Archives for Retirement

How Wealthy Do You Have to Be in Order to Retire?

Even though perceptions have changed during the pandemic with more Americans now saying they need less money to feel rich1, when it comes to retirement, most people are still unclear about how much they will need to have saved before they can quit their jobs. The answer to that question is different for every person. Here are some of the things you need to think about in order to get a realistic retirement number in mind.   What do you want to do during retirement? Where will you live? Different people have different retirement goals and visions. You may not
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How COVID-19 Has Impacted Retirement Confidence

The Transamerica Center for Retirement Studies recently conducted an online survey of more than 6,000 people in the U.S. and found that many are feeling financially vulnerable. Americans are feeling a distinct lack of confidence, particularly when it comes to retirement. Whether employed or unemployed, the survey found that 23% of workers are no longer certain they can retire comfortably following the coronavirus pandemic. Not unsurprisingly, the insecurity was highest for baby boomers, born between 1946 and 1964, who are closest to retirement—32% said their confidence in their ability to retire has gone down due to COVID-19. Meanwhile, 25% of
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How a Furlough (or Layoff) Affects Your Finances…and Retirement

  Here are six things you need to know if you or a family member has been furloughed—or laid off—from their job   A furlough is an unpaid leave of absence. You don’t report to work, you don’t get paid, and you may lose some of your benefits. Getting fired or laid off is different because it is permanent; whereas, being furloughed means your employer wants you back as soon as things get back to normal, typically at the same position and income level as before the furlough. Here are six things you should know:   Filing for unemployment Whether
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The Rules Are Changing For 401(k)s In 2020

The Rules Are Changing For Your 401(k) In 2020 If you’re still working and contributing to a 401(k) or similar workplace retirement plan, there is some good news for the upcoming year. If you’re under age 50, the amount you can contribute to your 401(k), 403(b), most 457 plans and the federal government’s Thrift Savings Plan is now $19,500 for 2020—a $500 increase over 2019. Additionally, for those who are age 50 or over by December 31, 2020, the catch-up amount is now $6,500, up by $500 (and the first increase since 2015). Keep in mind that you can still
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Top Fears of Retirees

It’s October, the month that we typically celebrate “scary stuff” right up until the last day, when Halloween arrives on the 31st. Pretending to be afraid is one thing. But being fearful and anxious in real life, especially as you get older, is not fun at all. The fears that go along with retirement are exactly why we established Alpha Gamma Wealth Management in the first place. It’s our goal to address retirement risks and help ensure our clients have contingency plans in place so they are prepared—doing everything possible to make sure they won’t get shocked, surprised, or thrown
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5 Retirement Pitfalls to Plan Ahead For

We talk a lot about “risk” in retirement, because there are a lot of issues to consider. That’s why retirement planning is so important—it includes contingency plans to cover potential adverse events. Here are five examples: Incapacity Even young people face the possibility that they will become disabled or incapacitated in some way, like getting hurt in an accident—it’s far more likely to happen than we realize. But aging brings with it the risk of slow health deterioration; our bodies and minds can start to slip. It’s important to have all our estate planning documents and various provisions in place
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“Longevity Risk” in Retirement

Longevity means “long life” or “length of life.” Longevity risk is the risk that someone will outlive their money or available income—something we are very concerned about at Alpha Beta Gamma Wealth Management. It’s a fact that people are living longer. A woman who has reached age 65 can expect to live to age 86-1/2, while a 65-year-old man can anticipate living to age 84 on average. One out of every three 65-year-olds living today will live past the age of 90, and one out of seven will live past 95.1 Longevity means people may be living in retirement for
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New Paradigms for Retirement

The old notion that you should withdraw from life and sit in a rocking chair during retirement has been completely overturned as today’s older population demonstrates on a daily basis. Here are some recent facts and new ideas about retirement that you should consider before you take that last paycheck. People are living—and working—longer.1 According to the Bureau for Labor Statistics, the labor force participation rate is expected to increase faster for the oldest segments of the population than for any other segment during the 2014–2024 decade. Since the turn of the century, older workers age 55+ have grown as
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How to Make “For Better or Worse” Better in Retirement

At Alpha Beta Gamma Wealth Management, we’ve worked with hundreds of couples in our 30+ years serving as financial advisors. And one thing we’ve noticed is that some husbands and wives appear to enjoy their retirements more, seem happier overall, and demonstrate poise in handling life’s unexpected events and transitions. How do they do it? Here are our tips based on direct experience. Both of You Need to Get and Stay Involved When It Comes to Your Money Although one spouse usually ends up taking on the lion’s share of the load when it comes to paying bills and/or managing
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Sales of Indexed Annuities Are Up. Here’s Why.

Indexed annuity sales set records in the third quarter of 2018, according to the preliminary Wink’s Sales & Market Report, in its 85th edition. Non-variable annuity sales—which include indexed annuities, traditional fixed annuities and multi-year guaranteed annuities—increased almost 5% as compared to Q2.1 While variable annuities usually participate in the stock market, thus are subject to market risk or losses, non-variable annuities such as indexed annuities do not. In fact, insurance companies offer principal guarantees.* Furthermore, they offer the opportunity for growth based on a “linked” index’s performance, such as the S&P 500. They are not actually invested in the
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