Welcome to Retirement Scan, our daily roundup of retirement news your clients may be talking about.
Data from the Senior Citizens League show that Social Security cost-of-living adjustment for benefits is projected at 1.7% next year, which is about $24 per month, according to this article on Kiplinger. The average monthly payout is expected to be $1,420. The projection for next year's COLA is based on the Consumer Price Index through April, says an analyst with the Senior Citizens League.
Workers below the age of 50 are more likely to regard negatively the rising number of older workers who continue working past the retirement age, according to this article on Fox Business, citing a survey by The Associated Press-NORC Center for Public Affairs Research. Young workers should not think of it that way, says a professor for the City University of New York. "One of the myths that's out there causing younger and older people to butt heads is the idea that 'Oh, it's because these older people are on the job preventing me from getting the job I want.'"
Depression can be a big risk for seniors as they transition to retirement, especially for those who abruptly leave the labor force for good, according to this article on Motley Fool. To avoid this risk, seniors should plan on how they spend their retirement years and consider retiring at a gradual phase. For example, they may accept a phase retirement offered by their employer or take on a part-time job after retiring.
Clients who engage in retirement planning should determine the amount of money they have saved for their retirement years, according to this article on Forbes. They should also think of what they want to accomplish after leaving their careers, estimate how long they intend to work and identify their income sources in retirement. It is also important that they have a plan on how they will cover their healthcare expenses.
