retirement-planning

10 Retirement Resolutions To Set for 2014

Fri, 03 Jan 2014 02:56:42 +0100

10 Retirement Resolutions To Set for 2014
by Rodney Brooks, USA TODAY
http://www.usatoday.com/story/money/columnist/brooks/2014/01/01/retirement-savings-pensions-401k-financial-planners-ira/4109141/

Things have been good this year. The stock market has had an incredible run. The economy and housing are starting to turn around. And we have all saved enough money to live an incredible lifestyle in retirement.Well, two out of three ain't bad.

Most of us have not saved enough for retirement. I've doled out dozens of tips for retirement and common mistakes in 2013. So, as we head into the new year I'd like to remind you of some of the most important.

1. If you haven't already, start thinking about retirement and retirement planning — especially if you've turned 50. "Spend more time on retirement planning and invest more dollars for retirement," says Maclyn Clouse, professor of finance at the University of Denver's Daniels College of Business. "Do not rely only on Social Security. As Congress and the president look for ways to reduce our budget deficits, it is likely that we will see cut backs in payments to future Social Security recipients. It is also likely that the age at which you can begin to receive payments will be increased."

RETIREMENT: Your plan for the future

2. Have a plan for your life in retirement. Plan for some sort of transition, and have activities planned. "One program I teach is never retire, which deals with the psychological transition into retirement," says author and former financial planner Frank Maselli. "The typical structure is a man has been working 35 years. The spouse has been home. Suddenly the husband is home. It can be the cause of family stress and many families exploding or imploding. Take normal stress of a transition, and throw in the fact that your wife can't stand seeing you all day."

3. Don't let family members throw your retirement off track. We all love our kids, but financial planners warn to be careful not to let them hurt your retirement preparations. Retirement accounts are not a good way to fund a college education. There are so many more options for saving for college, and with a little planning you can keep you retirement on track and send your child to college. Also, parents should have a plan for when the kids return home, whether it's after college or because some of a life emergency.

"You have to draw some lines and limits," says Lynnette Khalfani-Cox, founder of AskTheMoneyCoach.com. "Nobody has an infinite amount of cash. We want to help our children or grandkids. For most Americans it is a challenge to secure a comfortable retirement of their own, let alone help extended family."

4. It's never too late to start saving, but late starters need to temper lifestyle expectations. If you are 50 or older, you need to start thinking about changes you need to make to be able to retire. Some may have to keep working to make up for all those years of not saving. Others may have to sell their homes or downsize.

5. The possibility of running out of money in retirement is real for millions of people. You should not underestimate your life span. There's probably a good chance you will live into your 80s or 90s. And if you don't have a well-thought-out plan, you could outlive your savings. Planners recommend that people consider delaying retirement.

"If a married couple retires at 65 , there's a good chance one will live into their mid-90s," says Joe Heider, regional managing principal for Rehmann Financial Group in Cleveland. "If you live another 25 years, you're in retirement for half of your working life. If you retire at 60 you are almost in retirement as long as you were working, and you need to account for inflation."

6. If you are planning to continue to work in retirement, you may be in for a shock. Many people who have not saved enough plan to make up the difference by continuing to work and delaying retirement. Problem is, for a variety of reasons, many people are not able to work into their 60s. The biggest reason is health issues. But, yes, age discrimination is an issue as well.

POLL: Half of older workers plan to retire later

7. Don't underestimate health care costs in retirement. "A shock that I've seen that devastates people in retirement is unanticipated medial expenses and health issues," says Kent Caldwell-Meeks, senior director of investment and fiduciary services at Wells Fargo Wealth Management Group. He says people will be in retirement for 20 to 40 years, and need to have a financial plan that accounts for that.

HEALTH COSTS: Ways to help with health care in retirement

8. The less debt you have going into retirement, the more likely you are to find success in your retirement. "Anybody who is seriously thinking about preparing for retirement must reduce their debt," says Khalfani-Cox. "This goes into a number of areas, not just credit card debt. There's mortgage debt and even student loan debt, because so many older Americans have gone back to school and financed their education or co-signed for their adult children. All of that debt is really a ball and chain around you if you are going into your golden years."

9. Figure out how to make Social Security work best for you. Most financial planners recommend that you delay taking Social Security for as long as you can. That makes sense in that every year you delay receiving Social Security, your check increases by 8%. But the truth is most people cannot afford to wait. A good financial planner will work with you to figure out what strategy is best for you.

