When your computer home page catches your attention with a fleeting headline, you might stop. I did! Why, because I am just contemplating this very question. CBS Money Watch, Nov. 5th, 2012 article by Allan Roth provides some clarity for those Americans approaching retirement age. From Mike Piper, financial expert, read the three key points he feels one needs to consider when considering when to start drawing Social Security. Are you in that boat with me? What are you thinking?
What’s on your calendar for October 15 – December 7, 2012? Halloween & Christmas, sure! Did you remember Medicare Open Enrollment?
Yes, we are now in the annual Open Enrollment period for Medicare. Seniors can switch from Medicare parts A & B (traditional Medicare) to a Medicare Advantage Plan (partC), or go from Medicare Advantage back to a traditional plan. It’s also time to make any changes to the Part D prescription drug plan. Changes will be effective January 1, 2013.
It’s important to make a timely decision. If you’d like more information, I invite you to visit my recent Laird Norton Tyee post here.
Submitted by Susan Talton: a Client Advisor and CFP professional at Norton Laird Tyee, with over 25 years of management experience. Susan enjoys writing about the life transitions that women are very likely to face. She also frequently writes about retirement, a big transition in itself.
A recent Wall Street Journal piece (June 11, 2012) chronicled the reality that baby boomers may be facing less than optimal expected inheritance from their parents. Why? It seems, as we all know, our parents are living longer and using up much of that nest egg for their own care. Add to that the reality of the post 2008 economic downturn, which has impacted all of us, and you have a recipe for concern. To add to the “concern”, we also have the reality that many of the “boomer generation” is also heavily engaged in dealing with our own children, many of whom are finding it difficult to find work.
I know some of this first hand. In the 1980′s, I remember sitting with a financial advisor and creating an annuity for my mother which would guarantee her a steady income for years. Funny thing, my mother lived well into her 90′s and outlived her money. I know that many of you share this journey and know the stresses that this can cause. Yes, just at the time when we should be feeling secure in our own financial world, we are more anxious as to how to continue care for a parent, be “there” for our kids and grandchildren while trying to save for and plan for our own transition from full time work.
I have found that taking the time to sit with a financial expert can make a difference. I do not profess to have any expertise in how to manage money. The complexities of the current financial world are so profound that it is a blessing to be able to have someone who can make sense out of all of the possibilities. I have even suggested this to my daughter and son- in- law. In the middle of this financial and familial transition, it is often necessary and prudent to seek the advice of a trusted expert. There is security in having a plan that is tailored to you and your needs. Our lives are so stressed and pressured that any way that we can find to lessen those pressures is a blessing.
Shalom,
Rabbi Richard F. Address, D.Min
www.jewishsacedaging.com
What is it about our presence in the doctor’s office that brings comfort to our parents? Whether they are dealing with the ongoing struggle of a long term illness, or faced with a sudden health crisis, we are with them to share their anxiety, ask the right questions and pay attention to the answers, take notes, and later remind them of the doctor’s recommendations and next steps.
Have you thought about taking part in your parents’ next meeting with their financial advisor?
Running out of money is the biggest fear our elders have. Not always a rational fear, but in my experience it’s felt almost universally, regardless of someone’s current financial circumstances. What is the number two fear among elders? Becoming a burden to their children.
It’s crucial, in this arena, to think in terms of collaboration. This isn’t about asking your parents to give up control or their financial independence. So it’s not “Here, let me do this for you, don’t trouble yourselves about your investments any more, I can take over that responsibility.” Best to look for openings. Maybe you could just ask: With the dour economy and difficult choices investors are making now, is there any way that you can help with these decisions? Do they want you to go with them when they visit their “money doctor”? Are they feeling pushed to make larger gifts to the charities they have supported for years? Has their financial advisor invited them to bring family members into the conversation? Or, another option is for you to go first yourself. Ask your parents for their advice, or tell them how you’ve handled your own estate planning and ask their opinion. If the right time presents itself, ask if you can help make sure what’s important to them gets done.
Check in with your siblings, too. Money can be emotionally charged, and what looks like an obvious offer of help to you, could be seen as a power play by your brother or sister.
If you don’t get an enthusiastic “yes!” at first, don’t promise yourself you’ll never bring it up again. And when you reach “a certain age” yourself, give your own children the gift of an easy conversation around money.
Susan Talton is a Client Advisor and CFP® professional at Laird Norton Tyee, with over 25 years of wealth management experience. She is also a member of the Financial Planning Association. Susan enjoys writing about the life transitions that women often are very likely to face. She also frequently writes about retirement, a big transition in itself.
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