I’m 70 years old and carrying $98,000 in debt, $45,000 in credit cards, $20,000 on a car loan, $18,000 in personal loans, $15,000 from a failed business venture.
I’m seeking guidance should I tackle high-interest debts first or smaller balances for momentum? How can I negotiate with creditors to ease the burden?
Then, On your own you could seek out several of these financial advisors, make sure the one you settle on is a fiduciary and not a fake. Know what you're getting out of it and see if your targets can be met.
I have said this severally,Money invested is far better than money saved, when you invest it gives you the opportunity to increase your financial worth.
I started out with Joseph Nick Cahill,great advisor. I got very lucky to have found him especially after my marriage crisis & consider him a good friend now.
Thanks for sharing, I just looked her up on the web and I would say she really has an impressive background in investing.. I will write her an e-mail shortly.
I attempted to minimize these costs by adding a new roof, converting to natural gas heat, new AC, and Hot Water Heater. We also remodeled bathroom and added a half bath in the basement. Prior to retiring..
Great advice. I am about 4 years from retirement and I am spending these years putting on a new roof, windows, siding, deck etc. so I can take care of these expenses before I punch out.
i did my roof, siding, garage doors and windows in 7 year window before retiring. I may have to get a new hot water heater, but priced it out. I still put money into account for appliances and major house repairs. Our spending generally will go up..more vacations more 3 day weekend get aways. 5 years prior to retirement went debt free and 3 of 4 kids supporting themselves now so spending was pretty low.
Josh is 100% correct. His very logical points are pay off your house and have some cash for your emergency fund. Before you retire, you are working on paying off your house and building up your cash. Once you retire, you can start thinking about optimizing your tax situation and allocating your three buckets.
This is why we must sell our big, old, lovely farmhouse and acreage! 😢 We can’t afford the old girl once we retire. We need a simple ranch with a smaller yard. Sad but necessary.
Unfortunately, at my job I run into many retirees, mainly women crying who are ending up on the streets as their S.S. does not cover their cost of living. They did all the things you suggest and were prepared. Just not for how much everything cost-wise would escalate. Many, who when their spouses died, can no longer make it on one S.S. check. When they retired, over twenty years ago, they thought their S.S. would carry them through. They never imagined property tax, repairs, and home insurance would triple, along with everything else. And the renters, who had nice places to live only costing 1,200 a month or less, now find themselves being kicked out in their late 80s because they cannot afford the $2,600 -3000 a month rent plus utilities taht their condo/apartment now costs. And nice independent living/assisted living cost around $4,000 to $6,000 a month on the conservative side. So unless you can afford to have all costs triple with what you have now for retirement--put it off as long as you can.
This is exactly what has happened to me. When my wife decided to join me in retirement I knew we would have to keep our income low enough to qualify for tax credits on health insurance. I am on Medicare now but she is 11 years younger than I am so she will be on the ACA for another decade or so. I did a Roth conversion into my bank Roth as an emergency fund. And we have had to tap that fund several times for home repairs. Some of them were foreseen but some were not. By far, the biggest expense and largest extra expense has been home repairs. And now with the insurance situation in Florida we are thinking about moving back to the reservation in Oklahoma. It would probably be cheaper to live there and just winter in south Florida with one of my kids. I didn’t think retirement would be so complicated!
Thanks for the topic, this one was not on my radar. I have a sinking fund for home repairs but this video helps me see I need to keep adding to it. In retirement I can see why many people have 2 to 3 years of expenses in cash.
I’ve plugged anticipated expenses into my Boldin (New Retirement) software….just put on a new roof and did a water line re-piping and a new water heater. Plus just did a bathroom remodel….still a year away from retiring but I do try to forecast all these house related expenses.
Many good points in the video.We did most of our traveling years ago, tired of the lines and airport BS. Live within your means and stop wanting so much. You should have pretty much what you wanted material wise before you retire. That being said things for the house come up from time to time. Fortunately for us no medical stuff yet in our life and no meds!
Retired four years ago. House paid off ten years before retired, 2013 Corolla currently 140,000 miles and 2016 Toyota Corolla drove sparingly has 50,000 miles. Both paid off before retirement. Have money saved back to meet most low end emergencies. The catastrophic events is what will hurt you, I might get by the first time, second time, nope. What I thought would be enough money years ago, isn't. Things just keep rising.
I don't doubt this study at all. Right after I retired, I replaced my roof, had the outside of the house painted, and the HVAC system replaced and the entire backyard cedar fence replaced. This was an outlay in 2019 of $17,000. Then in 2021 the great freeze took place, and I was out another 6k to Pex pipe my entire house including replacing all faucets and water heater. I still contend that having a home fully paid off in retirement beats renting all to hell, but it is not without surprise costs and not so surprise costs.
