10 Retirement Commandments to Obey

When the markets get jumpy people start to wonder whether their retirement savings are going to go the distance. Now might be a good time to review the basics, aka “The 10 Commandments of Retirement.”

My favorite is Commandment #10: “Invest in ways that will provide a steady income stream in retirement. In many ways, retirement is no different from your working years: You want a steady flow of income. Do not be totally exposed to stock market fluctuations. You don’t want to worry about where [your withdrawals] will come from each year.”

One decree some might take exception to is using municipal bonds to reduce retirement taxes. It may be just a question of timing, but one has to consider whether bond funds make sense in a rising interest rate environment. There’s also the default risk some municipalities may pose.

See what you think at: https://www.marketwatch.com/story/the-10-commandments-of-retirement-2018-08-21?siteid=yhoof2&yptr=yahoo

Retirees Get Biggest Cost-of-Living Raise in Years

Social Security beneficiaries will receive 2.8% higher benefits in 2019. This is the biggest COLA increase since benefits went up 3.6% in 2012.

Read more at:  https://sagefinancialpartners.com/retirees-get-biggest-cost-of-living-raise-in-years/

Are You Budgeting Enough for Health Care in Retirement?

Health care costs are increasing faster than any other expense (except maybe the cost of college). Which probably explains why one of the most common questions we hear is, “How much should I budget for health care costs in retirement?” My knee-jerk response usually is, “It depends.” That’s such a weaselly answer. This article is much better. It tells you how much health care will cost in retirement – at every age. For example, you’ll see why health care costs will soak up 48% of a 66-year-old couple’s lifetime Social Security benefits and 72% of a 45-year-old couple’s. Our experience is that this is an issue that many retirees and pre-retirees don’t want to face. But it might be even more expensive to ignore it.