Treasurer Loftis Says Retirement Planning Important Given Extended Lifespans, Costs
State Treasurer
"Unfortunately, many individuals aren't prepared when it comes to planning for retirement," Treasurer Loftis said. "People who stop working at 65 are living into their 80s and even 90s, which means they're going to need a sizable amount of money to get by, whether they realize it or not."
Some 40 percent of retirees underestimate the life expectancy of people their age by at least five years, according to a study by the
Part of the problem stems from a misunderstanding of statistics, according to
Here are some strategies in case you're concerned you may not have enough set aside:
Work Longer. Just a few more years of working and saving, rather than drawing down assets, can be a life saver, according to Fortune.
Upgrade Your Portfolio. Instead of moving out of equities as you near 65, consider keeping a larger share of your portfolio in stocks, which tend to be yield more, and have more risk, than bonds. If you're living longer, you have more time to make up for any downturns that may occur in the stock market.
Look at long-term insurance. Long-term care policies can help cover the cost of assisted-living care when you're no longer able to live on your own. This can be important because Medicare, which many retirees rely on for health-care coverage, doesn't cover nursing-home care. Medicaid only starts paying for assistance after you've exhausted your assets.
"It's not too late to put aside more money for retirement, but it requires action and planning," Treasurer Loftis said. "The worst thing you can do is head into retirement without a plan."
Tax Reform Bill Exposes the Religious Right’s Tactics and the Trump Administration’s Priorities
Tax Cuts Are Great, But We Need Balanced Budgets
Advisor News
Annuity News
Health/Employee Benefits News
Life Insurance News