Corporate Pension Plan Offerings Plummet While Defined Contribution Plans Skyrocket |
May 23, 2012 |
Retirement Planning
According to a survey by consulting firm, Towers Watson, the proportion of Fortune 100 companies offering defined benefit plans fell from 67 percent to 17 percent from 1998 to 2010. During that same time, defined contribution plans increased from 10 percent to 58 percent. Companies have been moving towards defined contribution plans such as 401(k)s in order to cut their costs. Unless you have amazing luck investing, the defined contribution plans will deliver less income after you retire compared to the defined benefit plans, which...
View Article
Innovative Matching Service Linking Baby Boomers to Retirement Income Specialist Goes Active In Delaware |
May 22, 2012 |
Press Releases
The first free online matching service designed to help baby boomers find retirement income specialists in their local communities is now active throughout Delaware. Annuity123, an online retirement income educational portal, has opened their Annuity Harmony matching service for the benefit of all of Delaware’s residents who are in need of annuity education and retirement planning guidance. This innovative online matching service is aimed at linking individuals who are planning for their retirement with retirement income specialists who reside in their local area. Over 30...
View Article
5 IRA Timing Rules That Can Derail Your Retirement |
May 21, 2012 |
Retirement Planning, Your Retirement
You have surely heard the saying that “Timing is everything”, but you may not have heard it in reference to IRAs. An article posted by Robert Powell with the above title highlights 5 important timing rules that you need to consider when developing and executing your retirement plan. Here are the five timing issues that seem to generate the most problems: 1. The age-55 penalty exception 2. The five-year rule for 72(t) payments 3. The five-year rule for Roth IRA conversions 4. Five-year rule for...
View Article
Only 1 in 7 Employees on Track to Retire with 80% of Income |
May 15, 2012 |
Retirement Planning
According to research done by Financial Finesse, only one in seven employees say they are on track to retire with 80% (or their goal) of their income. This finding came from a new survey on financial trends of employees was derived from responses to an online financial wellness assessment questionnaire. It found that only 14% believed that they were on track to meet their retirement income goal. On a more upbeat note, another key finding from this research is that employees are becoming more proactive...
View Article
Healthcare Costs for Retirees Rise Again |
May 14, 2012 |
Healthcare, Retirement Planning, Your Retirement
According to a report released by Fidelity Investments released last week, a 65 year old couple retiring in 2012 will spend at least $240,000 in healthcare costs during their retirement (this is on top of their Medicare benefits). Compared to the forecast given last year of $230,000, this update represents a 4% increase. Further, this expenditure forecast does not even include long-term care, over-the-counter medications, nor most dental care expenditures. Given this significant and growing amount, it is very important to ensure that your retirement...
View Article
Study Results – Only 51% of Americans Are Contributing to a Retirement Plan |
May 11, 2012 |
Retirement Planning
Findings from a recent survey show that almost half of Americans are not contributing to their retirement. This survey was hosted by LIMRA in April. It was based on a nationally representative survey of 2,697 Americans who are the primary financial decision makers or share responsibility for making financial decisions. Although the overall percentage was troubling, the results for ages 18-34 showed that a majority (56%) were not setting aside funds for their retirement. “The findings from this survey were disturbing, given that people will...
View Article
Georgia’s Baby Boomer And Retirement Income Specialist Matching Service Goes Active |
May 10, 2012 |
Press Releases
The first free online matching service designed to help baby boomers find retirement income specialists in their local communities is now active throughout Georgia. Annuity123, the online retirement income educational portal, has opened their Annuity Harmony matching service for the benefit of all of Georgia’s residents who are in need of annuity education and planning guidance. This innovative online matching service is aimed to link retirees or those approaching retirement with retirement income specialists whose practice is in their local area. Over 30 years ago...
View Article
Do You Discuss Health Care With Your Financial Advisor? |
May 9, 2012 |
Healthcare, Your Retirement
Knowing that health care is such a large cost driver in retirement, why do so few pre-retirees discuss health care with their advisors? A recent study from Nationwide Financial states that almost half of high-net worth Americans who are close to retirement say that they are “terrified” of what health care costs may do to their retirement plans. However, only 38% say that they have not discussed retirement health care costs with their advisors. This survey also revealed that respondents who were 55 or older...
View Article
Insurance You Can Live Without |
May 8, 2012 |
Life Insurance, Your Retirement
Although owning insurance often gives us a certain peace of mind knowing that we have protection against unforeseen events, some plans are simply not worth the costs to insure. Jeanette Pavini posted a great article which describes some insurance policies which are often not in our best interest to purchase. She provides a list of things that we should stay away from and also includes others that we should really pursue. In summary, here are the highlighted items. Skip – Pet insurance, home warranty, extended...
View Article
Long Term Care Costs In Your Area |
May 7, 2012 |
Retirement Planning, Your Retirement
One key item in retirement planning which is difficult to assess is the expected costs of long term care. Fortunately, statistics are available for us to use as a guide in our personal planning. The statistical guide that I would like to highlight in this blog came from Northwester Mutual. They put together this fantastic table which breaks down the average cost of long term care by each state and even many major cities. Further, they broke down long term care into these three segments:...
View Article
