After a nearly devastating set of personal crises – cancer, near bankruptcy and a suicide attempt by his father – Bruce Feiler spent five years talking to people about their biggest life transitions. He analyzed what patterns people experienced and what was the key to thriving after a big event. The result is a method…
Understanding the difference between the future value of your money versus the present value of your money can be tricky. (Using a future value retirement calculator can make it easy though.) Once you get your head around the concepts they are pretty simple, and you’ll see why understanding this way of thinking about cash is…
As you prepare for retirement, it’s essential to understand what your taxes will be. You may think your Social Security benefits are tax-free. After all, why would the government pay you money with one hand and take it back with the other? But the truth is, you may pay taxes on your Social Security benefits…
Episode 43 of the NewRetirement podcast is an interview with Christine Benz — author and Morningstar’s director of personal finance — and discusses the big financial and life lessons Benz has picked up over her 25-year career at Morningstar. They also talk about Benz’s works, 30-Minute Money Solutions: A Step-by-Step Guide to Managing Your Finances…
Terror about retirement spending is not uncommon. In fact, most people are worried about spending their nest egg and running out of money. After all, you have been conditioned for decades to earn, not spend. You were probably a teenager when you opened your first paycheck and officially started the cycle of earning and spending…
To build wealth, most people think you need a Wall Street job, good luck or just being born into advantageous circumstances. Those things definitely help, but building wealth can happen by following a few best practices and habits consistently. And, you can even begin building wealth in your 50s. It is definitely not too late.…
Your brain is not necessarily set up in a way that makes it easy to plan a secure retirement. You have cognitive biases — faulty ways of thinking that are unfortunately hardwired into your brain — that work against you. Behavioral finance and behavioral economics are the study of these phenomena. Understanding behavioral finance and…
You want to have a better retirement. But how do you get there? You could spend hours researching the latest science behind happiness, personal finance and investment theory, and health research. Or you can take a few minutes to watch the best TED Talks related to retirement. With their engaging speakers and easy-to-digest format, even…
Life expectancy has mostly been rising in the United States — overall. However, recent research has found that there are significant differences in life expectancy by county. In fact, in many counties, the average life expectancy is 20 years — TWENTY years — shorter than in other areas.The good news is that some areas of…
Before retirement, life has a predictable routine. Work takes priority, and oftentimes everything else is scheduled around it. From laundry to mowing the lawn, many people plan and keep a routine so that everything gets done. After retirement, there’s nothing but time! So, it might seem that schedules aren’t crucial. But a routine might be…
While financial and health concerns are a major part of every person’s retirement decision, it’s important to ask yourself questions that go beyond financial preparedness to help determine at what age retirement is right for you. Americans are living longer than ever. This means that many individuals will actually spend more years in retirement than…
When you hear the phrase “preparing for retirement,” you probably think about savings and budgeting. However, your finances are just one aspect that you need to consider. Sure, you need to have your financial situation in check when you retire, but other aspects of your life could use some prepping as well. Here are seven…
Would you believe some people give retirement financial planning less attention than planning a vacation, choosing a restaurant, or buying a television? It’s a bit scary, but it’s also true. Retirement isn’t an event, and it’s not something to buy. If you want to keep your current standard of living for the long haul, you’ll…
Chances are you’ll live longer than your parents, and much longer than your parents’ parents lived. While that sounds like a gift at face value, a longer life expectancy brings with it some special concerns, too. According to the Society of Actuaries, an actuary professional organization in Illinois, one of out three males and one…
If you want to achieve retirement security, it may not be adequate to just have enough money saved and have a detailed retirement plan. Even if you have guaranteed retirement income, you’ve maximized your social security, you have terrific supplemental medicare insurance, and you know exactly what you want to do in your golden years,…
When to retire. Getting the answer to this question is — by far — one of the biggest decisions of your life and a choice that can cause a lot of stress.
You’ve been working for over 40 years and now you’re approaching retirement. You have friends who have retired. Some seem happier than others, and you wonder what it will take for you to be happy in retirement. To help us understand the psychology of retirement, here is an interview between Gary Foreman of the website…
You want to know how to retire. Figuring out the answer to this question can feel overwhelming and sometimes impossible, especially if you are already in your 50s or 60s. It has been hard just making ends meet month after month; now you are faced with creating a plan for the next 20 or 30…
Financial planning for retirement takes a more focused turn through your midlife years–from your late 40s through your 50s and into your 60s. At midlife, your income is usually better than when you were younger, and you’ve got more information to work with. If you’re already saving, this period means adding new layers to your…
The life transition of becoming a parent with an empty nest is a life transition that is not often talked about (at least not much as we analyze the impact of other major life events, such as getting married, having children, and retiring). However, the act of your children leaving home has emotional and financial…
Winning the lottery actually has a lot in common with being near retirement age: You can quit working You have finite financial resources at your disposal (Really finite for most of us; in fact, many of us feel like we can not retire unless we actually do win the lottery.) It is a time to…
Everyone knows that they need a retirement plan. But that means different things to different people, and not every plan counts as a truly useful retirement plan. Sometimes a retirement plan is something that is prepared for you by a professional. It is likely a thoughtful plan, but how exactly is it going to be…
You’ve probably read somewhere that you need $1 million in savings in order to retire. While that is not entirely true, we are here to tell you that it is possible to have a million-dollar retirement (even if you haven’t started saving quite yet).A recent report from the U.S. Federal Reserve found that nearly a quarter…
If you are thinking about retirement, congratulations! This is a big decision. Did you make the right retirement preparations? Have you avoided the worst financial mistakes? Do you have the right retirement solutions? A strong retirement plan can mean the difference between outliving your retirement savings and being able to sustain your lifestyle for as…
Financial planning for retirement starts sliding into home plate after 50. If you’re lucky, you’ve spent a lifetime preparing for it. You’ve maxed out your tax-deferred investment options, amassed dependable investments, curbed spending, kept debt manageable, and created a sizable nest egg to provide a comfortable retirement income. Not everyone has that benefit, though, which…