As clients approach the presumed age of retirement, some are beginning to question this expectation. In her article, Why retire? 10 reasons clients should keep working, Ann Marsh for financialplanning.com offers ten valid reasons why you might want to continue working, drawn from money management professionals. One sites this article as well, Voices The worst retirement advice I ever gave. What will you do when the time comes?
Author: Debra Watkins
A List To Save Money
Looking for ways to save money? Want to better organize your thoughts before heading to the grocery store, find useful coupons, and create an easy meal plan? Then this site is for you! In a society where we so readily waste food, it’s nice to know these organizational tools are there to help us save, be more healthful, and conserve our resources.
Plan For The Future
Financial planners often encourage clients to plan ahead, but what if the life change you are considering is divorce? There are many factors to consider when separating, including: alimony, prenuptial agreements, business valuation, and other shared assets. Deciding when to end the marriage on paper may be affected by a number or variables in the current tax climate. Paul Sullivan for the New York Times Wealth Matters, sheds light on a number of these elements in his article, Should You Get a Divorce Now or Later?
Avoiding Money Decisions?
Many of us, even if trained in the field, often struggle with decisions about our finances and retirement. Thinking about money opens the door to discomfort for most,m as Tim Herrarra for the New York Times states in his article, A Smarter Way to Think About Financial Decisions.
These feelings span all levels of financial training, “I have a Ph.D. in business and an M.B.A. in finance, on top of a degree in architecture, so I think I can understand financial products pretty well,” Professor Sela said. “But still, every time I get a letter from my bank, my instinct is to shove it in some drawer.”
How do we reframe our thinking and make these decisions easier? Try picturing the questions from a lifestyle vs. solely financial product view, such as, I would love to visit Paris or take a cruise around the world, as opposed to just choosing which annuity would suit you best.
Retirement Ready?
Does the thought of retirement make you nervous or are you still in the stage where you’re throwing out all the mail you get from AARP? Peter Finch for the New York Times offers a detailed, five-year plan to help you prepare. Finch explores the process by breaking each year down into easy steps, ranging from calculating self-worth/future needs, to recognizing health insurance options, investigating reverse mortgages, and considering long term care.
Countdown to Retirement: A Five-Year Plan
Student Loans May Affect Homeownership
Rising tuition costs and student debt are becoming significant factors in the ability of millennials to buy houses. An analysis published by the Federal Reserve Bank of New York last year suggests that student debt was responsible for up to 35 percent of the decline in homeownership among people between the ages of 28 and 30 from 2007 to 2015. (Homeownership for people under 28 tends to be low.). With many young adults leaving college with large bills, even landing good jobs isn’t enough to pay their debt in a timely manner.
How Student Debt Can Ruin Home Buying Dreams
Economists Study Current Wealth
In a new study this month, economists from the Federal Reserve Bank of St. Louis examined whether Americans are now wealthier or poorer than previous generations were at their age.
What they found may surprise you. People born before 1960 are in a better financial position than their predecessors while those born after 1980 are in a much worse situation. This generation is facing an array of money drains, such as student debt, auto loans, and credit card balances making it almost impossible for them to gain wealth quickly enough to match previous generations.
Eighties Babies Are Officially the Brokest Generation, Federal Reserve Study Concludes
Grandparent’s Gift
Are you interested in saving money for your grandchildren? David LaMartina for ThinkAdvisor examines this subject in his article, Investing for Grandchildren (There are a few well-established ways advisors can help clients invest in their grandkids futures without putting client’s own retirements at risk.) In this article, he examines best practices for maintaining your own retirement and savings while setting aside specific funds for grandchildren in a variety of ways. Everything from 529 plans to inventive uses of life insurance polices.
New Tax Changes Affect Gifting Money to Minors
As the end of school approaches, many parents and grandparents consider college expenses for their children. What once was an easy and low-tax way to give money to younger children will soon cost a good deal more. Ashley Ebeling for Forbes explores the changes in the so called “Kiddie Tax” in her article, The Kiddie Tax Grows Up: Beware The IRA Trap
Not Sweet For Everyone
Just Born was back in the news just before Easter. The Bethlehem, PA company famous for its bright marshmallow confections, Peeps, has returned to the trenches with the union workforce over pension benefits. Now both sides await a federal appeals court ruling. The fight has divided the town as the company works to insure solvency for years to come.