Why Millennials Resent Baby Boomers

If you are active on Facebook and you are connected to younger adults, you may have seen a recent article that is being passed around and shared by thousands of Millennials and members of Generation X.  When I read it, I was shocked and saddened.  I am sure that this information is going to stun many other Baby Boomers, as well.

The title of the article is:  "Baby Boomers are What's Wrong with America's Economy."  This article was not written by an uneducated, ill-informed, resentful teen.  It is written by Jim Tankersley, a well-educated, highly regarded writer for the Washington Post ... and I am afraid he is speaking for many young adults in this country. 

While I do NOT agree with everything this author has to say, and I believe it only gives the viewpoint of his age group, I do believe that it is important for Baby Boomers to understand some of the backlash we are getting from members of the younger generations.  Many of them agree completely with the points made by this author, which is why they continue to spread it around through Social Media.

You will want to read the entire article for yourself.  Meanwhile, some of the main points are listed below.

Many Young Adults Believe Baby Boomers Have Stolen Their Future

*  As the author pointed out, Baby Boomers entered the economy at a time when good-paying jobs were plentiful for both high school and college graduate.  As we must admit, the economic situation has been much more difficult during the past decade, and it has taken a hard toll on young adults.

*  Because we benefited from a strong job market, many Baby Boomers were able to maintain a higher standard of living than is possible for a large number of our children and grandchildren.  In the words of the Jim Tankersley, "My generation, Gen X, is in far worse financial shape than our parents were at the same age. Millennials are even worse off than we are."

*  Despite having lower-paying jobs and less financial security, Jim Tankersley comments that "future generations will have to pay the costs of weaning the world from fossil fuels and/or adapting to warmer temperatures, rising seas and more extreme weather. (Estimates vary, but some projections suggest they could total trillions of dollars for America alone.) They will also have to shoulder the burden of keeping America’s retirement promises to the boomers."  It is obvious from his narrative that Mr. Tankersley and his peers resent this.

*  Tankersley also resents the fact that Baby Boomers expect to receive all the Social Security and Medicare benefits they have been promised, even though this will put an added burden on their children and grandchildren.  Many Millennials and members of Generation X apparently feel it is unfair, in their view, that Baby Boomers want benefits, but are unwilling to make the same sacrifices that are expected from their offspring.  Jim Tankersley goes on to say, "folks my father’s age like to say they’ve paid for those benefits, so they should get them in full. But they haven’t. The Urban Institute has estimated that a typical couple retiring in 2011, at the leading edge of the boomer wave, will end up drawing about $200,000 more from Medicare and Social Security than they paid in taxes to support those programs."  (Of course, Mr. Tankersley does not take into consideration the fact that the money Baby Boomers paid into Social Security and Medicare over the past 40 years should be worth more than we put in, because of the value of compound interest on the principal.)

*  The author then lists other "sins" that he feels have been committed by Baby Boomers.  He asserts that Baby Boomers could have prevented some of the problems that are being passed on to the younger generations, since Boomers have controlled Congress since the George W. Bush administration.  Despite the power that Boomers have held, they have failed to put money aside to protect Social Security.  Instead, as Jim Tankersley says, Boomers have cut their own taxes, deficit funded two wars, shipped manufacturing jobs to China, failed to invest in job training for younger people, and allowed college costs to more than double ... which creates more difficulty for the younger generations.

*  How can Baby Boomers convince younger generations that we do want to reduce the future strain on our offspring?  The author suggests that Boomers should begin to take more responsibility for the current problems.  He believes we should do everything we can to lower carbon emissions and head off a debt crisis.  Boomers should be more willing to pay higher taxes and accept lower retirement benefits.  Clean energy should be a top priority.

Jim Tankersley Made Some Thought-Provoking Points

I must admit that the author has put forth some thought-provoking assertions.  It would be impossible to guess his political affiliation based on what he has to say in this article.  On the liberal side, he wants more money spent on job training and to lower the cost of higher education.  He also wants both the government and individuals to invest in clean air and clean energy.  On the conservative side, he wants a balanced budget and reduced government debt ... and feels that all Americans, including retirees, should share in the cost of accomplishing this.