PLAN AHEAD: What age is best to start taking Social Security?

SOCIAL SECURITY: What you don't know about it can hurt you

"It's true that the longer you wait, the more you get," says Jeff Bucher, President of Citizen Advisory Group in Perrysburg, Ohio. "But that's not always the easier plan for everybody. We look at the holistic portfolio and all the choices. If we wait till 70 that will be the max age, and for some people they can't do that. Even at 66 or 67, some people need that money earlier. When you boil it down, Social Security is a significant amount of retirement income, but little planning goes into what to elect to get. There are different strategies to maximize what you get."

10. Do not be too conservative in your retirement savings. "There is a tendency to for people in retirement to be way too conservative in their investments," says Heider. "They no longer feel the need to hedge against inflation. Most need exposure to the equity markets. They have to have some exposure, in most cases, if they are going to have a reasonable expectation of maintaining that nest egg during retirement."

by Rodney Brooks, USA TODAY
http://www.usatoday.com/story/money/columnist/brooks/2014/01/01/retirement-savings-pensions-401k-financial-planners-ira/4109141/

www.RetirementBusinessMentor.com It doesn’t just take age to retire…It takes Money. Learn how to Create Multiple Streams Of Income For Your Wealthy, Stress Free Retirement. Start & Grow Multiple Profitable business's with the help of a Retirement Business Coach. Go to www.RetirementBusinessMentor.com now

Make Money in Retirement Writing eBooks

Fri, 03 Jan 2014 01:29:06 +0100

Make Money in Retirement Writing eBooks

There are tons of ways to make money online. One of the best, long term ways is by writing eBooks. If you enjoy writing and you are good at it, then why not consider writing an eBook? Not sure what you’d write on? Well the topics are endless. Write on a subject that you have expertise in and start selling.

The traditional method of writing a book and finding a publisher is consuming and it can take a long time for your book to reach your target audience. An eBook offers far more flexibility. Since an eBook is a digital book you can easily publish yourself, advertise and sell online, or sell through sites like Amazon.

The internet offers you a global market, which means you have a market that is far reaching and readily available. Let’s look at how you can make money by writing an electronic book or eBook.

1. To write your eBook you need to think about what you are going to write on. If you aren’t sure start researching topics online, in magazines, reviewing current events, etc. It must be a subject that you have adequate knowledge on. The topic you are going to write on should also be popular, in demand, and interesting. Before you start writing make sure you have adequate information to complete an eBook.

2. After you are sure you have adequate information it’s time to start to write your draft. You’ll want to proofread your draft or you can hire a professional to proofread it for you. Then you can decide if you want to add more content or if what you have is adequate. When you are happy your draft is the best it can be you are ready to move on to the final version.

3. For your eBook to be available for sale on the internet you will need to upload it using one of the self publishing websites such as Lulu or Amazon. You will not need to pay money to publish your eBook on these sites, which is a real bonus. You see you don’t have to have money to make money. Just a great idea and time. Oh yes, and let’s not forget about the writing skills.

4. Next it’s time to publicize the eBook you wrote. Marketing through social networking has a lot to offer, as does publicizing through blogs, forums, etc. The goal is to have your eBook reach the widest possible audience online.

5. You might also consider using affiliates to sell your eBook. There are a number of excellent affiliate marketing programs such as ClickBank that will promote your book on your behalf. When your book sells they keep a percentage of each of the sales.

Writing an eBook is a great way to make money and to generate revenue over the long term. Once demand is established and your markets are in place your eBook can continue selling for a very long time especially if the subject remains popular. The more eBooks you publish the more credible you will become as a writer and the easier it will be for you to sell your eBooks. So what are you waiting for?

Common Mistakes Of Estate Planning

Mon, 18 Nov 2013 07:17:10 +0100

Common Mistakes Of Estate Planning

Even though planning your estate isn’t an enjoyable job it’s necessary so that you can efficiently and successfully transfer all of your assets to those you leave behind. With a bit of careful planning, your heirs can avoid having to pay estate taxes and federal taxes on your assets. As well, a well planned estate avoids confusion for your loved ones. Still, with all the advantages of estate planning, many people make a great many mistakes in the process. The most common mistake when it comes to estate planning is not getting around to doing it at all. Make sure that you take the time to plan at least the financial portion of your estate so that you leave your loved ones behind with some amount of security.

