By Robert Powell, USA Today – Aug 30 2014

The Society of Actuaries (SOA) puts the number of risks that you might face in retirement at 15. Some of those risks you can manage or mitigate, and some you can’t. But one risk that you should be able to control is that of overspending.

According to recent research conducted by the SOA, most retirees tend not to overspend. They reduce expenses and adjust their spending to meet what they have in income. Some even have two accounts, one for essential expenses and one – a slush fund – for discretionary spending.

But even though they might have a slush fund, the SOA research suggests that retirees are not spending significant amounts of money on luxury items such as boats or RVs. Instead, they are making choices about current spending and a number of retirees report reducing the amount they travel and foregoing other discretionary spending when necessary, according to the SOA’s report. Read The Decision to Retire and Post-Retirement Financial Strategies: A Report on Eight Focus Groups Continue reading →

By Art Koff, MarketWatch – Aug 29, 2014

When planning for retirement, or how to live in retirement, it’s often helpful to consider what others have done or are doing.

In February, an informal poll of roughly 400 RetiredBrains visitors revealed varied directions. It would seem that a life of leisure should lead the list; however this was in fact one of the smallest areas our questionnaire revealed.

Visitors to RetiredBrains who have been retired for at least a year were asked what they had been doing since leaving their job or primary occupation. The answers that came back are revealed in the pie chart above.

We didn’t provide those taking part in this poll with the opportunity to combine any of these activities or lifestyles as we assumed most would be doing several and felt this wouldn’t give us the information we were seeking.

Below is a list of the definitions that we included along with our observations based on comments that we received from participants:

By Greg Sargent, Washington Post – Aug 29, 2014

It’s widely accepted as incontrovertible fact that the politics of health care this cycle are nothing but a disaster for Democrats. But if Republicans are certain that Obamacare will win them the Senate, Dems are seeking to turn the health care debate to their advantage by hitting Republicans on Medicare — just as they did during the last cycle, in which they won most of their elections.

The DSCC is up with a new ad in Louisiana ripping GOP candidate Bill Cassidy over his support for the Paul Ryan budget — an issue Dems have been pressing hard in this state for months. Dems are also airing a new spot in Iowa hitting GOP candidate Joni Ernst for wanting to “end the Medicare guarantee,” a reference to her vote as a state legislator against a measure disapproving of the Ryan plan.

By David Wallis; The New York Times ~ Aug 29, 2014

Some call themselves “senior gypsies.” Others prefer “international nomad.” David Law, 74, a retired executive recruiter who has primarily slept in tents in several countries in the last two years, likes the ring of “American Bedouin.”

They are American retirees who have downsized to the extreme, choosing a life of travel over a life of tending to possessions. And their numbers are rising.

Mr. Law and his wife, Bonnie Carleton, 69, who are selling their house in Santa Fe, N.M., spoke recently by phone from a campground in Stoupa, Greece, a village on the southern coast of the Peloponnese. He explained that they roam the world to “get the broadest and most radical experience that we can get.”

By Nathaniel Weixel; Bloomberg BNA ~ Aug 29, 2014

The growth in Medicare spending in fiscal year 2014 has slowed considerably compared with past years, and will continue to slow in the next decade, primarily as a result of lower medical costs, the Congressional Budget Office said in an Aug. 27 report. In the short term, Medicaid spending will increase, primarily because of Medicaid expansion under the Affordable Care Act.

In the 2014 fiscal year, (which ends Sept. 30), net spending for Medicare will rise only 2 percent, or $12 billion—slower than what the agency previously predicted in April.

By Brenton Smith, The Hill – Aug 28, 2014

There is probably only one widely accepted fact in the debate about Social Security reform: The Social Security system will pay full benefits until 2033.

Comically enough, that one fact is not true. The very bedrock of the debate about Social Security is a date that is taken out of context, and applied in ways that directly contradict the intent of the information. The date 2033 should drive Americans to ask hard questions. Instead this information is used as a means to quell any discussion.

By Ilana Greene, Huffington Post – Aug 28, 2014

Many aging Baby Boomers seem dazed and confused about Medicare. The National Association of Insurance Commissioners (NAIC) surveyed 377 citizens born between 1946 and 1964 across the country to find less than half knew Medicare eligibility begins at 65 years for those who are not disabled. More than half of the Baby Boomers surveyed were unfamiliar with Medicare prescription drug coverage, even though Medicare Part D is now in its ninth year.

“Becoming eligible for Medicare provides prospective retirees with clarity and certainty about their future health insurance coverage,” says Arthur Carlos, President and CEO of Symphonix Health, a national health insurer company specializing in Medicare Part D. However, newly eligible retirees face a host of questions about whether to enroll in original Medicare or a Medicare Advantage plan, what Part D plan should they select, and whether they should purchase Medicare supplement coverage.”

By Walter Updegrave, Wall Street Journal – Aug 28, 2014

Some investors who are earning solid salaries as they approach retirement have socked away so little that catching up on their savings could seem daunting.

The obvious solution is to save much more. But even a relatively modest increase in retirement savings can make a difference, when combined with other steps that postpone the time when that money needs to be tapped.

A 2013 report on 401(k) accounts from the Employee Benefit Research Institute, a nonprofit based in Washington, shows that the median balance is $214,000 for workers in their 50s who earn between $80,000 and $100,000 a year and who have participated in their 401(k) plan for more than 20 years.

That is less than three times salary, well below the five to seven times that advisers often recommend having set aside by that stage of your career. The EBRI report didn’t include any savings outside 401(k) plans.

By Susan B. Garland, Kiplinger – Aug 27, 2014

It’s been your longtime retirement dream to move to Provence for six months a year. Did you realize that your spouse has another idea in mind—opening a small shop in town? As you and your spouse approach this new chapter of life, perhaps it’s about time that the two of you had a talk—make that a big talk.

See Also: Create a Plan for a Meaningful Retirement

Retirement is a huge transition, especially for two-earner baby-boomer couples who are used to spending days apart pursuing their own careers. It could be difficult enough figuring out your own goals for the coming years. Throw your partner’s expectations into the mix, and be prepared for a lot of negotiation.

These conversations can be challenging because the decisions you reach on issues around retirement will have a significant impact on your relationship. Where do you want to live? How much time will you spend together and apart? In the time together, what activities will you pursue? What if one spouse wants to retire earlier than the other? “It takes a certain amount of courage to create a relationship for the next part of your life,” says Roberta Taylor, co-author with Dorian Mintzer of the recently updated The Couple’s Retirement Puzzle: 10 Must-Have Conversations for Creating an Amazing New Life Together (Sourcebooks, $15).