Sentences with phrase «retirement as the retiree»

Black retirees were nearly twice as reliant on public pensions to provide a secure retirement as the retiree population as a whole.

Not exact matches

Those three words once associated with the rules of retirement investing no longer hold true, as many retirees have been forced to assume more risk than they would like.

This reality has profound implications for economic growth: consumers saving for retirement need to reduce spending if they are going to reach their retirement income goals and retirees with lower incomes will need to cut consumption as well.

Current retirees can collect as early as age 62, but their benefit will be permanently reduced by a percentage based on the number of months before they reach full retirement age, which ranges from age 65 to 67, depending upon birth year.

If you adjust the projections to account for the rising employment rate of people like Levitt, the drop - off in retirees» spending as they age, and the value of fourth - pillar assets, Canadians may well be over-saving for retirement, Vettese adds.

I like to see retirees attempt to smooth their income, paying as little tax over their entire retirement, rather than just in the first few years.

But some retirement specialists believe annuities have their place because they offer peace of mind: They act as insurance policies that protect retirees from outliving their income.

With the shift from pensions to individual savings, gone are the days when many retirees could rely on a regular check when they retire — and as many as half of all workers lack access to employer - sponsored retirement accounts at all.

Health savings accounts are assuming greater prominence in retirement planning as anticipated retiree health costs rise.

Because of their flexibility, portability and tax advantages — and rising projections for retiree health costs — StoneStreet's Delaney says she's focusing more on HSAs as a retirement planning tool.

• 35 % of retirees have less than $ 1,000 in savings and investments that could be used for retirement, not counting their primary residence or defined benefits plans such as traditional pensions; 53 % have less than $ 25,000.

Half the time, wealth is nearly tripled by the end retirement, as retirees fail to spend their upside!»

Some of the above is valid, but as an actual retirement - age retiree (68, minus 5 weeks) I have a different perspective.

As fewer companies offer pensions and Social Security makes up a smaller percentage of the average retiree's income, individuals will have to rely more on their own savings for living in retirement.

today we're talking about how we calculated what we need to save for early retirement, since the 4 percent rule doesn't exactly work as planned for all early retirees.

Second, as the population ages and the number of retirees climbs, the costs associated with Social Security, government pensions, and healthcare retirement benefits increase.

Pay - as - you - go system: A retirement system in which benefits for current retirees are funded by taxes on today's workers in return for the implicit promise that those workers will receive retirement benefits funded by future workers.

@ Bob — if you're a retiree (or nearing retirement) then you may wish to avoid currency risk by investing in the UK i.e. by investing in assets of the same currency as your liabilities.

Ask Ben a question Register for upcoming webinar Introducing our newest segment: Asked & Answered Listen in to our very first Asked & Answered episode as we answer the following retirement questions: Fritz's question: Annual costs for higher income individual for pre-65 retiree health care costs?

Andrew Biggs of AEI has written extensively on this topic, pointing out that retirement savings have risen as a share of annual incomes, and that most retirees are able to replace most of their pre-retirement incomes.

A recent MetLife survey * highlighted how this choice shakes out when it comes to retirement: One in five retirees who took their pension or defined contribution plan, such as a 401 (k), as a lump sum depleted it in an average of 5 1/2 years.

Financial planner Benjamin S. Offit, partner with Clear Path Advisory in Pikesville, Maryland, said it is ideal for retirees to have all debt paid off by retirement, but especially «bad debt» such as high interest credit cards.

You have to be as risk averse as retirees so that you don't lose a part of your funds that you are relying on for a comfortable post retirement life.

In an advisor - structured plan, the bond fund would serve as a stabilizer in a multi-asset portfolio from which the retiree would take distributions in the early retirement years, he says.

Retirees may view annuitized income from Social Security and employer pensions as their primary source of retirement spending and think of the retirement portfolio only as a reserve to protect against the unexpected.

