Imagine a forty-year retirement. That's a lot of golf and travel and the 'honey do' list at home may actually get finished by then. But really, what would you do if this happens to you? Your retirement planning needs to begin now. Your retirement planning for the long haul begins with a look at your risk of living and balancing that with a proper portfolio withdrawal strategy to support your ... Read More
Social Security
The Fiscal Cliff Explained
The Fiscal Cliff Explained ... Good for a laugh IMHO A friend shared this photo with me recently on the topic of the "Fiscal Cliff." The argument presented is pretty straightforward and simple to understand: Families can't live beyond their means and so country's shouldn't either. Interesting analogies. And entertaining. But keep this in mind. No country that prints its own currency has ... Read More
Deferring Retirement to Salvage 401(k)
Ask the Boston Money Coach Question: Will working longer and deferring retirement allow me to have more money for when I finally retire? I'm 54 now and was originally planning on retiring at 65. My 401K took quite a hit a few years ago and now I'm wondering if I should be postponing my retirement. Financial Planning Response from Boston Money Coach Steve Stanganelli: Time heals all wounds ... Read More
Calculating Social Security Benefits
Ask the Boston Money Coach Question.) I retired at age 55 and am returning to work. How will this affect my Social Security Benefits at age 67? Betty in Florida Response from Boston Money Coach Steve Stanganelli: Your benefits from Social Security are based on your lifetime earnings. Your income taxes on Social Security benefits will depend on your age and your current earnings. That's a ... Read More
Ask the Adviser: Will My Social Security Benefits Be Reduced If I Work?
Social Security benefits can be complex to calculate and understand for almost anyone who doesn't work at Social Security or do this every day. And the bottom line impact can be huge in terms of cash flow and potential tax liability. Special Rule for 1st Year Retirees You may be interested in knowing that there is a special rule for the first year you retire. Sometimes people who retire ... Read More
Ask the Adviser: What are the biggest issues new retirees tend to underestimate?
It's easy to get tripped up in retirement. I'm reminded of the expression by the octogenarian to the recent newlywed fretting about life but rejecting out of hand the advice of his experienced senior: A long time ago I was where you are now. And later you'll be where I am now. But just as you haven't been your age before, I've never been old before. So for new retirees who "not been there or ... Read More
Secrets for a Richer Retirement – Controlling Your Emotions
"The safest way to double your money is to fold it over once and put it in your pocket." Kin Hubbard Investing takes time. As humans our brains are more wired toward the flight-or-flight survival responses that got us to the top of the food chain. So we are more prone to panic moves in one direction or another and this is not always in our best long-term interests. So to retire richer ... Read More
Divorce for Seniors: The Impact on Social Security Benefits
10 Year Rule. Benefits are calculated based on the monthly average earnings of the covered person. A spouse can receive benefits based on his or her own work record or that of a spouse. For a spouse who has not worked or had low wages, then the lower-earning spouse is entitled to as much as one-half of the retired worker’s full benefit referred to as the Primary Insurance Amount (PIA). Eligible ... Read More
Beware the Siren Call
Like the mythical siren's call, the pitch is enticing - a seemingly perfect investment. Investors can buy into a contract offering a minimum return with the potential to capture the upside of increases in the stock market while avoiding portfolio value declines if - and when - the market goes down. This blend of promises can be found in 'equity-indexed annuities" or EIAs offered by insurance ... Read More
5 Sure-Fire Strategies to Lower College Costs
When your salary stops at retirement, will you have enough to pay your bills, travel and live the lifestyle that you want in your Golden Years? Sure, you may be one of the lucky ones with a pension. Social Security may even still be around. But if you want to live your vision of retirement, then saving and investing properly is important. And how you pay for college for your kids will impact ... Read More