Other Complaints About Baby Boomers

The Jim Tankersley essay is not the first time I have heard complaints from younger adults about the burden being placed on them by Baby Boomers.  From time to time, I have also received very critical comments about Boomers on this blog ... and promptly removed them.

In one case, a young adult posted a comment on my blog that said, "Why don't all you Baby-Boomers just hurry up and die so there will be more jobs for people my age?"

Of course, I removed that comment as quickly as possible.  I assumed that it, and others I have received like it, were just left by malcontents. 

However, I am beginning to see that some of these comments are not being left by "mentally unstable" individuals.  Instead, they may be reflecting the beliefs of a large number of members of the younger generations.

And that is why I thought every older adult should know why Generation X and Millennials resent Baby Boomers.  We need to be prepared for some of the changes they may make once they are the generation in power ... and it currently looks as if we may not like the decisions they could make regarding our benefits and care.

If you want to read the full article, you can find it at:

"Baby Boomers are What's Wrong with America's Economy"

If you are interested in ideas about where to retire, financial planning, health issues as we age, changing family relationships and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional helpful articles.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com

Social Security Benefit Changes

From the beginning of 2016 and going forward, Social Security beneficiaries will see several major changes to the program.  More changes are likely to follow in the coming years.  Whether you are already receiving your Social Security benefits or expect to receive them in the coming years, many of these changes will affect you.

The End of the File and Suspend Option

File and Suspend is an option that first became available in 2000.  Under this strategy, a married couple could plan for one of the individuals to initially receive a smaller check based on one-half the income of their spouse, while letting their own benefits continue to grow until age 70.  At age 70, they were able to choose whichever benefit was greater.  File and Suspend will no longer be an option.  There is no point in explaining the finer points of this tactic, because it ends in a few weeks.  It is unavailable to anyone who reaches age 62 in 2015 or beyond.  Many people who were planning to use this option when they reached their retirement age will be disappointed.

Deemed Filing is Now the Option Chosen by Most Married Couples

Moving forward, when a person files for benefits anytime between the ages of 62 and 70, it will be considered a deemed filing.  At that point, the beneficiary will choose between the larger of their spousal and personal retirement benefits.  Up until now, retirees could only use deemed filing up until their full retirement age, at which time they had to choose between collecting benefits on their own earnings or taking the spousal benefit.  Now retirees will have a few years longer to make that choice. 
Because some of the rules around this are new, retirees should do more research about the deemed filing option as they get close to retirement.  In addition, I cannot stress enough the importance of purchasing one of the excellent books about Social Security that are available using this Amazon.com link.  It is important to realize that many of them will not be updated with the newest information for a few months.  Ebooks will probably be updated the most quickly.

Fixing the Social Security Trust Fund Shortfall

The elimination of File and Suspend will cost some couples tens of thousands of dollars during their lifetime.  However, this change is the first step in making sure that the trust fund does not run out of money as quickly as has been projected and it will improve its long-term financial stability.

In the future, taxpayers should expect additional changes to protect the Social Security Fund.  Although no final decisions have been made, the changes will probably include small increases in payroll tax withholding and a slight rise in the full retirement age.

Benefits Will Be Lower Than Expected for the Highest Income New Retirees

Some high income retirees will be surprised to discover that they will receive about $24 less per month than they expected.  According to a Social Security Administration statement, "A decrease in full maximum benefits occurs when there is no cost-of-living adjustment, but there is an increase in the national average wage index."  In 2016, the maximum amount that a 66 year-old worker will receive per month will be $2,639, reduced from $2,663 in 2015.

Online Changes

In an effort to save money in administrative costs, the Social Security Administration will offer more online services than they have in the past.  For example, beneficiaries will now be able to order a new Medicare card online, rather than being required to visit a Social Security office.

Longer Office Hours

Another change to expect at your local Social Security office is longer office hours.  Most offices will be open one hour longer each day, although they will still close at noon on Wednesdays to allow employees to reduce backlogs.  If you are planning to visit your local office, it is advised that you call and confirm the office hours before you show up.

