Retirement scan

Many Americans affected by the partial government shutdown are tapping their retirement savings and taking other financial options.

In many ways, the restricted application is similar to the old file and suspend strategy, which was disallowed in 2016. However, there is one big difference.

Cash is becoming an attractive security blanket again for investors amid rising interest rates and stock market volatility, says an expert.

The stock market typically recovers from bear markets in far less time than most doom-and-gloomers think, says an expert.

Seniors who intend to get a Medigap policy to supplement their traditional Medicare coverage may have trouble getting one.

Offices remain open and monthly Social Security checks will go out on time despite the partial shutdown.

Clients may want a new plan if there have been unfavorable changes to their old plans, they want more flexibility or because of a new illness.

Federal employees who retire during the partial government shutdown would have to wait a longer time to take retirement distributions from their savings plans.

Seniors are advised to take measures to prepare for a possible shortfall in retirement income, as there is no guarantee for an immediate fix to the problem.

Benefits are meant to replace just 40% of preretirement income, so many retirees should consider creating new income sources, such as running a small business or renting out a property.