5 retirement questions to ask before ‘How much should I save?’
(BPT) – How do I plan for a comfortable retirement? This question is top of mind for many Americans. Yet how to afford that dream retirement remains a mystery to most. According to The Employee Benefit Research Institute’s 2019 Retirement Confidence Survey, only 42% of working-age people have tried to calculate just how much they need to save to live comfortably in retirement.
But “how much money you need to retire” is not the only retirement questions you should be asking — and not even the initial one. There are a few key questions you should consider first to help determine what “retirement” means to you, which will help paint a clearer picture of that magic savings number. Before you pull out your calculator, consider these View full post…
Posted: December 2, 2019 Under: Retirement By: BPT
(BPT) – Across the nation, thousands of seniors have used a Home Equity Conversion Mortgage (HECM), commonly called a reverse mortgage loan, as a savvy way to access the equity in their homes as part of their retirement strategies.
Those who are interested in a reverse mortgage loan should know that there are six main phases to the process: 1) educating and qualifying 2) counseling, 3) approval, 4) funding, 5) using and 6) settling.
1. Educating and qualifying
The HECM process begins by contacting an FHA-approved lender who will review the borrower’s situation, educate them on the HECM program, and determine if they would likely qualify for a reverse mortgage loan. This is a controversial type of loan and must be carefully considered as a part of your retirement strategies.
“Once the lender has determined that the borrower is eligible, they work closely with them to shape the loan so it fits their needs,” says Paul Fiore, Chief Sales Officer for American Advisors Group, the leading reverse mortgage lender in the nation. “At AAG, this is a highly personalized process View full post…
Posted: January 11, 2019 Under: Retirement By: BPT
Do You Know What’s More Important – To Save for Retirement First or Your Child’s College?
This topic is a hot potato in many respects. Should the parent’s primary responsibility be to save for the child’s education first or to save for retirement? The answers to that question will vary depending upon who responds – the parent or the child.
As parents, we know all too well how high college costsare and the student loan problems that exist today. We all want our children to be successful and have many of the financial advantages that we didn’t have. Student loans now average $35,000 to $37,000 per college graduate, and no parent wants this burden for their child.
However, many financial advisers are of the opinion that a parent can take better care of the child if they take care of themselves first. By this, they mean that the parent should save for retirement first, then college. Following are some of the reasons View full post…
Posted: August 28, 2018 Under: Retirement By: Gust Lenglet
Retirement planning is usually difficult for a variety of reasons. Some say its equivalent to rolling the dice because retirement may be decades away and you’re forced to make spending assumptions now.
What makes it worse is that if your guess is too far off, it can make a happy and comfortable retirement into one that is a nightmare.
Once you’re already in retirement, it can be very difficult to recover financially if some unforeseen large expense occurs. Some retirees try to find a job to supplement their income, but many others cannot. Either they’re not able physically, or the job market may be cold.
The following categories where un-planned spending generally occurs creates problems for some and blows their budget out the window. View full post…
Posted: July 30, 2018 Under: Retirement By: Gust Lenglet
If you’re employed by a firm that has a 401(k) plan, you know how to save for retirement…it’s a no brainer. But suppose you’re an entrepreneur who just started a new business?
More often than not, saving for retirement isn’t a priority at this time. The new business isn’t making a profit and cash flow is very limited due to the high start-up costs. As a matter of fact, some entrepreneurs use current retirement accounts to fund the new business, which is not a good idea.
Retirement Savings – Issues That Worry Millennials
Just when you thought that retirement savings meant putting away as much money as you needed for your lifestyle…now, making plans for unknown factors creeps in. For the millennial generation, unfortunately, much is unknown. There are four primary concerns that we will list here and then elaborate later on:
1. Will social security and Medicare survive? 2. Will they have to take care of their elderly parents? 3. What will future health care costs be? 4. Are their retirement funds being managed properly?
How Much To Save for Retirement – What’s Your Magic Number?
This question has been asked so many times and there is no one simple answer. Well maybe there is if you say “as much as you can”. How much to save for retirement has so many variables it will make your head spin.
You can read opinions from many financial planners citing actuarial tables and formulas, but the bottom line is start saving for retirement as early as you can and save as much as you can.
According to statistics and studies made, Americans aren’t the best at socking away money for their retirement years. They go on to say that in excess of 80% of us have no idea on how much to save for retirement.
How Much Money Do You Need To Retire? A Simple Calculation.
Some retirement planners suggest that an individual needs $1 million to be able to retire and for a married couple, $2 million. Using another retirement calculator, some say the amount needed is 10 to 12 times your current annual salary. Do you agree? How much money do you need to retire?
So, to answer the question, how much money do you need to retire, you’ll find there are many ways to figure that out. One of the methods that I prefer isn’t very hard, and only requires some simple math.
The title of this article says it all and is really the bottom line you need to strive for. Your goal is to find any unnecessary spending and cut back. We all have daily expenses that can be trimmed and added to our retirement savings which should be one of our top priorities.
One of the reasons that the “B” word or budget is so terrifying is that it’s associated with sacrifice. This simply isn’t true…a budget is, and should be, a matter of choice.
Two primary choices to begin with – do you want to live it up today and not care about tomorrow? Or do you want to exercise good judgment and cut back a little today so that you will have a more comfortable retirement? I’d like to have both, but I’m not aware of any wealthy relatives that would sponsor me.
6 Ways to Protect Yourself from Financial Abuse in Retirement
Many of us are familiar with seniors who have been/are victims of financial abuse. Unfortunately, so many of them go unnoticed and the abuse isn’t discovered until they pass away.
There are millions of elderly American citizens that have health issues and some diminished level of intellectual competency that places them at risk for financial abuse. There are steps that you can take to reduce your chances of being one of these victims.
In our modern society, telemarketers and other individuals looking for a fast buck are a fact of life. Government agencies that tried to place some level of control on the telemarketing industry were an absolute failure. There are increasing numbers of our elderly citizens who are falling for the hype of these scammers and losing many dollars as a result.
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