The Setting Every Community Up for Retirement Enhancement (SECURE) Act was signed into law on December 20, 2019, and it took effect on January 1, 2020. Overall, the legislation is intended to strengthen retirement security nationwide, but it also contains multiple changes that impact retirement and estate planning. Let’s dig into a few of the most significant provisions.Read More
We are facing something we have never faced before in our lifetimes. That is a fact and, during a time, when the news of the pandemic spreading and the recommendations on social distancing are getting broader by the day, it can be hard to feel certain or safe about anything.
As troubling as it is to watch the unprecedented market decline and hard it is to tune out the fact that you know you are losing a lot on your investments, we need to maintain our health and the health and safety of our family, friends, and neighbors as the number one priority. Covid-19 which emerged late in 2019 in China has spread rapidly worldwide since then and is a global pandemic. The measures taken by leaders around the globe have been strong leaving most children without a classroom to go to, parents working from home or without a job altogether and investors panicking about what is to come.
This disruption to daily life and to our psyches is substantial and it’s terrible. The coming weeks will not be easy, but these measures are practical and prudent.
Our Current Reality is not Permanent
The markets have made a clear statement as to what they think of this short-term reality. They have recognized that what is necessary to combat a further global public health crisis far worse than what we are seeing now will also result in a great deal of collateral economic damage. Short-term growth, which drives optimism for many investors and that, as we know, is really what the market thrives on, will be stunted. Economists have resigned themselves to the fact that a mild recession is inevitable, though experts believe it could be short-lived.Read More
We are facing something we have never faced before in our lifetimes. That is a fact and, during a time, when the news of the pandemic spreading and the recommendations on social distancing getting broader by the day, it can be hard to feel certain or safe about anything.
The measures taken by leaders around the globe have been strong leaving most children without a classroom to go to, parents working from home or without a job altogether and investors panicking about what is to come.Read More
More than three-quarters of American workers are living paycheck to paycheck – 78 percent, in fact. They’re covering their monthly expenses, but they lack an emergency fund and aren’t able to save for the long-term either. It’s a precarious way to live, with one unexpected expense having the power to create a financial tailspin. Unfortunately, this isn’t just a concern for workers.
Although the phrase “paycheck to paycheck” tends to refer to working families, retirees can end up in the same risky position. Maybe you’ve planned ahead well enough to know that your retirement income streams will cover your basic expenses, but are you prepared for a rainy day? For a fulfilling and stress-free retirement, you also want to be able to handle emergency expenses and ensure you’re growing your money for the future.Read More
Volatile Markets and the Ongoing Spread of the Virus are Causing Economic Uncertainty
Last week saw the worst week on Wall Street since 2008, as the Dow fell into correction likely due to the outbreak and spread of COVID-19, commonly called novel coronavirus. A market correction is a nerve-wracking event for investors, but the current uneasiness in the markets is no cause for panic.
While the spread of COVID-19 is atypical, a market correction is not. In fact, it’s an entirely normal process, and not altogether unexpected after experiencing the longest-running bull market on record. There have been 22 market corrections since 1974, and they are aptly named because the market usually “corrects” itself and returns prices to their longer-term trends. While the coronavirus is likely to cause economic impact into at least the second quarter of 2020, historically, Wall Street’s reaction to these types of epidemics has been short-lived, including in the recent past.Read More
When it comes to retirement, like many things in life, timing is everything.
Across America, many Boomers are wrestling with the question of when to leave the working world behind. Retire too early and you risk outliving your nest egg; wait too long and you may never get to enjoy retirement at all. It’s a complicated decision, to say the least, and one that is causing many would-be retirees to choose inaction – they simply continue to work without tackling the difficult decision of when to stop. Below are four common reasons workers put off making the decision of when to retire.
Fear of Not Having Enough
The sad truth is, many workers aren’t retiring because they are paralyzed by the fear of not having enough money for their monthly expenses. Unfortunately, many of them may be right. Recent data shows that 64 percent of Americans aren’t saving enough for retirement. Many Baby Boomers have spent years planning to rely on whatever they’ll get from Social Security, only to wake up as they near retirement age and realize they should have been supplementing their monthly retirement income with cash savings and smart investments, too.Read More
According to Nationwide Retirement Institute, nearly half of retirees wish they had been better prepared for the taxes they would pay in their retirement years. In fact, a full 25 percent reported paying thousands more than expected. These surprise expenses can be frustrating at best and downright painful at worst, and they’re getting more and more common as retirees rely on tax-deferred options like 401(k) accounts.Read More
If you’ve ever had a retirement conversation with your spouse that left you both frustrated or confused, it may not surprise you to learn that the majority of married couples find themselves misaligned when it comes to financial values and money management. In fact, 43% of couples are not even on the same page about when to retire.
At first glance, it may seem strange that two people living together – possibly for decades – are saving toward divergent timelines. However, money topics, in general, are common sources of frustration in relationships and are often cited as the main factor in divorce. Today, boomers are divorcing at higher numbers than their parents – often called gray divorce – meaning that the money saved for retirement will have to do double duty in order to serve both spouses when they part ways.Read More
Family Gatherings are Prime Opportunities for Discussions About the Future
Do you subscribe to the belief that family gatherings aren’t an appropriate place to discuss things like politics, religion or money? Many people feel this way, causing them to put off financial discussions about the future for another time. However, when your family is gathered together celebrating Thanksgiving and you’re feeling gratitude for the loved ones around you, it can open the door for important money conversations that impact your family’s future.
Why You Should Never Neglect Estate Planning
Topics such as where your assets will go when you die can be uncomfortable to broach, but estate planning is integral to your family’s financial future. Establishing a thoughtful succession plan using a document like a will or a living trust can benefit your whole family and ensure your wishes will be met. Ideally, you should have these plans in place before an emergency occurs, and while the oldest members of the family are still in good health, both physically and mentally.Read More