Greater Saving Can Increase Retirement Security and Economic Growth

  Increased saving can be an important driver of future economic growth and rising living standards. That is the conclusion of a new report by Oxford Economics – Another Penny Saved: The Economic Benefits of Higher US Household Saving – sponsored by AARP and 10 other organizations. The U.S. personal saving rate has been declining for more than 30 years. And the report’s authors project the rate will drop further – from around 4 percent today to about 3 percent …

Obama to Nominate Colvin as Commissioner of Social Security Administration

President Barack Obama will nominate Carolyn Watts Colvin as commissioner of the Social Security Administration, the White House announced June 20. Colvin has experience within the retirement and disability benefit program, as acting commissioner since Michael Astrue, who was nominated by President George W. Bush, left the post in February 2013 and before that as deputy commissioner beginning in January 2011. Joyce Rogers, AARP senior vice president of government affairs, says Colvin would have an opportunity “to add an important …

Most Medicare Recipients Have Modest Incomes, Kaiser Reports

If you’ve ever wondered about the finances of people receiving federally funded Medicare benefits - are they wealthy, poor or somewhere in between? - a new chart provides some clues. This interactive infographic, released by the Kaiser Family Foundation, takes into account assets, income, age and more as it delivers a financial picture of the estimated 52.4 million people on Medicare. The graphic also includes projected data for 2030, so you can see how current recipients measure up against future beneficiaries. >> Sign up for the AARP Money …

Creditors Can Snatch Your (Inherited) IRA, Supreme Court Rules

A U.S. Supreme Court ruling has just made estate planning a lot more cumbersome for some high-net-worth parents who want to leave tax-free money in a Roth IRA to a child. Retirement accounts are protected from creditors in bankruptcy cases so people don’t wind up destitute in old age. However, the court unanimously ruled on Thursday that this is not the case for those who inherit IRAs. The court decision involves a case of a woman who inherited about $450,000 in an IRA from her mother …

How to Retire the Cheapskate Way

Jeff Yeager – aka “the Ultimate Cheapskate” – is AARP’s savings expert and host of the weekly Web show The Cheap Life, produced by AARP and airing on YouTube. He’s also the author of four popular books about frugal living, including his most recent, How to Retire the Cheapskate Way. Jeff will be a guest on AARP Live on Thursday, June 19, so we sat down with him in advance to chat about retirement planning and living, cheapskate-style. What does it mean …

Retiring Early? Pony Up $51,000 Extra for Health Care, Fidelity Says

Are you and your spouse thinking about retiring early? Doing so can cost you, as a couple, an extra $17,000 a year in medical costs, according to a Fidelity Investments analysis. The Boston-based investment company compared the projected average health care costs of couples retiring this year at age 65 with those of couples retiring as early as age 62 and as late as 67. It assumed they would have Medicare coverage at 65, although the analysis doesn’t include costs for nursing home and …