There are many reasons why people retire. There are also many reasons why people continue to work well into what some consider the “retirement years”. If you are one of those people working well into your 60s or 70s–or have decided you want to continue working well into those age ranges–what keeps you motivated to stay in the working world? In recent years, many have said that health and retirement benefits are a big factor for staying employed. For others, it can be the social aspect of the office that keeps them motivated to keep working. Some may have no Continue reading What Keeps You Working?
Wow, 2020 has been a wild ride so far. We started the year off with what seemed like a strong stock market, solid economy, and no fears of COVID-19. That quickly changed less than three months into the year as much of the country came to a standstill after Coronavirus reached our shores. It’s fair to say it’s been a bit of a rough ride since then. It’s also hard to say what the rest of the year will bring. However, 2020 has also brought some big changes to retirement saving and planning. First off, the SECURE Act was signed Continue reading We’re Half Way Through 2020…Can You Handle Another Half?
I want to start out by stating that this post is not meant to knock employer retirement plans. Such plans can be a great way to get started in saving for retirement or as another source of retirement savings. However, if you do reach a point where rolling a 401(k) or other employer plan into an IRA is a real opportunity/thought, then you should strongly consider doing so. First off, if you are still working and your 401(k) isn’t a huge amount, you could save yourself some serious tax money down the road if you convert to an IRA, especially Continue reading Rolling Over to an IRA Can Give You More Investment Options
There’s been a lot of talk over the past few weeks about how the Coronavirus Aid, Relief, and Economic Security Act (CARES Act) has provisions impacting IRAs (no RMDs for 2020) and other retirement accounts (waives early distribution penalties for multiple, common retirement accounts). However, there’s been little talk about how the legislation may impact Qualified Charitable Distributions (QCDs). Why is that? Well, it’s because the CARES Act doesn’t impact QCDs. Yes, that’s right; QCDs will work the same this year as they did in previous years. So if you were thinking about making a charitable contribution from one of Continue reading Feeling Charitable? QCDs are Still a Thing in 2020
If you’re thinking seriously about retirement, then most likely you’re a member of the Baby Boomer generation. That means you were born at some point between 1946 and 1964, which currently puts much, if not all of that generation, right in that retirement sweet spot. However, given the havoc the Coronavirus has wreaked on the economy, you might be finding yourself rethinking your retirement plans. The reasons for this rethinking can vary. Maybe your nest egg took a hit in the market swings and you want to build it back up or maybe you lost your job and need a Continue reading The Long Road Ahead for Baby Boomers
I’ve focused a lot on Coronavirus and how it has or may affect retirement plans for many. I see no reason to change that theme now. While parts of the country are starting to re-open, many areas are still largely shut down. There is also a lot of uncertainty surrounding opening up parts of the country. What happens in infections spike in areas that are reopening and they have to shut down again? Many predict, such a situation is a real possibility for places opening without a proper plan. It can be easy to become cautious regarding saving for retirement Continue reading Staying Focused on Retirement During Trying Times
Have you found yourself out of a job thanks to retirement? Are you living off of unemployment and savings at the moment? While this may not be an ideal scenario, it can be a good time to practice a bit what life will be like in retirement. In retirement, you probably will have to make your savings last, especially if you don’t plan on working or don’t have passive income as part of your plans. You will need to work on skills such as budgeting and planning. If you are living on unemployment benefits you are already doing the same Continue reading Coronavirus as Retirement Practice?
It’s tough times out there for many Americans. We’re seeing record numbers of people filing for unemployment. For those who have lost jobs, it can be scary to think about where the finances will come from to continue paying things such as rent, mortgages, grocery bills, etc. Thus, during these times, it can be tempting to tap into retirement savings, especially if you have managed to build up a decent-sized nest egg. While I strongly, strongly discourage you from using your retirement savings to get you through these tough times, I realize that it may really be the only option Continue reading To Tap or Not to Tap Your Retirement Savings?
You may have sensed a bit of a theme with my recent blog posts as I have tended to focus on the current economic climate and how it might affect retirees and people saving for retirement. I see no need to change that theme at the moment. However, today I want to remind you that while saving for retirement is very important, so too is surviving to retirement. We are currently in a very difficult economic climate as we have put a massive stall on the economy in an effort to stifle the spread of the Coronavirus. This has led Continue reading Thinking About the Here and Now With Money
As my last blog post mentioned, it’s a tough time to be making retirement decisions. That’s regardless of whether it’s changing your retirement saving goals, deciding to actually retire, or making financial decisions in retirement. Make no mistake, the current economic situation will impact retirement decisions for at least the next year and probably even longer. It’s already forcing many older and retired Americans to make decisions about whether they should consider taking money out of their retirement accounts earlier than anticipated as well as whether they should file for Social Security sooner than they want to. Keep in mind Continue reading Retirement Decisions in the Time of Coronavirus