exit tax.</p> <p>&quot;I'm not interested in condemning whole categories of businesses or the entire private sector,&quot; she has said. &quot;But I do want to send a clear message to every boardroom and every executive suite: If you desert America, you'll pay a price.&quot;</p> <p>Clinton has also pledged to expand overtime benefits and promote equal pay for women while also advancing fair scheduling, paid leave, and earned sick days.</p> <h3>Minimum Wage</h3> <p>Clinton has said she supports a <a href="http://www.slate.com/blogs/moneybox/2016/04/18/hillary_clinton_explains_her_position_on_a_15_minimum_wage.html">federal minimum wage increase</a> to $15 from the current rate of $7.25 an hour. She has also said that she supports a $12 federal minimum wage, with the caveat that states should feel encouraged to go higher, especially in cities and suburbs with high living costs. It's unclear which proposal she prefers.</p> <h3>Social Security</h3> <p>To preserve the quickly depleting Social Security reserve fund, Clinton's plan calls on the rich to contribute more via income tax. She opposes any benefits cuts and has said she would not raise the retirement age. Clinton has also said that she would expand Social Security to groups she says are <a href="https://www.hillaryclinton.com/issues/social-security-and-medicare/">treated unfairly by the system</a>, including widows and caretakers who have taken time off from work for the benefit of children, aging parents, or ailing family members.</p> <h3>Health Insurance</h3> <p>Clinton has embraced the Affordable Care Act, also known as Obamacare, while acknowledging that there are improvements she would like to make to the current system. Namely, she has said that she would like to <a href="http://www.latimes.com/business/hiltzik/la-fi-mh-hillary-clinton-reveals-her-plan-obamacare-20160223-column.html">add a public option</a>, make health coverage accessible to even more people &mdash; including undocumented immigrants &mdash; and cut its cost.</p> <p><em>Will the candidates' positions on bread and butter issues affect your choice this fall?</em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/brittany-lyte">Brittany Lyte</a> of <a href="http://www.wisebread.com/heres-how-the-election-could-impact-your-wallet">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-2"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-financial-reasons-2016-needs-to-be-over-asap">7 Financial Reasons 2016 Needs to Be Over ASAP</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/bushs-economic-stimulus-package-what-will-you-get-back">Bush&#039;s economic stimulus package; What will you get back?</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/is-social-security-just-a-grand-ponzi-scheme">Is Social Security Just A Grand Ponzi Scheme?</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-does-the-fannie-mae-and-freddie-mac-bailout-affect-you">How does the Fannie Mae and Freddie Mac bailout affect you?</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-surprising-ways-the-rich-get-richer">5 Surprising Ways the Rich Get Richer</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Personal Finance 2016 election donald trump Economy hillary clinton jobs minimum wage presidential election social security taxes united states Mon, 27 Jun 2016 09:30:25 +0000 Brittany Lyte 1738698 at http://www.wisebread.com Best Money Tips: How to Get Bigger Checks From Social Security http://www.wisebread.com/best-money-tips-how-to-get-bigger-checks-from-social-security <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/best-money-tips-how-to-get-bigger-checks-from-social-security" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/woman_tablet_happy_000075989773.jpg" alt="Woman learning how to get bigger checks from social security" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>Welcome to Wise Bread's <a href="http://www.wisebread.com/topic/best-money-tips">Best Money Tips</a> Roundup! Today we found articles on ways to get bigger checks from Social Security, cheats for waking yourself up during the week, and how to avoid leaving money on the table.</p> <h2>Top 5 Articles</h2> <p><a href="http://www.moneytalksnews.com/slideshows/16-ways-get-bigger-checks-from-social-security/">14 Ways to Get Bigger Checks From Social Security</a> &mdash; You can get a bigger payout from this old-age safety net by waiting until your full retirement age to claim benefits. Even better, wait until you're 70. [Money Talks News]</p> <p><a href="http://www.popsugar.com/smart-living/How-Wake-Up-Early-40240055">17 Cheats For Waking Yourself Up During the Workweek</a> &mdash; Using a loud, jarring sound as your alarm will wake you up in a jiffy! Change it every week so you don't get too used to it. [PopSugar Smart Living]</p> <p><a href="http://www.csmonitor.com/Business/Saving-Money/2016/0217/Ten-ways-you-could-be-leaving-money-on-the-table-and-how-to-avoid-it">Ten ways you could be leaving money on the table - and how to avoid it</a> &mdash; The average American wastes about $529 in food per year. Instead of letting food spoil, freeze your