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07Apr
An Overdue Apology to Women
Blogs / Articles
Part One of a Three-Part Series

While the topic of this blog focuses on women, I am writing it to be read by both genders.

Why?

Because, as we all know, the woman in a marriage typically outlives her husband.  It is also true that, in general, a single woman has an extended longevity compared to a single man.
(Source: Vanguard, “Plan for a Long Retirement

Statistics reveal that 70% of the time a widow chooses a new financial advisor within weeks of her husband’s passing.  (Source: CNBC, “For Some Widows, Breaking up with an Advisor is Easy to Do”, Ilana Polyak, 10/11/14).

Why does this happen?  Among others, here are some of the reasons given:

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28Mar
What Keeps You Up at Night?
Blogs / Articles
There can be many answers to the question ranging from “my health, my kids, my grandkids, our currently divided country, how to afford the cost of education, the rising cost of health care”, to name only a few.  I want to share an interview with Richard Orlando.

Orlando is CEO of Legacy Capitals, and Ned Dane of the Oppenheimer Family of Funds asks the questions.

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14Mar
HSA Account Owners Beware!
Health Care Costs

The interaction among employer-sponsored health plans, Medicare and health savings accounts (HSAs) is increasingly complex.

Many Americans become eligible for Medicare at age 65.

The exception to the rule is if someone is 65 and still covered under his or her own employer-sponsored health care or that of a spouse.

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03Mar
Which One of Three Retirement Income Strategies is Right for You?
Investing
(The source for much of the material in this short blog is taken from the November 1, 2016 “Journal of Investment Consulting”. The article is entitled, “An Overview of Retirement Income Strategies”, written by Michael Finke, PhD, CFP © and David Blanchette, CFA ©, CFP ©.)

Gains in medical science or environmental improvements can result in added longevity for all retirees.  This means that all retirees could face a retirement time horizon that ranges anywhere from about 10 to about 40 years.

This essentially leaves the retiree with three primary choices about how to create retirement income:

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11Jan
Money… From Source of Stress to Valued Resource
Intergenerational Planning

Money… for many of us….is a complex, controversial and sometimes competitive topic.  While each generation has its distinct challenges, money can also be the number one stressor for individuals, couples, and families.

In this blog, I explain how each generation relates to money, how money stresses the generations, and offer solutions to the crushing stress factor.

Let’s begin with the World War II Generation or those born between the years of 1925 and 1942.

For many in this generation, also called “The Silent Generation”, money was associated with the deep scars of scarcity created by the Great Depression.  Therefore, the emphasis was on saving and always spending less than they earned.  This generation was largely content with keeping one house for as long as possible and keeping cars and other possessions until they wore out.  The primary money motivator for the WW II Generation was to replace scarcity with “having enough” or sufficiency.

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20Dec
Women and Social Security
Retirement

Did you know that 55% of Social Security beneficiaries are women?

Social Security is important for all seniors, but it’s a particularly valuable program for women for a combination of reasons.

  1. The Social Security Administration data continues to indicate that, on average, women have shorter lifetime work histories than men.  This is true in spite of the growing number of women in the workforce.
  2. Next, because women still tend to outlive men by an average of 5 years, they will receive payments longer than men. (Source: Centers for Disease Control and  Prevention)

Unfortunately, the widow will receive only one Social Security check.  While it represents the larger of the two checks that the couple had received, this reduction in income is still significant.  As of December 2015, retired male workers were receiving an average benefits check of $1,500 per month, compared to $1,182 for women.  (Source: www.ssa.gov)

This is depicted in the chart below.

(Credit also to the Motley Fool “6 Social Security Facts you’re Probably Not Aware of”, Sean Williams, September 15, 2016.)

This is one of the reasons that the Resonate team specializes in working with women.  Whether married, never-married, partnered, divorced, or widowed, we welcome you.  We know how to take the complicated issues and make them clear and understandable; we are committed to working in your best interest, and are excellent at helping create a plan and pathway to get you from “where you are to where you want to be”.   We provide financial peace of mind so that you can relax and enjoy life.

Let’s talk!

Barbara A. Culver
CFP®, ChFC®, CLU, AEP®
Resonate, Inc.