Better budget $10,000 for hearing aids. You need more than one pair and insurance won't cover much. You can hear now, but you will have trouble as you age.
Yes, I too plan to remodel my house when I retire. The spending on my house will increase during retirement, oh my. It's not a 'experienced increase' it is just what I want to spend on. Home repairs are minor and not a factor. I would suggest you analyze the data a lot closer. I suspect house expenses you quote are all just part of their plan for most of the 17-20 percent.
Make sure the mortgage is paid, then the burden is much less. Now you truly tackle an issue when it arrises, vs the mortgage issue (payment) every month.
Part of that housing increase is likely due to spending more time at home and spending on improvements such as updated kitchen, convert bedroom to a nice den, remodel the patio area, man cave, etc. Some of these don't become apparent till after you start spending the extra time around the house.
Really struggling with pursuing a new home build. 58, current home is paid for but the wife and I are thinking of building our dream home on some land we own near by. My house appraised for $550k and the new build estimated to cost less than $540k. we’re up in the country in North Ga I’ve recently replaced the HVAC, water heater and well pump here and the roof still has life. Hmmm what to do. Definitely ain’t doing a 30yr construction to perm at 8.37%
From that JP Morgan article "Spending in retirement: Effective investment strategies and successful outcomes depend on realistic spending projections": "Inflation may be a particular concern for globetrotters and those with high non-mortgage-related housing expenses. This group may want to use a standard inflation rate for projected expenses in retirement." The assumption that retirement spending declines over time includes a substantial and continuous decline in spending on housing. If that is not you because you are planning on living in the "family" house until you die with all of the expenses associated with that (not just a mortgage!), then you need to plan on your spending keeping pace with inflation.
I’m 70 years old and carrying $98,000 in debt, $45,000 in credit cards, $20,000 on a car loan, $18,000 in personal loans, $15,000 from a failed business venture.
I’m seeking guidance should I tackle high-interest debts first or smaller balances for momentum? How can I negotiate with creditors to ease the burden?
Then, On your own you could seek out several of these financial advisors, make sure the one you settle on is a fiduciary and not a fake.
Know what you're getting out of it and see if your targets can be met.
I have said this severally,Money invested is far better than money saved, when you invest it gives you the opportunity to increase your financial worth.
How did you find a good finance advisor? How do you know if they are trustworthy and competent.
I started out with Joseph Nick Cahill,great advisor. I got very lucky to have found him especially after my marriage crisis & consider him a good friend now.
Retirement isn’t an end goal, but a journey best secured by careful and consistent investments.
Retirement is the reward of disciplined investing over the long term, not just a destination.
My adviser guided me through retirement planning, ensuring my investments were strategically positioned for long-term rewards.
Mind if I ask you to recommend this particular coach you using their service? Seems you've figured it all out.
Melissa Terri Swayne can't divulge much. Most likely, the internet should have her basic info, you can research if you like.
Thanks for sharing, I just looked her up on the web and I would say she really has an impressive background in investing.. I will write her an e-mail shortly.
I attempted to minimize these costs by adding a new roof, converting to natural gas heat, new AC, and Hot Water Heater. We also remodeled bathroom and added a half bath in the basement. Prior to retiring..
Great advice. I am about 4 years from retirement and I am spending these years putting on a new roof, windows, siding, deck etc. so I can take care of these expenses before I punch out.
i did my roof, siding, garage doors and windows in 7 year window before retiring. I may have to get a new hot water heater, but priced it out. I still put money into account for appliances and major house repairs. Our spending generally will go up..more vacations more 3 day weekend get aways. 5 years prior to retirement went debt free and 3 of 4 kids supporting themselves now so spending was pretty low.
Josh is 100% correct. His very logical points are pay off your house and have some cash for your emergency fund. Before you retire, you are working on paying off your house and building up your cash. Once you retire, you can start thinking about optimizing your tax situation and allocating your three buckets.
This is why we must sell our big, old, lovely farmhouse and acreage! 😢 We can’t afford the old girl once we retire. We need a simple ranch with a smaller yard. Sad but necessary.
Unfortunately, at my job I run into many retirees, mainly women crying who are ending up on the streets as their S.S. does not cover their cost of living. They did all the things you suggest and were prepared. Just not for how much everything cost-wise would escalate. Many, who when their spouses died, can no longer make it on one S.S. check. When they retired, over twenty years ago, they thought their S.S. would carry them through. They never imagined property tax, repairs, and home insurance would triple, along with everything else. And the renters, who had nice places to live only costing 1,200 a month or less, now find themselves being kicked out in their late 80s because they cannot afford the $2,600 -3000 a month rent plus utilities taht their condo/apartment now costs. And nice independent living/assisted living cost around $4,000 to $6,000 a month on the conservative side. So unless you can afford to have all costs triple with what you have now for retirement--put it off as long as you can.
