“If you’re retired or a conservative investor who cannot afford to lose money, your bank certificate of deposits are about to become worthless. Or close to worthless,” declares the author of today’s article as it appears the Fed is gearing up to cut interest rates. So what are fixed-income investors who want to make money on cash without putting that…
$3.4 trillion. According to a new study, that’s how much retirees have lost, and are losing, by not making the optimal decision when it comes to when to claim Social Security benefits. That’s $111,000 per household! According to the study, “the average Social Security recipient would get 9% more income in retirement by making the ‘financially optimal’ decision about when…
When it comes to periods of extended market weakness, the author of today’s article notes that “Retirees…tend to experience [them] differently, and more viscerally, than their still-working counterparts” as they are living off the finite balances of their portfolios. So while those who are still working may be able to ride out – or even take advantage of – market…
An encore career in retirement can provide many advantages, financial and otherwise. On the financial front, for example, income from an encore career can help retirees delay claiming Social Security benefits – and thus increase the benefit amount they ultimately receive. However, the author of today’s article cautions that, when considering embarking on a postretirement career, “there are some important…
While the author of today’s article acknowledges that there is much to make dividend-paying stocks appealing as a source of cash flow in retirement, she warns “I get nervous when retirees use them to take the place of bonds altogether. And I think retirees should get nervous, too.” What’s not to like, for retirees, about dividend payers, according to the…
It’s an unwelcome surprise for many retirees: having to pay more taxes in retirement than when they were working. In fact, one financial security expert cited in today’s article warns that “tax-deferred retirement accounts such as a 401(k), IRA, or 403(b) can be like sitting on a tax time bomb”. What are the two main reasons Americans are paying higher…
While retirees living on investment income may desire to be able to simply sit in bonds, today’s article notes that “Even in 2019 and even after the Fed’s normalization of interest rates, retirees and those who are nearing retirement simply have no choice but to have at least some investments in stocks” – specifically, stable dividend-paying stocks with the ability…
Does a couple hundred thousand dollars more in retirement savings sound like something worth having? Of course! And today’s article highlights a strategy – developed by a Baylor University finance professor – that may offer just that. For more on this strategy to “stretch your retirement” – the driver of which “is to protect as much money as possible from…
“The Achilles’ heel of any dividend-stock strategy is that a high-dividend company’s dividend yield comes down not because its price rises but because the company cuts its dividend,” notes the author of today’s article. He proceeds to highlight a potentially better way of picking dividend stocks than focusing on yield alone – an approach utilized by the best-performing dividend stock…
Far more retirees are afraid of running out of money before they die than are afraid of dying, at least one survey finds – and the author of today’s article notes that “This ever-present background fear is especially rearing its ugly head right now, given the bear market that to many came out of nowhere.” But is this fear overblown?…