Posts Tagged "family"
November 4, 2021
How to Pick (or Be) a Retiree’s Financial Ally
If you need help managing your finances in old age, it’s a lot of work to find someone – and not a very pleasant task to think about.
But it’s crucial that retirees plan for this. As to when or whether you might need help, it really depends on your individual circumstance.
Attorney and researcher Naomi Karp cites a variety of studies that provide some clues to the different ways this process can play out. People who develop dementia obviously need what she calls a financial advocate. This might be a trusted friend, family member, lawyer or professional financial adviser.
But roughly a third of aging Americans who are experiencing natural cognitive decline are prone to making poor decisions about their money, she explained during a recent webinar sponsored by the federal Consumer Financial Protection Bureau (CFPB) where she used to work.
Financial acumen actually peaks well before retirement – at 53! – but wisdom makes up for some of that, she said. During one’s 70s and 80s, financial literacy declines, but unfortunately confidence about one’s abilities remains high. “That’s a risky situation,” Karp said.
She and other financial experts have put together an interactive website – the Thinking Ahead Roadmap – with six steps to follow to find an advocate. Each step has tips, tools, and information to guide you through the process. An adult child or caregiver could also use this website if they feel the need to assume more responsibility for an elderly parent’s finances. …Learn More
July 3, 2019
Happy Independence Day!
Here’s the back story to your barbecued chicken and grilled hamburgers.
On July 4, 1777, Philadelphians marked the first anniversary of independence from the British with a spontaneous celebration. Future president John Adams described the ships parading on the Delaware River that day as “beautifully dressed in the colours of all nations.” In the aftermath of the Civil War, freed slaves turned the Fourth into a celebration of their emancipation.
If you have the day off from work, thank Congress for declaring the Fourth a federal holiday in 1870. Enjoy! …Learn More
May 28, 2019
Cars Separate U.S. Retirees from Germans
Retired Germans spend more days outdoors than retirees in this country. But when older Americans leave the house, they stay out longer.
What makes the difference? The car. Americans love their automobiles and overwhelmingly rely on them, according to a new study by MIT’s AgeLab. If they’re going grocery shopping, they might as well run their other errands.
Only about half of Germans, on the other hand, say driving is their favorite way to get around. And they venture out more frequently, because they can walk – or bike – to the market, which tends to be closer to home.
As people age and recognize the inevitability of their limitations, they begin to think more carefully about whether they will be able to remain in their homes. To gain insight into this issue, the AgeLab surveyed older Germans and Americans to compare their retirement experiences and satisfaction with their lifestyles – the AgeLab calls it “residential mastery.”
This goal is achievable for seniors everywhere, if they can find a way to continue to live healthily in a particular cultural and social environment. “Americans may reach residential mastery by having access to a car, ride-sharing or taxi services, while Germans may reach residential mastery by having shops and amenities in walking distance,” concluded an article in the Journal of Environmental Psychology.
In the survey, retirees in each country were asked what they need and what their neighborhoods provide. Both Germans and Americans put the most value on living close to healthcare facilities and their family and friends, who can provide the day-to-day support they need. They agreed on 12 of 17 aspects of their lifestyles – affordability, places to sit and rest, cultural institutions, green spaces, etc. – as being critical to them. …Learn More
January 8, 2019
From NYC to Boise, Babies are Pricey
If a new baby is in the works for the new year, prepare yourself now.
Despite the pure joy of having a child, the fact of the matter is that the basics – daycare plus a second bedroom, extra health insurance, food and personal items – are expensive even in Little Rock, Arkansas, which is at the bottom of Magnify Money’s new ranking of the cost of adding a family member in 100 U.S. major cities. Monthly expenses for an infant exceed $700 a month in Little Rock, or nearly $8,500 a year.
The big budget buster everywhere is day care, which is a financial shock for most new parents. The bills can easily reach or exceed $1,000 a month, and day care represents 70 percent to 80 percent of the money spent on a baby, whether the parents live in New York City, Birmingham, Alabama, or Boise, Idaho.
Magnify Money’s estimates do not even include the college savings parents should start socking away immediately. They do include the federal tax credits for children.