Now that you’re nearing retirement, the term “market volatility” might stir up different feelings than it 30 years ago. Older workers and retirees understand that they have less time to make up for losses in their investments and to ride out future market crashes than they did when they were younger. And with life expectancies increasing, leaving your financial wellbeing up to the whims of the market seems like less and less of a good idea. [...]
If you’ve contributed to a 401(k) or IRA, you should prepare a strategy for your RMDs (Required Minimum Distributions). After many years of enjoying tax free growth, your retirement savings from non-Roth (i.e. traditional) accounts will eventually be subject to tax. Rather than be caught off guard, take control and learn the ins and outs of your RMDs so you can avoid penalties, and determine the best strategy for re-distributing your RMDs. Required minimum distributions from [...]
So you want to become a world traveler in retirement, but you’re also a responsible person who knows they need to support themselves for the next 30 years. You can take advantage of your newfound free time in retirement and rethink your destinations to maximize value. With careful planning and some creativity, you could fulfill your dreams of travel in retirement without overspending. Setting a travel budget is one of the rules of retirement to consider, [...]
Even in retirement, taxes are a guarantee. Your Social Security benefit, capital gains, and retirement account distributions can all be taxed, leaving you with less retirement income than you planned on receiving. Your tax burden is important to consider when planning for retirement, and can be your most significant expense. Here is how common retirement income sources are taxed. While you will gain a new source of income in retirement through Social Security, it could also [...]
You’ve saved for retirement and made good investments, so why shouldn’t one of your New Year’s resolution be to take a trip, or start planning a post-retirement vacation? Many people are still very physically active in retirement, so biking and hiking can be great ways to experience a new country’s landscape. Travel can be a good motivation to get or stay in shape as you reach retirement age, and new adventures keep one young. When you’re [...]
While it’s easy to get caught up in the holiday spirit, running out to grab last minute gifts, baking dozens of gingerbread men and trimming your tree, don’t forget about your retirement plan. The end of the year is an important time for retires, and there’s a few things you should wrap up before it ends. One thing that comes with the end of a year is deadlines. An important deadline that can be costly to [...]
When you’re young, you can get away with handing out cards drawn with colorful crayons as your go-to gift, but when you get older, your shopping list grows, and you have to learn how to stretch your budget. As we age, we have more and more relatives and friends that we exchange gifts with, which means more and more money that we need to account for in our retirement budgets. So, when your children and grandchildren [...]
One aspect of retirement that often gets overlooked is how your relationships change once you retire. You go from having friendly small talk and happy hour drinks with your coworkers, to having the freedom to choose who you spend your time with. This can be especially complicated for married couples to navigate. There is a shift from spending just a few hours a night together catching up on your day, to being together 24 hours a [...]
We spend a lot of time day dreaming about retirement, but once you finally get there, things might not be as you expected. The transition from full time work to retirement comes as a shock to some people which is why it’s increasingly important to have a lifestyle plan for retirement. Having these plans beforehand can make retirement something that you are truly thankful for this season. There are leisure activities, and there are productive leisure [...]
There are plenty of expenses that you’ll have to worry about in retirement. With the cost of healthcare and entertainment, along with travel expenses generally rising in retirement, just to name a few, it can be reassuring to learn that there’s a few areas where you might save some money in retirement. In fact, here’s five expenses that can practically disappear altogether! With the costs of commuting rising every year, it’s no surprise that when you [...]