fruits and veggies or blend them into a breakfast smoothie to use them up quickly. [The Monitor]</p> <p><a href="http://www.freemoneywisdom.com/keep-more-money-in-your-pockets-with-9-easy-ways-to-save/">Keep More Money in Your Pockets with 9 Easy Ways to Save</a> &mdash; Shop at stores that offer price matching. Walmart, Target, and Amazon are a few big retailers that do! [Free Money Wisdom]</p> <p><a href="http://www.theorderexpert.com/6-ways-to-stop-losing-things/">6 Ways to Stop Losing Things</a> &mdash; Create a checklist of things you need on a regular basis, then schedule alerts throughout the day to remind you to make sure you have those items. [The Order Expert]</p> <h2>Other Essential Reading</h2> <p><a href="http://www.cheapism.com/blog/4137/finding-a-job-on-a-budget">10 Ways to Save While Finding Your Next Job</a> &mdash; If you would need to travel a good distance for an interview, request a virtual interview instead. [Cheapism]</p> <p><a href="http://makemoneyyourway.com/10-ways-to-ensure-that-you-reduce-your-energy-cost-and-waste/">10 Ways To Ensure That You Reduce Your Energy Cost And Waste</a> &mdash; Install and use dual flush toilets to reduce the amount of water you use. [Make Money Your Way]</p> <p><a href="http://www.lifeoptimizer.org/2016/02/16/traits-of-successful-people/">Lessons from Elon Musk: 4 Proven Traits of Successful People</a> &mdash; A successful person has determination, and to have determination you need to believe in your idea and have a strong &quot;why&quot; for pursuing it. [Life Optimizer]</p> <p><a href="http://www.healthyarea.org/top-10-healthy-veggies-that-you-need-to-know/">Top 10 Healthy Veggies That You Need to Know</a> &mdash; Broccoli has vitamin C, folate and beta carotene that will help strengthen the immune system. Avoid overcooking since this can leech the vitamins and minerals out of the florets. [HealthyArea.org]</p> <p><a href="http://parentingsquad.com/7-things-you-shouldnt-say-to-your-child">7 Things You Shouldn't Say to Your Child</a> &mdash; Encourage your child to work hard, but don't tell them &quot;Practice makes perfect.&quot; Perfect doesn't always happen. [Parenting Squad]</p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/amy-lu">Amy Lu</a> of <a href="http://www.wisebread.com/best-money-tips-how-to-get-bigger-checks-from-social-security">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/if-youre-lucky-enough-to-receive-a-pension-here-are-6-things-you-need-to-do">If You&#039;re Lucky Enough to Receive a Pension, Here Are 6 Things You Need to Do</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">5 American Cities Where You Can Retire On Just Social Security</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire">5 Financial Moves Now That You&#039;ll Regret When You Retire</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-ways-american-retirement-is-changing">5 Ways American Retirement Is Changing</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-you-should-make-five-years-before-retirement">5 Financial Moves You Should Make Five Years Before Retirement</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement best money tips social security Mon, 22 Feb 2016 11:00:07 +0000 Amy Lu 1659817 at http://www.wisebread.com Stop Making These 10 Bogus Retirement Savings Excuses http://www.wisebread.com/stop-making-these-10-bogus-retirement-savings-excuses <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/stop-making-these-10-bogus-retirement-savings-excuses" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/000018814419.jpg" alt="Realizing it&#039;s time to stop making bogus retirement savings excuses" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>Saving for retirement can often feel like a drag, and many of us come up with excuses for avoiding it. After all, who wants to think about finances at age 70 when you're decades away and enjoying life <em>now</em>?</p> <p>But no matter what excuse you come up with, there's no denying that putting as much money aside as you can &mdash; as early as you can &mdash; will help you maintain your lifestyle even after you stop working.</p> <p>Here are some of the top excuses people use to avoid saving for retirement, and why they're way off-base. (See also: <a href="http://www.wisebread.com/8-steps-to-starting-a-retirement-plan-in-your-30s">8 Steps to Starting a Retirement Plan in Your 30s</a>)</p> <h2>1. &quot;I Have a Pension&quot;</h2> <p>If your company is one of the few remaining organizations that offers a defined benefit plan, that's great. But it should not be a reason to refrain from saving additional money for retirement. Having additional savings on top of your pension can make retirement that much sweeter. And pensions have been under assault in recent years, with companies and governments backing off of promises to retirees due to financial troubles. Protect against this uncertainty by opening an individual retirement account (otherwise known as an IRA).</p> <h2>2.