The old strategies retirees need to unlearn
For many retirees, the attitudes and aptitudes that drove them to excel in school are the things that seemed to prevent them from taking risks and pursuing new learning paths in adulthood, writes Sara Lawrence-Lightfoot, a professor at Harvard University. As a result, "they have to unlearn old school habits, writes Lawrence-Lightfoot, adding that there is a "critical disjuncture" between what they learned in school and the need to learn new things later in life. Moving forward seems to be as much about shedding old, deeply ingrained ways of knowing and excelling as it was about taking the leap of faith into the unknown and mysterious next chapter of their lives." --The Wall Street Journal
4 ways clients are sabotaging their retirement in their 30s
Clients who are in their 30s should have a high tolerance for risks but many of them do not invest in stocks because they don't trust the financial markets, an expert says. Many workers in the age bracket also make the mistake of not making enough contributions to their retirement accounts and living beyond their means, other experts add. Another mistake some young investors make is to think they engage in investing when in fact they are simply trading, one expert notes. --The Motley Fool
Social Security Q&A: Should clients buy annuities to supplement Social Security?
A retired couple may supplement their Social Security benefits by buying joint survivor annuities, according to this article on Forbes. Such an option will enable the couple to boost their income in case one of them dies. However, the couple needs to ensure that they purchase an annuity that is indexed against inflation. --Forbes
6 questions to ask before relocating in retirement
Retirees who consider moving to a new location need to ask themselves if they want to downsize as well as determine the cost of living in the targeted location, according to this article on Morningstar. They also need to know how their cash flow would be affected by such relocating and determine any concerns with regard to their estate plan. Retirees need to realize that relocating could affect their investment portfolio and quality of life, so they need to weigh their options before making a decision. --Morningstar
The best place to retire isn't Florida
A survey by Bankrate.com found that Phoenix, Ariz., Arlington/Alexandria, Va., and Prescott, Ariz., are among the 10 best cities for people to retire, according to this article on USA Today. Other cities that made it to the list are Tucson, Ariz., Des Moines, Iowa, Denver, Colo., and Austin, Texas. Cities in Arizona are among the most preferred because of their favorable weather and low property taxes, says Bankrate's Chris Kahn. "It's just a great place for a low-maintenance, outdoor type of lifestyle. Your dollar is going to stretch further in Arizona." --USA Today
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