Research shows that 90 percent of current workers will receive more lifetime Social Security income if they wait until age 70 to claim benefits. Claiming early permanently reduces survivor benefits for a spouse if the highest earner dies first. Deferring Social Security until 70 offers guaranteed monthly benefit increases against uncertain investment returns. A recent … Read more
(John Blanchard/SF Chronicle) Retirement sounds like fun. Saving for it, a little less. How much you need to save for retirement and where you should save are questions without single answers. For previous generations, retirement planning was a little simpler: Your workplace provided a pension plan where your contributions were determined and invested for you. … Read more
Lucigerma / Shutterstock Moneywise and Yahoo Finance LLC may earn commission or revenue by linking to the content below. A surprise that may hit you in the early years of retirement – even after you say goodbye to work expenses and retirement account contributions, you may end up spending more than when you had a … Read more
SmartAsset and Yahoo Finance LLC may earn commission or revenue through links in the content below. Roth conversions at the end of life can require some tricky math. As you approach retirement, one of the most important questions will be how to handle taxes on your retirement income. For households that rely on pre-tax portfolios … Read more
Shutterstock Moneywise and Yahoo Finance LLC may earn commission or revenue by linking to the content below. With the youngest baby boomers now 61 years old, much of the generation is already retired or approaching retirement. However, the data shows that many have inadequate savings and may struggle to maintain their standard of living. In … Read more
Reading the nation’s wealth statistics can cause financial anxiety. After all, mainstream statistics suggest that being a millionaire in America is relatively common. More than 24 million US households have a net worth of more than $1 million, according to Bloomberg. (1) That is more than 18% of all households. (2) On the surface, it … Read more
Canva: Monkey Business Images and Jonathan Ross of Getty Images A $4 million nest egg generates $160,000 annually using the 4% withdrawal rule. Healthcare, taxes and long-term care costs remain major variables that can have a significant impact on retirement spending. You may enjoy a nice retirement with $4 million saved, but continue to manage … Read more
If you have $2 million in retirement savings, congratulations. That’s well above the $1.26 million Americans, according to Northwestern Mutual, think they need to retire comfortably. (1) At this point, you’ve probably overcome the challenge of saving enough. Now your next mission is to preserve the wealth. Higher taxes and poor lifestyle choices can quickly … Read more
Rix Pix Photo / Shutterstock.com Dave Ramsey advises claiming Social Security at age 62, despite the 30% reduction in benefits, to invest the funds for potentially higher returns. Early claimants who continue to work lose $1 in benefits for every $2 earned over $23,400 annually until full retirement age. This strategy requires saving enough to … Read more
Shutterstock Moneywise and Yahoo Finance LLC may earn commission or revenue by linking to the content below. Many people are content to live a middle-class lifestyle. But what does middle class even mean, anyway? The Pew Research Center defines the middle class as having an income between two-thirds and double the national median income. During … Read more