Top 4 Reasons to Wait Longer for Retirement It may be wise to wait a few more years for retirement, says Stonegate Capital Advisors.
Aug 18, 2015
Top 4 Reasons to Wait Longer for Retirement
It may be wise to wait a few more years for retirement, says Stonegate Capital
Advisors.
Wait! World travel. Picking up
a new hobby. Completing long-delayed home
improvement projects. Retirement can be an exciting time in one’s
life. However, Scottsdale
financial services expert Jameson Van Houten of Stonegate Capital Advisors says
there are plenty of reasons to wait.
Outliving retirement savings.
With advances in medicine and healthier living habits, people are
experiencing longer lifespans. Now add in bear markets, sudden
medical expenses, savings shortfalls, and
immoderate withdrawals from retirement accounts and a person can spend their retirement funds more quickly than they
realize.
Greater Social Security income. Waiting even a few years
longer to retire means fewer years spent
depending on your assets and instead receiving greater monthly Social
Security income. In fact, a retiree who claims
Social Security benefits at age 70 is set to receive monthly payments 76% greater than a retiree
who claims them at age 62.
Insurance payments. Medicare will not cover people – retired or not – until they turn 65. And those people
with pre-existing conditions may find it
hard to get private insurance. So what will they do in the
event of an illness? Will their finances
hold up?
Mental health. The intellectual
demands of the workplace, as well as
socialization with friends and co-
workers, can help a person keep mentally focused and happy. It
may be difficult to find an equivalent
once a person ends his or her career.