Reforms such as higher taxes, lower benefits and delayed retirement are designed to put Social Security on a firm financial footing, so that the sheer passage of time does not force future payees and retirees into a crisis that would severely hurt both groups.

An article in the September 29 issue of the Los Angeles Times predicts that «although tax revenue from workers will continue to exceed payments to retirees until 2030, that will change radically as the baby - boom hordes begin to reach retirement age.»

The state's pension fund encompasses not just the retirement funds for thousands of state workers, but retirees in over 3,000 local governments as well.

If you are close to retirement, please consider renewing your membership with NJASL, as a retiree.

As retirees near the middle and late stages of retirement and their investment returns and expectations become more conservative, continuing to hold a mortgage simply may not be advisable from a cash - flow perspective.»

Using this approach, a reverse mortgage loan is established at the outset of retirement and drawn upon every year to provide retirement income until exhausted, allowing the retiree's investment portfolio, such as a 401 (k) plan, more time to grow.

This arises when a retiree begins a program of systematic withdrawals from their retirement fund just as the stock market goes into a bearish phase.

For many retirees a stock stake in the range of 40 % to 60 % in the initial stage of retirement makes sense, although what's right for you will depend on such factors as your risk tolerance, the size of your nest egg, how much income you need to draw from it and what other resources (a pension, cash value life insurance, whatever) you have to fall back on.

Rather than attempt the complex calculations necessary to arrive at an optimal strategy for drawing down and spending their retirement savings, retirees rely on easy - to - follow rules of thumb, such as the 4 % rule advocated by some financial planners.

As a financial advisor and someone who strongly believes that social security is a vital resource for bolstering income in retirement, this change is for the greater good, and will help protect the financial security of the Social Security system for future retirees.

Because home equity typically makes up a substantial portion of a retiree's net worth, it can arguably serve as a drag on income, net worth growth and overall quality of life in retirement.

Affordable condominium and retirement communities are attracting retirees, often from more expensive locations such as Toronto.

«That's going to be an issue for retirees, because obviously that means they're not going to get as much of their income from investment returns in retirement as used to be the case.»

So given how ideal the Roth IRA is for early retirees, the focus of my early retirement is getting as much of my money into the Roth IRA tax efficiently.

Reverse mortgages do not require monthly payments and do not become due until the last borrower no longer occupies the home as their primary residence or fails to meet the loan obligations.5 Retirees may be able to improve their monthly cash flow and live a more comfortable lifestyle, by using a reverse mortgage to pay off their home or simply access their home equity to supplement their retirement income.

Pitfall: Retirees do not realize their monthly expenses can rise in retirement as employee benefits cease.

Furthermore, many retirees prefer to remain in their homes as part of their retirement.

This is essential as the level of interest rates will largely define the return environment a retiree faces and therefore determine the amount of expected retirement income.

If you do not request withholding, you will find that you will owe quite a bit of money at tax time, and perhaps the 10 % estimated tax penalty (ETP), as most federal retirees end up paying federal income tax on 85 % of their Social Security retirement benefits.

Taking benefits as soon as possible at age 62 locks in payments that are only 75 percent of what they would be at age 66, which is defined as the full retirement age for the current wave of retirees.

Generally, older participants and eligible retirees have shorter time horizons to retirement and their investment risk level declines as preserving income wealth becomes more important.

For a typical retiree, allocating 10 % to 15 % of retirement savings into a longevity annuity provides roughly the same spending benefits as putting 60 % or more wealth toward an immediate annuity, according to a paper published in the Financial Analysis Journal by Jason S. Scott, retirement research director for Financial Engines of Palo Alto, Calif..

«Research has consistently shown that strategic uses of reverse mortgages can be used to improve a retiree's financial situation, and that reverse mortgages generally provide more strategic benefits when used early in retirement as opposed to being used as a last resort.»

One other issue behind supporting a retirement annuity as a solution to our financial needs as retirees involves figuring out who's going to offer these products.

Half the time, wealth is nearly tripled by the end retirement, as retirees fail to spend their upside!»