Your New Retirement Number: $58,000

En español | Financial experts seem to speculate endlessly about boomers’ projected lifestyle in retirement based on their savings and spending patterns. Now a new survey that polled recent retirees about their standard of living has found that, for some, you don’t need a lot of money each year to retire comfortably and live happily. According to the survey by Baltimore-based investment firm T. Rowe Price, recent retirees report living on 66 percent of their pre-retirement income on average – $58,000 …

Lawmakers Urged to Act Soon to Shore Up Social Security

The financial outlook for Social Security remains largely unchanged from last year, with the combined trust funds that pay benefits to retirees and workers with disabilities expected to exhaust reserves in 2033, according to a government report released today. After that date, money coming into the system would be enough to cover 77 percent of benefit obligations, according to the Social Security trustees report. At a news conference on Monday afternoon, Treasury Secretary Jack J. Lew said Social Security and Medicare are …

Which Retirement Personality Fits You?

The notion of retirement, in which decades are devoted solely to leisurely pursuits, is evolving. In the future we’ll be hard-pressed to find older folks perpetually lazing on the beach, taking up their days with golf or tennis, or lounging around the house. Instead, most retirees will be working. At least, that’s one of the findings from a new Merrill Lynch/Bank of America survey of 7,078 people, including 1,856 working retirees and about 5,000 who are nearing retirement or retired …

Honey, I Took Social Security Too Early

Deciding when to take Social Security is one of the most important retirement planning decisions people make – and many retirees say they got it wrong. As many as 38 percent of 573 retirees surveyed by the Nationwide Financial Retirement Institute, a unit of Nationwide Mutual Insurance, say they regret taking their benefit early, which locked in their lower monthly payment for life, and wish they had waited. When you look at the differences in their monthly payout, you can understand their remorse. Those …

Lynn Williams: He Fought for Retired Steelworkers

When Lynn Williams took the helm of the United Steelworkers union in 1983, the domestic steel industry seemed to be in a death spiral. From 1981 to 1985 – a period Williams later called a “frightful time” for the union, its members and its retirees – the basic steel industry shed some 350,000 jobs in the United States, triggering a wave of early retirements and, in many cases, putting retiree health benefits and pensions in jeopardy. >> Sign up for …

Interest Rates Are Low Until You Do the Math

I often hear that interest rates are awful and that it’s the worst time ever for retirees needing to live on fixed income. Yet when you look at after-tax, inflation-adjusted returns, a different picture emerges. Many people smile when I tell them that back in 1980 they could have earned 12 percent on a 10-year U.S. Treasury or certificate of deposit (CD). Depositing $10,000 would have returned $1,200 a year. But if a third went to taxes, that gain would …