Don’t forget the “catch up contributions” if age 50 or older
As Maurie Backman reports in this piece, most retirees will reply on a combination of Social Security benefits and retirement savings to cover bills once they stop working. Social Security will replace only 40% of pre-retirement income for the average earner. But most seniors need roughly double that amount to live comfortably, thus the need for a healthy level of savings in an IRA or 401(k).
TD Ameritrade reports in a new survey that an estimated 37% of workers in their 50s, 28% of workers in their 60s, and 20% of workers in their 70s have less than $50,000 socked away for the future. Backman focuses here on the fact that 69% of workers aged 50 to 79 aren’t taking advantage of catch up contributions available to those aged 50 and over. Read her full article here.
The AMAC Foundation offers a free-to-the-public advisory service to all folks ageing into–or already in–Social Security. This service provides guidance in understanding the complexities of Social Security and the myriad rules and regulations associated with the process for claiming benefits, with NSSA-Certified Social Security Advisors available via email or telephone to discuss options. Learn more about this service via the Foundation’s website.