&quot;I'm Self-Employed&quot; or &quot;My Company Doesn't Offer a Retirement Plan&quot;</h2> <p>You may not have access to an employer-sponsored retirement plan, but that does not mean you can't save a lot for retirement. Any individual can open a traditional IRA or Roth IRA and contribute up to $5,500 annually. With a traditional IRA, contributions are made from your pre-tax income. With a Roth IRA, you pay taxes up-front, so that you won't have to pay them when you withdraw the money at retirement age. In addition, the federal government now offers a &quot;<a href="https://myra.gov/">myIRA</a>&quot; plan, which works like a Roth IRA and allows anyone to invest in treasury securities with no startup costs or fees.</p> <h2>3. &quot;I Won't Be at This Company for Very Long&quot;</h2> <p>One of the key advantages to 401K plans offered by employers is that they are portable. This means that any money you contribute to a plan will follow you wherever you go. In some cases, contributions from your company need to &quot;vest&quot; for a certain amount of time before you get to keep the them, but usually only for a year or so. There's no real downside to contributing to a company retirement plan, even if you don't plan to be there for very long.</p> <h2>4. &quot;The Expenses Are High&quot;</h2> <p>It's very true that many investment products, including mutual funds, have high costs tied to them. It's annoying to buy funds and notice an expense ratio of more than 1%, thus reducing your potential profits. But fees are not a good enough reason to avoid investing, altogether. Over the long haul, your investments will easily rise in value and more than offset any costs. And if you direct your investments to low-cost mutual funds and ETFs, you'll likely find the fees aren't so objectionable. Look for mutual funds with expense ratios of less than 0.1%, and for those that trade without a commission.</p> <h2>5. &quot;I Need to Fund My Kids' College Education&quot;</h2> <p>Putting money aside to pay for college is a wonderful idea, but it should not be done at the expense of your own retirement. Your kids can always work to pay for college or even take out loans, if necessary. But you can't borrow for your own retirement, and you don't want to find yourself working into old age because you didn't save for yourself. In an ideal world, you can save for both college and your own retirement, but you should always think of your own retirement first.</p> <h2>6. &quot;My 401K Plan Isn't Very Good&quot; or &quot;My Company Doesn't Match Contributions&quot;</h2> <p>I'll occasionally hear someone say that they won't contribute to their retirement plan because it's a bad one. No employer match, bad investment options, or high fees can kill any motivation to save. But contributing to even a bad 401K is better than not saving at all. And if you're not thrilled with the offered 401K plan, you can take a look at traditional or Roth IRAs, or even stocks and mutual funds in taxable accounts. There are many bad retirement plans out there, but they are almost all better than nothing.</p> <h2>6. &quot;I Don't Understand Investing&quot;</h2> <p>There's no question that investing can be a very intimidating thing. It takes a while to grasp even the basics of how to invest, and the number of investment products can be bewildering. Don't let fear hold you back from achieving your dreams in retirement. These days, there's a lot of great free information about investing that can help you get started. And many discount brokerages, such as Fidelity, offer free advice if you have an account. Certified Financial Planners are also plentiful &mdash; and often reasonably priced &mdash; and can help you establish a plan to save for retirement and keep you on track.</p> <h2>7. &quot;I Don't Earn Enough&quot;</h2> <p>It's definitely hard to think about retirement when you're having trouble making ends meet now. But it's important to recognize setting aside even a modest amount of money each month can help you achieve financial freedom. Consider that even $25 a month into an index fund can grow to tens of thousands of dollars after 30 years.</p> <h2>8. &quot;I'm Young &mdash; I Have Plenty of Time&quot;</h2> <p>If you're not saving for retirement when you're young, you are costing your future self a lot of money. Thanks to the magic of compound interest and earnings, someone who begins saving in their early 20s can really see big gains over time. If you have $10,000 at age 20 and begin setting aside $200 a month until age 65, you'll have nearly a million dollars, based on an average market return. But if you wait until age 35, you'll end up with barely one-third of that.</p> <h2>9. &quot;It's Too Late for Me&quot;</h2> <p>It's true that the earlier you start investing, the more money you'll likely end up with. But hope is not entirely lost for those who are approaching retirement age but have not saved. Even five to 10 years of aggressive saving and the right investments can result in a nice nest egg. Older people can take advantage of higher limits on contributions to retirement plans including IRAs and 401Ks.