Clients ask: Must I sign up for Medicare at 65?
Our daily roundup of retirement news your clients may be thinking about.
Must I sign up for Medicare at 65?
Seniors are given a seven-month enrollment window to sign up for Medicare, according to this article on Motley Fool. This period starts three months before the month they turn 65 and ends three months after their birth month. Those who fail to enroll during the period will see an increase of 10% in their Medicare Part B premiums for every year-long period they qualify but fail to sign up.
Don’t have a 401(k) at your job? Your state could come to the rescue
New York is the latest state to offer a state-run tax-advantaged retirement account for workers who have no access to a workplace plan, according to this article on MarketWatch. According to Georgetown University Center for Retirement Initiatives, some nine states have already piloted a plan or implementing one, although more than 40 states have mulled putting up a retirement plan since 2012. “It’s a good first step,” says an expert.
The path to retirement at any age
Identifying the future needs after retirement can be a daunting task, but seniors can retire successfully with proper planning and preparation, writes a Forbes contributor. "Regardless of your stage of life, you and your financial advisor can develop an effective plan to set you on the path towards your wealth creation and distribution goals," writes the expert. "Understanding your current financial situation is the first step in preparing for the future.”
Will $1 million be enough in retirement?
An analysis by GOBankingRates has found that a $1 million nest egg could last for less than 12 years to 26 years, depending on where the retirees live, according to this article on CBC Moneywatch. For example, $1 million in retirement savings could last for only 11 years and 11 months in Hawaii, or just 16 years and five months in California. Retirees in Arkansas will have 25 years and six months of spending the nest egg before they use up the money, while those in Oklahoma can see the money last for 25 years and two months.