Don’t fall into the trap of thinking that estate planning is just for the rich. This is completely false as planning your estate is essential for anyone who has any amount of assets to leave behind. Many people don’t realize that their estate is as large as it really is, especially when they fail to take into account the assets from their home. Remember to update your will and to review it at least once every two years. Factors that can change information about your beneficiaries include deaths, divorce, birth, and adoption. As your family structure changes so does the change in your assets and who you want to leave them to.

Don’t assume that taxes paid on your assets are set in stone. Talk to your financial planner about ways that your beneficiaries can avoid paying taxes on your assets. There are several strategies for tax planning so that you can minimize taxes or avoid them altogether. All of your financial papers should be in order so that it’s easy for someone to find them. Make sure that one of your loved ones has information on where to find the papers necessary for planning after your death.

Don’t leave everything to your partner. When you leave all of your assets to your spouse you are in reality sacrificing their portion of the benefit. You’ll get an estate tax credit but will forfeit part of this if your spouse is your only beneficiary. Ensure that your children are well planned for. Many people take a lot of time deciding what to do with their assets and forget that they need to appoint guardianship for their children. There are many details to take into consideration when it comes to guardianship.

The above mistakes are common when people are planning their estate. Take the time to plan for your death even though you think that you have years before it becomes an issue. The key to successful estate planning is being prepared.

Go to www.RetirementBusinessMentor.com to learn how to create multiple streams of income for your wealthy stress free retirement

The Essentials Of Estate Planning

Mon, 18 Nov 2013 07:14:09 +0100

The Essentials Of Estate Planning

Most people don’t look forward to estate planning. However, it’s important that you ensure your estate is in order long before you need it. You’ve worked hard to build up your estate; now it’s time to make sure that everything ends up where you want it to after you die. There are many areas of estate planning that will require the help of a professional, such as estate taxes, trusts, and probate. Following are some essential details that you need to think about when you’re planning your estate.

The most important thing about estate planning is that you have a will. Your will should indicate exactly where your property and assets should go when you die. You should also have what is called a “living will”. A living will specify certain health care and medical instructions that should be followed in the event that you are on life support or otherwise unable to make these requests yourself. You’ll need to name a power of attorney that will be in charge of managing the details of your living will.

Take the time to review your beneficiaries at least once every year. Your personal family situation will change during the course of your lifetime so you’ll need to make changes to your beneficiaries. Don’t forget to make these changes in your life insurance policies as well as any other documents where you have listed a beneficiary. If you have any minor children you’ll need to determine who will have guardianship over them if you die. Your will should clearly state what you want for the future of your children.

You might want to think about setting up a trust so that you maintain even tighter control of your hard earned assets. A trust can also be set up to carry out certain requests when you die. Another benefit of setting up a trust is that a trust bypasses the probate process, which can be quite lengthy and drawn out. Talk to your lawyer about the different types of trusts that are available. The time of your death will be emotional and difficult for your loved ones. You can make it easier by ensuring all the information they need is well organized. Make sure that you have all your documents in one place. This includes financial statements, insurance policies, your will, and the key to your safety deposit box.

The more care you have taken when it comes to estate planning, the easier it will be for the ones you leave behind to manage at the time of your death.

5 Tips to help you Retire Rich

Sun, 10 Nov 2013 07:31:16 +0100

5 Tips to help you Retire Rich

www.RetirementBusinessMentor.com
A person in his or her late fifties looks forward to a peaceful life once they get retired from active service. They hope for a life without alarm clocks, running to catch the train to commute, no deadlines thrusting by the higher officials and above all, plenty of time to do things that they love to do and that too at a pace they are comfortable with. But not all those who are retiring can enjoy what they want to do unless they have planned for their retirement well in advance in the early days of their career.

This calls for careful planning for a hassle free retirement life. The best time to start this is in the early years of career. Investment Plans in Your Thirties are not 'Too Early' for a Secured Happy and Rich Retired Life

Let us go over some of the areas discussed in the free downloadable book “Retire Rich Retire Happy” which highlights 5 key areas that will ensure that you can spend your retired life rich and happy.

