Savings or Annuities: How do They Compare?

If you’re quickly approaching retirement, you’re probably asking yourself an all-too-common question: should I invest in a bank CD or an annuity? You’re not alone. Consumers across the nation are struggling with the same dilemma. The first step in making this important decision is to understand the differences between these two products. Annuities and CDs (short for bank certificates of …

Seven Costly Estate Planning Mistakes

You’ve worked many years to create a financial legacy for your family. But estate planning laws are complicated. One or two simple mistakes can derail an estate plan and cost your heirs dearly in time, money and stress. Here are some of the most common estate planning mistakes and how to avoid them. 1. Trying to do it yourself Online …

Health Care Costs Consume Most of Retirees’ Social Security Income

Many retirees end up regretting not having waited to retire later and collect a paycheck for a few more years when they are suddenly hit by unexpected costs from health issues and life events. Had they held out a few more years, they could have seen a significant increase in the amount of Social Security income they collect and hence …

When to Call Your Financial Advisor

If you’re experiencing a major life change of any kind, or facing a crucial financial decision, it’s a good idea to make an appointment with your financial advisor. Here are some examples of major life passages when you may need some good financial advice – and some action items to bring up: 1. Marriage. At a minimum, it’s critical to …

Why Even Single People Should Consider Life Insurance

Most singles, whether they are in their 20s or even 60s, do not carry life insurance. They reason that since they don’t have spouses or dependents, there is no reason to purchase life insurance as their death won’t leave anybody in a financial bind. But that reasoning is not always sound and there are a number of circumstances when a …

You Can Insure Against Outliving Your Assets in Retirement

Life expectancy continues to increase in the United States. While a male born today can expect to live about 75 years and a female nearly 80, once you reach the age of 65, statistics from the Social Security Administration say you’ll likely surpass those marks. A 65-year-old male can expect to live more than 16 additional years, and a female …

Beware Medicare Doesn’t Cover Everything

Many retirees get an unpleasant surprise after turning 65 and signing up for Medicare: It doesn’t provide complete coverage of health care costs. In fact, there are some very large gaps that can be financially devastating to ordinary Americans. A recent study from Fidelity estimated that the average 65-year-old married couple would need about $280,000 in savings to cover out-of-pocket …

Who Will Pay Your Mortgage in the Event of the Death of a Breadwinner?

Sadly, thousands of Americans lose their homes every year because they can no longer make the insurance and mortgage payments on their home following the unexpected death or disability of a family breadwinner. In many cases, this is unnecessary. Term life insurance in amounts more than sufficient to pay off a home or replace most of a breadwinner’s income is …

How to Invest for Guaranteed Income

Looking for guaranteed income? It’s not easy – and you’re not likely to get rich on guaranteed income generators alone. One of the fundamental rules of investment is that rewards over and above what investment theorists call the “risk free rate of return” are only available to those who take some risk with their money. That said, as you get …

Five Ways to Protect Your Retirement Against Inflation

After decades of tame inflation, it spiked sharply in April 2021, reaching 3.4% on an annualized basis. If sustained over a year, that would be more than twice the average inflation rate over the last decade and a half.   If you’re close to retirement age, that rate of inflation is enough cut your spending power in half during your lifetime. …