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How to help clients free up cash for their 401(k)s

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Welcome to Retirement Scan, our daily roundup of retirement news your clients may be talking about.

How to help clients free up money for their 401(k)s
Clients who want to max out their 401(k)s but don’t have the money can try several strategies, according to this article on Motley Fool. First, they should save any windfalls such as bonuses, raises and tax refunds. Second, they should reduce expenses and put the savings into their plans. Finally, they might consider a second job. The extra income can make a big difference.
Client options for Social Security ‘do-overs’
If a 66-year-old woman collects a Social Security retirement benefit and qualifies for a bigger spousal benefit on her husband’s record, she should also request her spousal supplement, according to an article on Yahoo Finance. She can also collect her benefit and request a so-called do-over but only if she filed in the last 12 months and returns the previous payouts she received.

The average retiree on paper masks inequality of retirement assets
Retirement security for older workers has improved on average because of rising aggregate savings, writes a Forbes contributor. However, many seniors — especially those in the low- and middle-income groups — do not have enough savings to secure their retirement, the expert says. "Retirement assets are highly concentrated among the wealthiest."

Do clients know how much their retirement will cost?
Sixty-one percent of Americans polled by Bankrate do not know how much to save for retirement, according to this article on Fox Business. Determining your clients’ costs could be difficult, as spending habits vary from one person to another, says an expert. “The key to everything that retirees need to do is just start saving today and we’ll figure out the right number as we get more clarity around this nebulous thing we call retirement.”

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