This is exactly what has happened to me. When my wife decided to join me in retirement I knew we would have to keep our income low enough to qualify for tax credits on health insurance. I am on Medicare now but she is 11 years younger than I am so she will be on the ACA for another decade or so. I did a Roth conversion into my bank Roth as an emergency fund. And we have had to tap that fund several times for home repairs. Some of them were foreseen but some were not. By far, the biggest expense and largest extra expense has been home repairs. And now with the insurance situation in Florida we are thinking about moving back to the reservation in Oklahoma. It would probably be cheaper to live there and just winter in south Florida with one of my kids. I didn’t think retirement would be so complicated!
Wado, Tsalagi.
You’re welcome!
Thanks for the topic, this one was not on my radar. I have a sinking fund for home repairs but this video helps me see I need to keep adding to it. In retirement I can see why many people have 2 to 3 years of expenses in cash.
I’ve plugged anticipated expenses into my Boldin (New Retirement) software….just put on a new roof and did a water line re-piping and a new water heater. Plus just did a bathroom remodel….still a year away from retiring but I do try to forecast all these house related expenses.
I retired last year and started giving money to charities that I want to support. I feel as though I should share my wealth.
My rent is US$650/month for a 2/2 in a safe and friendly neighborhood, have everything near by and completely furnished.
Trying to find a quality contractor is hard these days. Paying them is even harder...get out that checkbook.
Many good points in the video.We did most of our traveling years ago, tired of the lines and airport BS. Live within your means and stop wanting so much. You should have pretty much what you wanted material wise before you retire. That being said things for the house come up from time to time. Fortunately for us no medical stuff yet in our life and no meds!
Retired four years ago. House paid off ten years before retired, 2013 Corolla currently 140,000 miles and 2016 Toyota Corolla drove sparingly has 50,000 miles. Both paid off before retirement. Have money saved back to meet most low end emergencies. The catastrophic events is what will hurt you, I might get by the first time, second time, nope. What I thought would be enough money years ago, isn't. Things just keep rising.
I don't doubt this study at all.
Right after I retired, I replaced my roof, had the outside of the house painted, and the HVAC system replaced and the entire backyard cedar fence replaced.
This was an outlay in 2019 of $17,000.
Then in 2021 the great freeze took place, and I was out another 6k to Pex pipe my entire house including replacing all faucets and water heater.
I still contend that having a home fully paid off in retirement beats renting all to hell, but it is not without surprise costs and not so surprise costs.
Own a boat and housing will be number 2.
Better budget $10,000 for hearing aids. You need more than one pair and insurance won't cover much. You can hear now, but you will have trouble as you age.
thx
Costco less than 2000
You obviously went for top of the range. Mine were nowhere near that, although they did promote them.
Yes, I too plan to remodel my house when I retire. The spending on my house will increase during retirement, oh my. It's not a 'experienced increase' it is just what I want to spend on.
Home repairs are minor and not a factor. I would suggest you analyze the data a lot closer. I suspect house expenses you quote are all just part of their plan for most of the 17-20 percent.
Make sure the mortgage is paid, then the burden is much less. Now you truly tackle an issue when it arrises, vs the mortgage issue (payment) every month.
Healthcare is doing me in. The meds alone aye aye aye.
Part of that housing increase is likely due to spending more time at home and spending on improvements such as updated kitchen, convert bedroom to a nice den, remodel the patio area, man cave, etc. Some of these don't become apparent till after you start spending the extra time around the house.
I wouldnt consider painting the house to be an Emergency 😮
Good morning 🌞
Really struggling with pursuing a new home build. 58, current home is paid for but the wife and I are thinking of building our dream home on some land we own near by. My house appraised for $550k and the new build estimated to cost less than $540k. we’re up in the country in North Ga I’ve recently replaced the HVAC, water heater and well pump here and the roof still has life. Hmmm what to do. Definitely ain’t doing a 30yr construction to perm at 8.37%
LANDSCAPING 😂
How are the braves playing the Phillies in January?
AUM fees are the most expensive thing in retirement
From that JP Morgan article "Spending in retirement: Effective investment strategies and successful outcomes depend on realistic spending projections":
"Inflation may be a particular concern for globetrotters and those with high non-mortgage-related housing expenses. This group may want to use a standard inflation rate for projected expenses in retirement."
The assumption that retirement spending declines over time includes a substantial and continuous decline in spending on housing. If that is not you because you are planning on living in the "family" house until you die with all of the expenses associated with that (not just a mortgage!), then you need to plan on your spending keeping pace with inflation.