David Lerner Associates: 3 Financial Tips for Seniors
Studies show that the retirement age in America in creeping upward as many seniors choose to keep working longer. The easing of Social Security restrictions on earning income has also contributed to the trend of retirees who stay in the labor market to supplement their income and secure their lifestyle later in life.
Taking control of one’s finances can help ensure a comfortable retirement. Knowing as much as you can about your finances and planned retirement income is necessary to achieving this goal.
1. Be prepared
The boy scouts have the right idea. Making sure that one is prepared and planning for all eventualities is always a good idea. As the great golfer Gary Player once said “The harder I practice the luckier I get”.
Figure out your retirement expenses and income potential. If there’s a gap work out how to reduce or eliminate it. That could be by adjusting your lifestyle plans or finding a way to earn more money to cover the gap.
2. Don’t draw from your social security too soon
Delaying your retirement date may be just what you need to make the difference. The SSA has calculators available on their site that you can use to plan your retirement date for maximum benefit. Waiting just a few more years could make all the difference to your later years. Using these calculators to see a clearer picture is advisable.
http://www.ssa.gov/retire/ http://www.ssa.gov/planners/benefitcalculators.html
3. Seniors are in demand as employees
More than half (54%) of workers over 60 expect to keep working after they retire.
While you might think that age is a negative factor, in fact it is quite the opposite. Knowledge and experience are valued in an employee today. If you do plan to work after retirement look to the private sector – 54% of these companies hired workers who were 50 or older in 2014, up from 48% in 2013. Fully 57% expect to hire older workers in 2015.
For many Americans retirement is filled with unknowns: how many years do I have I have to keep working to provide for how much money I need, will my health allow me to keep working? Instead of worrying about what-ifs, gather as much knowledge as possible and make plans. Being well prepared lessens the anxiety of the unknown.
IMPORTANT DISCLOSURES
Material contained in this article is provided for information purposes only and is not intended to be used in connection with the evaluation of any investments offered by David Lerner Associates, Inc. This material does not constitute an offer or recommendation to buy or sell securities and should not be considered in connection with the purchase or sale of securities.
To the extent that this material concerns tax matters, it is not intended or written to be used, and cannot be used, by a taxpayer for the purpose of avoiding penalties that may be imposed by law. Each taxpayer should seek independent advice from a tax professional based on his or her individual circumstances.
These materials are provided for general information and educational purposes based upon publicly available information from sources believed to be reliable– we cannot assure the accuracy or completeness of these materials. The information in these materials may change at any time and without notice.
David Lerner Associates does not provide tax or legal advice. The information presented here is not specific to any individual's personal circumstances. Member FINRA & SIPC.