The FIRE (Financial Independence, Retire Early) movement has been gaining traction – but, as today’s article seeks to make clear, as wonderful as the prospect may seem, extra-early retirement isn’t for everyone. Specifically, the author outlines some of the financial and emotional consequences of early retirement – as well as some questions to ask yourself if you are still considering…
In a recent study, 44% of retirees reported that healthcare costs in retirement were higher than they had anticipated – and the financial security expert cited in today’s article cautions that “Higher-than-expected medical and nursing home costs are only two of several ways people underestimate their retirement costs.” What are the three critical ways she sees people underestimate their costs…
The good news regarding mutual and exchange-traded fund fees? Last year saw the biggest one-year decline in fees and several major fund companies have been competitively lowering their fees (with one now even offering index funds without any management fees). The bad news, according to today’s article, “is that many investors don’t realize how much they’re paying in fund fees…
With paltry bond yields on one hand and the risks associated with high-yielding funds and stocks on the other, generating enough income in a low interest rate environment can be challenging for retirees. However, today’s article highlights two “innovative” ETFs that the author sees as offering slightly higher yields while mitigating risks. The first of these two funds seeks out…
What does it take to have accumulated $1 million by retirement age (65)? The author of today’s article outlines how this seemingly Herculean task is “actually much easier–especially if you start saving early–to let your investments do as much heavy lifting as possible.” How can you have $1 million saved by age 65 – and is $1 million even an…
Noting that the two most important factors for those on the verge of retirement are income and stability, the author of today’s article states that “a soon-to-be-retiring person can maintain a perfect stock portfolio with the help of strong organizations that pay substantial dividends” – and he proceeds to highlight nine companies that fit this profile. For these nine dividend…
A recent study found that three in five Americans are very likely to work longer than desired – an additional two years on average – to meet their retirement goals. Having to work longer than expected is just one of the many surprises that those approaching (and those in) retirement encounter. In today’s article, a number of financial planners reveal what…
In today’s article, the author shares some of the investment-related issues that he sees being most commonly misunderstood by those in – or approaching – retirement. Which “all-time classic” retirement funding strategy does he state “unfortunately…has never really worked, at least over any substantial period of time”? Why does he argue that dividends are not income, even if they feel…
With the stock market of the world’s second-largest economy – China – having dropped by more than 20%, what does this mean for retirees in the U.S., who often hold significant positions in non-U.S. stocks? The author of today’s article notes that such a divergence between the U.S. stock market and a leading foreign market is increasingly rare – and…
If you’re a high-income earner, you might think that one popular retirement-saving vehicle – the Roth IRA – is not available to you due to IRS-imposed restrictions on who can contribute to these accounts. One strategy for high-income earners to get around these restrictions is the “backdoor Roth” – and while there has been concern about this strategy, the new…