Strategic Investment Plan: This is a good investment idea which if followed will help you retire rich and happy. The plan involves allocating a regular amount from your monthly salary and investing it in Mutual Funds, where in there is a security of the amount invested at the same time a larger return from the profit made from the investments done in the equities by the company in which you have invested. While your investment grows as the time passes the profits also make it big and give you a good sum to look at when you retire. The best way to do this is to set up a direct debit that transfers the funds every month to your Mutual Funds account.

Insurance: This is another important thing one should do, in early days of the career, as soon as the confirmation of your first job set up a life insurance policy. The advantage is that you will be able to take a insurance for a good amount with a small premium (the amount you remit either monthly, quarterly, half yearly or yearly) that is low calculating the longer years you will have before you retire.

Gold: ever since its discovery the yellow metal is the reckoned as the standard of security and investment. Even in the case of a country its credit worthiness is assessed on the basis of the Gold Securities they have in the government treasuries. It will not be too difficult to purchase them once a year or twice and the appreciation of the same will be a good asset in the latter half of your life.

Property: Another key area that appreciates as the population increases in a given town or city is real estate. Either as land or a house built on the land. The third basic need of man, the ‘shelter’ is always on the appreciation path barring one or two years of recession after which it will pick up again. Invest on some land and property early in your career days. It will give you handsome return either as rental income or capital appreciation.

Annuity: When you receive a good bonus or an increase in your salary when you get a promotion or a career change, invest the difference amount as lump sum in some annuity scheme offered by the banks or some reputed financial houses. A sum you have invested in your thirties, when reinvested till your retirement will grow many fold to enable you to retire comfortably.

Added to these investment ideas, the gratuity you receive from the organization should help you to live your retired life peacefully, rich and happy

Retire Rich, Healthy, Wealthy and Wise. Visit www.RetireRichRetireHappy.co.uk to download a free book “Retire Rich Retire Happy” – how to plan towards being Rich, Healthy and Wise in Retirement

7 proven ways to build your retirement portfolio

Sun, 10 Nov 2013 07:26:49 +0100

7 proven ways to build your retirement portfolio

www.RetirementBusinessMentor.com

These 7 proven ways to build your retirement portfolio are just like pillars in building a strong house. A strong building needs a strong foundation, proper time and a good plan. The foundation will ensure the houses remains strong even after many years; the plan will ensure that the house is built in a flexible way that allows adjustment and execution

1. A retirement portfolio should be diversified sufficiently to manage risks and flexible enough to allow changes if need be. It should also be prepared in a simple way and not too complicated to give one a headache. Rather it should state clear goals and actions to be taken at what time.

2. One should start early. You do not have to be an expert or a genius to build your retirement portfolio, but you must start early enough at a young age so as to accumulate more by the time one is retiring.

3. If one is lucky to be working for a organization or a company that has a retirement plan, one should take advantage and join as early as possible. Some companies contribute a favorable amount towards the pension scheme and leave you at freedom to make a choice of your own contribution with some allowing you to save up to 25% of your own income. If you are self employed you can still have an account that offers individual pensions plan at low cost.

4. Investment is a key that unlock wealth. Whether you are a guru in the stock market or you know nothing about it, a portion of what you plan to save should be put for growth in the stock market, money market fund and bonds. A wise saying says, cast your bread in many waters and after many days, you will find it again. As you cast your saving in different investment you will enjoy them in your retirement.

5. Understand your financial goals. You cannot hit a target you are not aware of its location. You must locate and identify your financial goals, identify a starting point and decide what you want. Some actions may require urgency and others flow as you proceed. You might need a financial coach to guide you on some issues so as to avoid making mistakes.

6. Write down a plan. Writing your retirement plan will give you a wider picture of your retirement needs that will prompt you to asses your anticipated lifestyle and what you already have in terms of assets.

7. Stay updated and Be on the know how of investment. By being currently updated with current news and consistently invest one will be able to smooth out the inevitable daily fluctuation in the market. it will help one to have an effective strategy of buying extra shares when the price is low and buy few shares as the price go higher.

Building an ideal portfolio should be made an ongoing process while still evaluating all essential components and regularly checking whether one is on track. A life coach or a financial partner can be of great help when need be.

Retire Rich, Healthy, Wealthy and Wise. Visit www.RetireRichRetireHappy.co.uk to download a free book “Retire Rich Retire Happy” – how to plan towards being Rich, Healthy and Wise in Retirement