(513) 605-2500

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30Nov
LGBT Financial Experience
Planning for the LBGT Community

Prudential Insurance Company recently published the 2016-2017 results from the “LGBT Financial Experience” survey.

keep-calmThe top financial concerns are:

1.  Am I saving enough for retirement?
2.  What impact does inflation have on my retirement goals?
3.  What can we expect in terms of health care costs in retirement?

Our own conversations with clients add this important dimension:

When we are ready, how do we find “gay friendly” retirement communities?

If you have similar questions and concerns, let’s talk and begin to create choices and solutions now.

If you have questions that are more of a legal or tax nature, our virtual team will join in the conversation.

The important thing is to take action and start the conversation with us now.

Barbara A. Culver
CFP®, ChFC®, CLU, AEP®
Resonate, Inc.
(513) 605-2500

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18Nov
The Most Overlooked Issue in Retirement Planning – Parts 4 & 5
Health Care Costs

question-markWhat will you pay for health care in retirement?

This is the final installment of the blog series.  See previous posts from Nov. 2nd and 14th.

Here is the third factor that influences what you will pay for health care in retirement:

Your Source of Coverage:

Some Americans are still fortunate to have a certain percentage of their health care benefits provided by their former employer.

For most Americans, this is not the case.

Most retirees need to choose between an Original Medicare, plan which includes buying supplemental Medigap insurance, OR to choose a Medicare Advantage Plan.

Here’s a chart comparing the two:

medicare-chart-resized

(Source: Merrill Lynch)

The fourth and fifth factors of heath care premiums in retirement are:

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14Nov
The Most Overlooked Issue in Retirement Planning – Parts 2 & 3
Health Care Costs

question-mark

What will you pay for health care in retirement?

In Part One of this series, I shared that Fidelity research suggests that a 65-year old couple retiring in 2016 will need an estimated $260,000 to cover their retirement health care costs.  Please reference the entire blog dated Nov. 2nd.

In addition to your own genetics and health history, five factors will have a significant influence on your overall costs for care.

In this blog, I cover the first two factors:

Where You Live:

While Medigap and Medicare Advantage plans are offered in each state, the premiums can vary by as much as 30%.  (Source: HealthView Services.)

Here is their research on the 10 states with the highest cost for Part B, Part D and supplemental insurance for a 65 year-old person.

State First Year Total Over 20 Years
1. Florida  $3,710  $152,184
2. Michigan  $3,707  $152,175
3. Maryland  $3,695  $151,438
4. Massachusetts  $3,686  $151,110
5. Nevada  $3,682  $151,014
6. Louisiana  $3,651  $149,661
7. New Jersey  $3,683  $148,865
8. Illinois  $3,595  $147,203
9. Texas  $3,592  $146,969
10. Indiana  $3,549  $145,235

Source: FA Magazine

If you want to check out rates for where you live, go to the Medicare Plan Finder and enter your information.

Here is the next factor that will influence your retirement health care expenses:

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02Nov
The Most Overlooked Issue in Retirement Planning – Part One
Health Care Costs

Whquestion-markat will you pay for health care in retirement?

Fidelity research suggests that a 65-year old couple retiring in 2016 will need an estimated $260,000 to cover their retirement health care costs.  Please note this represents a $15,000 increase from the 2015 estimate of $245,000 shown in the chart below.

Source: Fidelity Investments

health-care-graphWhile we know this can only be an estimate, here is how the costs break-down:

  • About one-third of the cost is for Medicare Part B (doctors’ services and out-patient care) and Medicare Part D (prescription drugs).  Even the most healthy of Americans incur these costs.
  • Then consider the out-of-pocket expenses of such things as hearing aids, increasing dental costs, and eye care.
  • Of course, the most expensive potential cost of all is the need for care at home or in a facility.  These expenses can easily crest $150,000.

While this information begins to address the importance of including planning for health care in retirement, each individual’s situation is unique.  Let’s talk about your situation and be sure that we plan correctly to meet your life and legacy goals.

Barbara A. Culver
CFP®, ChFC®, CLU, AEP®
Resonate, Inc.

(513) 605-2500

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