THE NASDAQ IS DOWN TO CLOSE AT
35.
OFF 37.
CLOSED AT 2717.
RETIREES ARE GETTING THE
SQUEEZE FINANCIALLY.
3 MILLION+ RETIREES RECEIVE AN
AVERAGE OF ABOUT $1395 AND $.31
IN SOCIAL SECURITY BENEFITS
EVERY MONTH.
A NEW STUDY SHOWS THAT IF IT'S
HAVE LOST 34% OF BUYING POWER
IN THE PAST 18 YEARS.
PERSONAL-FINANCE EXPERT IS BACK
THIS WEEK WITH SOME ADVICE.
I AM USUALLY HERE ALL
ENERGETIC.
NOT TODAY.
VERY IMPORTANT.
BREAK THAT DOWN FOR A. WHAT
DOES IT MEAN THAT BENEFITS HAVE
LOST BUYING POWER?
IN 2000, WHEN A HOUSEHOLD
COULD SPEND $100 THEY NOW ARE
SPENDING $66 TO GET THAT.
WHEN YOU LOOK AT WHAT THE COST
OF LIVING IS AND INFLATION,
YOUR BENEFIT IS DECREASING,
THAT MEANS YOU ARE NOT RINGING
IN ENOUGH MONEY TO PAY YOUR
EXPENSES.
SOME OF THE PLACES THEY HAVE
SEEN THE RISE OF HIS HOUSING
AND ELECTRICITY HAS BEEN VERY
COSTLY FOR THOSE IN RETIREMENT.
SOCIAL SECURITY WAS NEVER
MEANT TO LIVE OFF OF.
IT WAS A SAFETY NET.
THAT WOULD MEAN OLDER AMERICANS
WOULD NOT LIVE IN POVERTY.
ARE YOUR CLIENTS PREPARED FOR
RETIREMENT AGE?
ARE THEY PUTTING THAT OFF?
I AM FINDING THAT A LOT OF
THE TIMES, THEY ARE TIRED OF
WORKING.
THEY USE THE FACT THAT THEY'RE
KIND OF WORKING AS AN INDICATOR
THAT SHOULD RETIRE.
THAT IS NOT THE RIGHT WAY TO GO
ABOUT IT.
RIGHT?
YES.
YOU ARE EXHAUSTED.
YOU WERE GOING TO USE IT THIS
IS A GOOD TIME.
YOU NEED TO LOOK AT HOW MUCH
MONEY YOU ACTUALLY HAVE.
IT TAKES ABOUT $44,000 TO LIVE.
YOU TAKE YOUR EXPENSES IN
FLORIDA.
YOU LOOK INTO YOUR INVESTMENT
ACCOUNT AND LOOK INTO THE
401(K).
THIS IS NOT GOING TO GET ON TOP
OF LIVING LONGER.
IF YOU DON'T HAVE ENOUGH MONEY
TO SUSTAIN YOURSELF DO WHAT I
TELL MY CLIENTS.
KEEP A PART-TIME JOB SO YOU ARE
NOT EXHAUSTING YOUR ENTIRE
401(K) BENEFITS.
YOU WANT TO GO AHEAD AND DO
PART-TIME.
CONSIDER RETIRING LATER.
YOU MAY NOT WANT TO DO IT AT 62.
GO AHEAD AND DO IT AT 70.
AS SOON AS YOU TAP INTO THE
MONEY, THE LESS YOU WILL HAVE.
EARLIER YOU START PREPARING
FOR RETIREMENT THE BETTER.
YES.
WHAT YOU TELL YOUNGER
WORKERS THE PEOPLE THAT WILL
NOT RETIRE FOR 20 YEARS IN
TERMS OF HELPING THEM GET
READY.
SO THE BIGGEST THING IS THE
MATTER HOW YOUNG YOU FEEL, NO
MATTER HOW MANY YOU WILL AGE
RIGHT TO PREPARE FOR THAT.
AT FIRST, BEFORE WITH ALL THE
CHANGES WITH SOCIAL SECURITY
SAVE 4% OF YOUR ANNUAL SALARY.
WITH ALL OF THE CHANGES YOU
SHOULD TRY TO SAVE ABOUT 15% OF
YOUR ANNUAL SALARY TO RETIRE ON.
TAKE A VISIT WITH GRANDPARENTS.
THAT WILL PUT IT IN FRONT OF
YOUR FACE.
YOU FEEL LIKE VIVACIOUS.
YOU'LL LIVE FOREVER BUT IF YOU
SPEND TIME WITH YOUR
GRANDPARENTS AGING IS A TRUE
THING.
IF YOU DO NOT HAVE ENOUGH MONEY
TO SUSTAIN YOURSELF, IT WILL
DICTATE YOUR QUALITY OF LIFE.
PEOPLE ARE LIVING LONGER AS
WELL.
[ LAUGHTER ]
15%?
YES OF YOUR ANNUAL SALARY.
BUT THAT ASIDE.
IF YOU'RE NOT DOING INVESTING
AND IF YOU'RE NOT INVESTING AND
AND YOU'RE PUTTING IT UNDER
YOUR MATTRESS YOU ARE NOT DOING
ENOUGH TO KEEP PACE WITH
INFLATION.
YOU NEED TO PAY TAXES AND THE
ONLY TO DO THAT IS TO MAKE SURE
YOU ARE INVESTING SOME OF THE
FUNDS.