</p> <h2>10. &quot;I'll Get Social Security&quot;</h2> <p>You've been contributing to Social Security all your life, but that doesn't mean it guarantees a comfortable retirement. A typical Social Security benefit these days is about $1,300 a month. That's enough to keep you from starving, but you won't be able to do much else. Moreover, concerns over federal budget deficits suggest there is no guarantee of Social Security funds being available when you retire. For certain, there is constant talk by lawmakers of entitlement reform, which could mean to lower benefits or other changes.</p> <p><em>What's your excuse for not saving for retirement?</em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/tim-lemke">Tim Lemke</a> of <a href="http://www.wisebread.com/stop-making-these-10-bogus-retirement-savings-excuses">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/the-inventor-of-the-401k-has-second-thoughts-about-your-retirement-plan-now-what">The Inventor of the 401K Has Second Thoughts About Your Retirement Plan — Now What?</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/10-signs-you-arent-saving-enough-for-retirement">10 Signs You Aren&#039;t Saving Enough for Retirement</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/8-steps-to-starting-a-retirement-plan-in-your-30s">8 Steps to Starting a Retirement Plan in Your 30s</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/15-retirement-terms-every-new-investor-needs-to-know">15 Retirement Terms Every New Investor Needs to Know</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-ways-to-strengthen-your-finances-before-retirement">5 Ways to Strengthen Your Finances Before Retirement</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement 401k compound interest excuses IRA pensions savings social security Mon, 08 Feb 2016 18:00:05 +0000 Tim Lemke 1649873 at http://www.wisebread.com How Much Can You Afford to Spend in Retirement? http://www.wisebread.com/how-much-can-you-afford-to-spend-in-retirement <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/how-much-can-you-afford-to-spend-in-retirement" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/retirement_fund_money_000049360888.jpg" alt="Figuring out how much you spend in retirement each year" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>You've finally reached retirement. Your days of fighting rush hour traffic to get to the office are over. But now you face a new challenge: How much of your retirement savings should you spend each year? It's a big question: Spend too much and you might find yourself out of money 10, 15, or 20 years into retirement.</p> <p>&quot;There are different ways to approach retirement spending,&quot; says Celandra Deane-Bess, chair of the national practice group on retirement for Philadelphia, Pennsylvania-based PNC Financial Services Group. &quot;As you get closer to retirement age, we recommend that you take a more detailed look at your income and your living situation. There are so many factors that can alter how much you can afford to spend each year in retirement.&quot;</p> <p>Planning your retirement spending isn't something you can do with a simple formula, though the following formulas can give you a starting point.</p> <h2>Inflation and the 60%&ndash;90% Rule</h2> <p>Deane-Bess says that many retirees plan for their annual cost of living, because of inflation, to rise 2% to 3% each year. That's a good starting point. But she also pointed to research showing that some costs of living are growing faster than the rate of inflation. This includes one of the major ones that impact retirees: health care costs.</p> <p>Retirees will need to adjust that annual cost-of-living increase upward to account for the rise in healthcare costs, including the rising costs of prescription medications.</p> <p>One rule of thumb that retirees have long followed is that they should spend from 60% to 90% of their after-tax annual income each year in retirement. So, if you were earning $50,000 each year before you retired and you had an effective tax rate of 15%, you were living on $42,500 after taxes each year.</p> <p>If you decide that you need to spend 85% of your most recent after-tax yearly income in retirement, you'd need to have $36,125 available to you each year after retirement. You can generate that yearly income from your savings, pensions, Social Security, and any other regular streams of income you might have.</p> <p>Again, though, this is only a general rule of thumb. You can change how much of your pre-retirement income you'll actually need during your retirement years, Deane-Bess said. If you move to a less expensive home or community, for example, you might need to spend 60% of your pre-retirement income each year. If you live in a higher-cost area, you might need to spend the full 90% each year.</p> <h2>The 4% Rule</h2> <p>Another rule of thumb? The 4% rule. This rule says that you should withdraw 4% of <a href="http://www.wisebread.com/8-steps-to-starting-a-retirement-plan-in-your-30s">your retirement-savings</a> portfolio in the first year of retirement for your living expenses. You should then withdraw that same dollar amount, plus enough extra income to account for inflation, every other year of retirement.