Having an emergency fund is important in nearly every stage of life, but having one in retirement is essential. Most retirees are no longer earning income and are living off a fixed income from retirement accounts and/or Social Security. Therefore, it could be argued that you should have a loftier savings fund in retirement than while you are working. Emergencies can happen to anyone at any age, but the things that are likely to come up in retirement years are usually more expensive, such as healthcare costs, dental work, and expenses associated with long-term care needs. Many retirees are still living in …Read More
The main message about retirement is that you need to save (and you do!) but once you have some retirement savings, you also need to make sure you maximize your savings by not paying fees you need not pay. There are ways in which fees and penalties can eat into the resources you work so hard to save.
U.S. News & World Report offers information on “5 Retirement Fees You Should Never Pay” to get you thinking about how you can use your retirement money to benefit you instead of paying penalties.
Early withdrawal penalties: You may …Read More
If you have reached adulthood then you are already aware that plans go awry. Your plans for one day can be derailed so it goes without saying that your plans for retirement may not play out the way you think they will. Still, many of us remain a little too optimistic that we’ll be able to retire when and how we want.
In “3 April Fool’s Jokes for Your Retirement Plan,” TheStreet.com observes “There are many disparities between the expectations of a worker aged 50+ and the reality.” Rather than be a April fool, consider how you can …Read More
A Motley Fool article offers the warning “Don’t Retire Unless You Can Answer These 4 Questions” and the questions they outline are good ones. Many of us dream of the day when we can retire but a number of us do not actually plan well for the reality. In the best case scenario, we reach retirement and realize that we have not planned well for our financial or emotional wellbeing and then we quickly make adjustments. In the worst cases, we are forced into retirement earlier than we might have imagined and find ourselves at a loss.
Measuring …Read More