We all know it’s important to save for retirement, however there’s a lot of information out there, so navigating the process can be overwhelming. Below are some common mistakes to avoid when it comes to saving for your retirement. Neglecting to calculate how much you’ll need Without knowing how much you’ll need to retire, it’s difficult to determine if you’re investing enough right now. ...
What to Expect When the Fed Raises Rates
According to a recent AARP article, now that the Federal Reserve (Fed) has begun raising rates, consumers will start to feel the effects. A rate hike usually signifies more will be coming in the future. When rates go up, banks tend to increase the prime rate, and this will have an impact on certain financial products. What does this mean for you as a consumer?1 Credit Cards Most credit cards...
Need Additional Income in Retirement?
The Social Security Administration reports that the average benefit paid in 2014 was $1,329 per month, or $16,000 per year. Vanguard states that the median 401(k) account balance for those over 65 was $72,845 in 2014. Based on the 4% safe withdrawal rule that only works out to an additional $2,914 per year. Although some retirees may have access to other sources of retirement income, it’s...
Can a Reverse Mortgage Replace the Once Commonplace Pension?
Historically, retirement income for most Americans generally came from three sources: social security, pension and retirement savings. This has often been referred to as the 3-legged stool. However, now companies are shifting away from offering pensions, also known as defined benefits, to offering defined contribution plans or 401(k)’s. The once 3-legged stool is now becoming a 2-legged stool...
Be Aware of These Common Scams
Anyone can fall victim to fraud, but seniors are particularly vulnerable. Seniors are often on a fixed income, so losing money at the hands of a scam artist can hit older Americans the hardest. According to a recent AARP article, there were 750 documented data breaches in 2015, which is roughly the same as in 2014. However, the amount of stolen records increased 11.25% from 2014. Typically...