</p> <p>It's important to note, though, that this formula rests on the assumption that your retirement will last 30 years. If you're particularly healthy, and you might be retired for more than three decades, you might have to withdraw fewer dollars each year to make your money last.</p> <h2>Expect Some Expenses to Rise</h2> <p>&quot;People often forget that there are actually a few expenses in retirement that go up,&quot; Deane-Bess says. &quot;Everyone assumes that their expenses will go down in retirement. But not all of them do.&quot;</p> <p>For instance, if you are going to be home more often after retirement, your utility bills will typically rise. That's because your heat will be on all day and you'll be using more electricity because you'll be home more often.</p> <p>Some retirees also spend more on leisure, entertainment, or travel during their after-work years. Instead of taking one big trip a year, they might plan on taking two or three. They might take more frequent smaller trips to see their grandchildren.</p> <p>The takeaway? You need to look at your own retirement plans &mdash; where you'll be living, what you'll be doing &mdash; when deciding how much money you can afford to spend each year. Start with the rules of thumb, but tweak them to meet your needs.</p> <p>For instance, Deane-Bess said that retirees who want to travel frequently or live in a higher-cost community might need to withdraw just 2.5% to 3% of their savings portfolio every year.</p> <p>&quot;We are starting to see a pullback from some of the rules of thumb,&quot; Deane-Bess says. &quot;I have been in the industry for 18 years. When I started, there were lots of rules of thumb. But things are changing. Today, it's about taking a more detailed look at your individual retirement plans.&quot;</p> <p><em>How much do you plan to spend in retirement?</em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/dan-rafter">Dan Rafter</a> of <a href="http://www.wisebread.com/how-much-can-you-afford-to-spend-in-retirement">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-1"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-almost-anyone-can-afford-to-retire-in-mexico">How Almost Anyone Can Afford to Retire in Mexico</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/7-states-with-the-lowest-taxes-for-retirees">7 States With the Lowest Taxes for Retirees</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-american-cities-where-you-can-retire-on-just-social-security">5 American Cities Where You Can Retire On Just Social Security</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire">5 Financial Moves Now That You&#039;ll Regret When You Retire</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/these-5-expenses-will-probably-cost-you-a-lot-less-in-retirement">These 5 Expenses Will Probably Cost You a Lot Less in Retirement</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement cost of living expenses inflation social security spending Thu, 05 Nov 2015 11:15:12 +0000 Dan Rafter 1605094 at http://www.wisebread.com 6 Ways to Guarantee Income in Retirement http://www.wisebread.com/6-ways-to-guarantee-income-in-retirement <div class="field field-type-filefield field-field-blog-image"> <div class="field-items"> <div class="field-item odd"> <a href="/6-ways-to-guarantee-income-in-retirement" class="imagecache imagecache-250w imagecache-linked imagecache-250w_linked"><img src="http://wisebread.killeracesmedia.netdna-cdn.com/files/fruganomics/imagecache/250w/blog-images/roth_ira_401k_000008885505.jpg" alt="Learning how to guarantee income in retirement" title="" class="imagecache imagecache-250w" width="250" height="140" /></a> </div> </div> </div> <p>There's nothing like having the peace of mind and security that comes from knowing you'll have steady income throughout retirement. Unless you're expecting a guaranteed pension, or know that your social security insurance (SSI) payments will be sufficient, there's little way of knowing you won't outlive your savings. Whether you're retirement age and have <a href="http://www.wisebread.com/how-to-enjoy-retirement-if-you-havent-saved-enough">not saved enough</a> or simply exploring your options, here are six ways that you can guarantee income in retirement.</p> <h2>1. Pensions</h2> <p>If you or someone you know works for the federal government, you're probably familiar with pension plans. Pensions are similar to <a href="http://www.wisebread.com/4-ways-to-boost-your-401k-returns">401K plans</a> in that employers match up to 25% of your contributions in some cases, but pensions also offer <em>guaranteed</em> income after retirement. The two most common types of plans are defined benefit (DB) and defined contribution (DC) plans. DB plans pay out a fixed benefit while payouts from DC plans are determined based on the investment's performance. Both plans will require that your tenure is extended in the period before retiring.