Planning for retirement income
shouldn’t stop just because you retire. It’s a process, much like raising
children and pursuing a career.
You learn, you implement, you
make mistakes, you seek advice. So whether you are already retired, nearing
retiring or thinking about it as an abstract concept many years away, we can
help you engage in this ongoing process.
In addition to general
retirement income planning for a couple, it's a good idea for married couples
to also engage in individual retirement income planning. Odds are, one spouse
will live longer than the other, so it's important to plan for financial
security once one spouse has passed away. Given that women generally live
longer than men, this can be especially important for them.
[CLICK HERE
to read the report, “Impact of Retirement Risk on Women,” from Women’s
Institute for a Secure Retirement, 2013.]
[CLICK HERE
to read the article, “10 Money Tips for Retired Women on Fixed Incomes,” from NextAvenue.org,
Aug. 28, 2015.]
Needs change throughout life,
whether you’re a man or a woman. But a change in marital status can have a more
detrimental impact on financial security in retirement for women.
When a woman gets divorced, she
is likely to lose her survivor’s benefits from her ex-husband’s pension plan.
That’s why it’s important as part of the divorce settlement to draw up a special
court order, called a Qualified Domestic Relations Order, that can specifically
provide for a survivor’s pension in the event of divorce.
Widows now have protection for
survivor’s benefits, thanks to a 1984 law that requires private pension plans
to provide a pension to a worker’s surviving wife (or husband) if the employee
earned a benefit.
In fact, the employee’s spouse
has to provide written permission in order to waive this right. Note, however,
that this legislation only applies to private pension plans. If the spouse
worked at a state, local or federal government job, then the widow should find out
what rules apply to that pension.
Now, some people suffer through one or more divorces and decide,
“That’s it. I’m not ever getting married again.” They may engage in a long-term
relationship and even share a home with a partner, but simply not marry. This
arrangement should be considered in the process of retirement income planning,
because common law and non-married partners may not have a legal right to
survivor benefits from Social Security or pension plans. Despite its troubles,
marriage may still have financial benefits, depending on the situation.
[CLICK HERE
to read the article, “Rights of
Surviving Spouses,” from Women’s Institute for a Secure Retirement, 2015.]
[CLICK HERE
to read the article, “Widows and Widowhood,” from Women’s Institute for a
Secure Retirement, 2015.]
If you’re a working woman, you have plenty of good income planning
options. Especially when you consider that within the next 15 years, it’s
estimated that women will control two-thirds of the wealth in the U.S.
That is particularly remarkable when you consider that, on average,
women still earn about 22 cents less per dollar than men. But women will need
the extra funds, because right now experts project that 70 percent of baby
boomer wives will outlive their husbands by 15 to 20 years.
[CLICK HERE
to read the article, “Women and Retirement Savings,” from U.S. Department of
Labor, August 2013.]
Regardless of where you are in the lifelong process of retirement income
planning, it’s certainly never too late to get started. Even if you have a plan
for retirement income as a couple, it’s a good idea to ensure it would cover a
surviving spouse.
As always, we’re here to help you with just that type of
retirement income planning -- now, and as you need it throughout your lifetime.
We are an independent firm helping individuals create
retirement strategies using a variety of insurance products to custom suit
their needs and objectives.
The information contained in this material is provided by third parties and has been obtained from sources believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions.
If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
AE09155163
The information contained in this material is provided by third parties and has been obtained from sources believed to be reliable, but accuracy and completeness cannot be guaranteed; it is not intended to be used as the sole basis for financial decisions.
If you are unable to access any of the news articles and sources through the links provided in this text, please contact us to request a copy of the desired reference.
AE09155163