Financial advisors are working closely with their retirees to provide guidance on how these seniors can prepare for their healthcare expenses in the golden years and save on these costs, according to this article on CNBC. “Part of the conversation should be exploring how your client uses the health-care system,” says a CFP. “It can be drastically different from one person to another, which means their expenses can be drastically different.”
Clients should develop a sustainable retirement withdrawal strategy to ensure that they won't outlive their nest egg, according to this article on MarketWatch. Clients cannot avoid the tradeoff between their current spending and future spending, and they cannot predict how long their retirement horizon will be. To deal with this tradeoff, clients who want saved enough for retirement should stick to a fixed percentage of withdrawal regardless of inflation.
Clients should consider signing up for a My Social Security account to receive a personalized statement from the Social Security Administration, according to this article on Motley Fool. The statement offers information that will warn clients about the risks they will face when making retirement decisions. For example, clients will learn that the amount of full retirement benefit, the possibility that their benefits would be lower if they file before the age of 62 and the risk that the amount could be reduced in around 16 years.
Most seniors who retire overseas make the mistake of not managing their exposure to currency changes, according to this article on Forbes. They also overlook the restrictions on property purchases for foreign citizens, have limited knowledge about their new country's medical care system and own wrong financial accounts. Retirees who relocate abroad also overlook some of the tax repercussions of their decision, fail to update their estate plan and believe that moving overseas can reduce their cost of living.