</p> <h2>2. Social Security Insurance</h2> <p>As long as you've worked for at least 10 years and earn 40 credits, you'll qualify for SSI benefits once you reach retirement age (age 66 for most). In 2015, the IRS says that for every $1,250 you earn, you <a href="http://www.ssa.gov/pubs/EN-05-10072.pdf">accumulate one credit</a> and can earn a maximum of four a year. Credits never disappear even if you take an extended leave of absence and return to work or change jobs. Per credit earnings will rise with wage increases. Estimated by today's calculations, you would need to have earned at least $5,000 per year for 10 years, or $50,000 in wages to qualify for SSI.</p> <h2>3. Retirement and Investment Accounts</h2> <p>Even if the assets within your retirement portfolio (stocks, bonds, CDs, ETFs, etc.) have accumulated enough wealth that your annual withdrawals will meet your income needs, you should still make certain that your yearly returns can outpace inflation (averaging 3% annually). If not, you could suddenly find yourself having to live drastically below your means. For example, if at age 65 you have a nest egg of $1,000,000 and start taking annual withdrawals of 5% (or $50,000), you'd need an annual return of over 8% in order to replenish your coffers.</p> <h2>4. Annuity</h2> <p>If you need the type of guaranteed income assurance that retirement accounts and investment portfolios cannot provide, then you need an annuity. Annuities guarantee a monthly or annual payout for as long as you're alive. There are two types of annuities: fixed income and variable income. With fixed annuities, the money you invest today is guaranteed a predefined payout. Variable annuity payouts are based on the performance of your investment (if gains are realized, payouts will be higher). Payouts can begin at whatever age you choose, and continue for the rest of your life, or for a predetermined term.</p> <h2>5. Reverse Mortgage</h2> <p>A reverse mortgage is a type of home equity loan which pays out an annuity-like cash stream based on your home's accumulated equity. Typically, reverse mortgages are reserved for borrowers age 62 or older. The money borrowed can be paid out as one lump sum payment, or issued in installments for the life of the loan. But reverse mortgages are known for their high fees and aren't always a good deal, especially if you wish to retain or pass-on ownership of your home.</p> <h2>6. Longevity Insurance</h2> <p>Longevity insurance is an insurance contract that guarantees the money invested today will generate payments in retirement. As with other forms of guaranteed income, the longer you wait to start taking payments, the higher annual payouts will be. These products allow investors to make a lump sum initial investment (or smaller amounts over time) in order to receive guaranteed payments later. For example, if a woman aged 45 invested $50,000 today, she could start taking payments at 65 and receive roughly $7,650 in annual income for the rest of her life.</p> <p>Of course, the best approach to retirement income is generally asset diversification. The more income streams you can draw on, the less likely you'll be to ever run out.</p> <p><em>What steps are you taking to guarantee retirement income?</em></p> <br /><div id="custom_wisebread_footer"><div id="rss_tagline">This article is from <a href="http://www.wisebread.com/qiana-chavaia">Qiana Chavaia</a> of <a href="http://www.wisebread.com/6-ways-to-guarantee-income-in-retirement">Wise Bread</a>, an award-winning personal finance and <a href="http://www.wisebread.com/credit-cards">credit card comparison</a> website. Read more great articles from Wise Bread:</div><div class="view view-similarterms view-id-similarterms view-display-id-block_2 view-dom-id-2"> <div class="view-content"> <div class="item-list"> <ul> <li class="views-row views-row-1 views-row-odd views-row-first"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/stop-making-these-10-bogus-retirement-savings-excuses">Stop Making These 10 Bogus Retirement Savings Excuses</a></span> </div> </li> <li class="views-row views-row-2 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/the-inventor-of-the-401k-has-second-thoughts-about-your-retirement-plan-now-what">The Inventor of the 401K Has Second Thoughts About Your Retirement Plan — Now What?</a></span> </div> </li> <li class="views-row views-row-3 views-row-odd"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/5-financial-moves-now-that-youll-regret-when-you-retire">5 Financial Moves Now That You&#039;ll Regret When You Retire</a></span> </div> </li> <li class="views-row views-row-4 views-row-even"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/how-to-plan-for-retirement-when-you-re-ready-to-retire">How to Plan for Retirement When You’re Ready to Retire</a></span> </div> </li> <li class="views-row views-row-5 views-row-odd views-row-last"> <div class="views-field-title"> <span class="field-content"><a href="http://www.wisebread.com/6-retirement-rules-you-should-be-breaking">6 Retirement Rules You Should Be Breaking</a></span> </div> </li> </ul> </div> </div> </div> </div><br/></br> Retirement 401k annuties longevity insurance pensions reverse mortgage social security Tue, 27 Oct 2015 13:16:59 +0000 Qiana Chavaia 1599240 at http://www.wisebread.com