IF RETIREMENT IS A PARTY, inflation is the unwelcome guest who eats most of your food, drinks your best wine and makes you question whether throwing the party was such a good idea.
Two-thirds of seniors are concerned that inflation will have a negative impact on their retirement, according to a survey by American Advisors Group, a provider of reverse mortgages. More than half said the cost of living in retirement has been higher than they expected.
The concerns are understandable, particularly because it looks like inflation won’t end anytime soon. Kiplinger forecasts that inflation will end the year at 6.5%, primarily due to higher food and energy prices.
Inflation erodes the value of retirees’ savings, increasing the risk that they’ll run out of money. There are, however, steps you can take to protect your retirement portfolio and blunt the damage inflicted by rising costs:
Delay filing for Social Security. When inflation is rising, delaying benefits is even more advantageous because cost-of-living adjustments for Social Security benefits start at age 62, even if you don’t claim them. Retirees who can afford to postpone filing for benefits until age 70 will also receive an annual 8% delayed-retirement benefit. “It’s the only place anybody can get a guaranteed 8% return,” says Tim Doehrmann, a certified financial planner with Eagle Ridge Wealth Advisors in Washington, Ill.
この記事は Kiplinger's Personal Finance の May 2022 版に掲載されています。
7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。
すでに購読者です ? サインイン
この記事は Kiplinger's Personal Finance の May 2022 版に掲載されています。
7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。
すでに購読者です? サインイン
HOW INFLATION ADJUSTMENTS WILL AFFECT YOUR TAXES
We looked at IRS rules for 2025 on everything from tax brackets to how much you can save in retirement accounts.
GUARD AGAINST IDENTITY THEFT IN THE NEW YEAR
Scammers are getting better at impersonating legitimate businesses.
SHOULD YOU BUY PET HEALTH INSURANCE?
You can fend off big veterinary bills with a policy that covers your furry companion.
THE LOWDOWN ON BUYING A VACATION HOME
If you return to a beloved destination again and again, purchasing a home there may be a smart move-but don't overlook the costs and effort that go into it.
HOW COUPLES CAN MANAGE DIFFERING RETIREMENT TIME LINES
Staggered retirement is increasingly common, but it can create financial and emotional challenges.
AVOID THESE CREDIT MISSTEPS
KIPLINGER ADVISOR COLLECTIVE
WHAT YOU NEED TO KNOW ABOUT WORKING FOR YOURSELF
Whether you're looking for a side gig or planning to start your own business, it has never been easier to strike out on your own.
My Top 10 Stock Picks for 2025
SINCE 1993, I have offered an annual list of 10 stocks with the potential to beat the market in the 12 months ahead. My 2024 selections notched the highest return ever: an average of 48.9%. I beat the S&P 500 index by 10.8 percentage points, and every one of my stocks was up-six by more than 30%.
WHAT MAKES AN ETF SUCCESSFUL?
EXCHANGE-traded funds have exploded in popularity, with the industry now reaching the milestone of $10 trillion in assets.
TIPS FROM INSIDERS
When corporate insiders buy or sell, it can offer clues on whether you should do the same.