If you want to learn more about your Social Security benefits, financial planning, where to retire, health issues and more, use the tabs or pull down menus at the top of the page to find links to hundreds of additional articles.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  wikipedia.org/commons

Sources:

http://finance.yahoo.com/news/budget-deal-cutting-social-security-040000781.html?soc_src=mail&soc_trk=ma#

http://finance.yahoo.com/news/7-ways-social-security-change-153228828.html

Aging in America - Fascinating Facts

The Population Reference Bureau, which searches for population trends around the world for a variety of populations including the aged, children, and minorities, has a very interesting brochure which can be downloaded from their website.  It contains fascinating statistics about how and where the population of the United States is aging.  It is called Aging in America and you will find a link to it at the end of this article.

The twenty page brochure contains charts, statistics and far more information than I could possibly fit into a blog post.  However, I thought I would summarize some of the more fascinating facts here.

America's Aging Population

*  Baby Boomers are the people who were born between 1946 and 1964.  This means that the Baby Boomer generation began turning 65 in 2011 and is continuing to turn 65 at a rate of about 10,000 to 11,000 a DAY!

*  There are currently a little over 40 million Americans ages 65 and older; by 2050, that number will more than double to 89 million Americans.  By that time, about one-fifth of the U.S. population will be age 65 and older.

*   Japan, Italy, Germany and the United Kingdom are aging at even a faster pace than the population of the United States.  Aging is also accelerating in other countries, including Russia, China, Brazil, India and Mexico, and is becoming a global phenomena.  As life expectancy grows longer and birth rates drop, the world's population will continue to age.

*  The racial make-up of this country is also changing.  In California, New Mexico and Hawaii, non-Hispanic whites now make up less than half the population of those states.  Typical Caucasian, non-Hispanic whites will be a minority nationally by 2041.  In the near future, there will no longer be a single racial majority nationwide.  The labor force at that time be made up primarily of Hispanic, Asian and multi-racial workers, while the aging Baby Boomer population consists primarily of non-Hispanic whites.  Will this knowledge encourage the non-Hispanic whites in positions of power in our government to adopt policies that provide greater access to education and jobs for those minorities who will soon be running this country?  After all, in the future those Hispanic, Asian and multi-racial workers will be the ones to support and take care of the aging Baby Boomers.

*  The aging population is not spread out evenly across the country, but is heavier in certain pockets.  For example, in the Midwest and Northeast, the population is aging faster because many of the young people are moving away and older residents are aging in place, remaining in their familiar communities. 

*  On the other hand, when people do choose to relocate, they are moving in large numbers to certain retirement destinations, bringing a higher than average number of senior citizens to those regions.  Among the retirement destinations that are heavily impacted are Florida, Arizona and Nevada.  In addition, many retirees are choosing to move to or remain in small towns and rural areas, which will increase the demand in those areas for senior housing, public transportation, health care and retail businesses.

*  According to the Index for the Well Being of Older Populations, the best countries for those 65 and older are Denmark, Netherlands, Switzerland and the United States.  Our goal should be to make sure we remain near the top of the list in the coming decades.

There is a great deal of additional fascinating demographic information about our aging population in this brochure.  It is well worth reading ... as are other brochures that are available from the Population Reference Bureau.

To read the full brochure for yourself, you can download it at:  America's Aging Population from the Population Reference Bureau at PRB.org - Volume 66, No. 1.

If you are looking for additional information about aging and retirement, use the tabs or pull down menu at the top of the page to find links to hundreds of articles about where to retire in the United States and overseas, health issues, financial planning and more.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  Morguefile.com

Money Magazine Best Places to Retire

Forbes, Money, AARP and U.S. News periodically come out with their own lists of the best places to retire in the United States.  The reason there are so many different lists is because they each use different criteria.  However, I believe it is helpful to my readers to be informed about these various lists so they know if the communities they are considering are a good possibility.

This month I am featuring the 2015 Money Magazine list of the Best Places to Retire.  First, however, you will want to know the criteria they used.

Money Magazine Criteria for the Best Places to Retire

What were the types of things that Money Magazine considered when they compiled their list?  First, they considered the four top towns in five different categories.

The categories were: The places where retirees could pursue an active lifestyle in ...

The outdoors
The arts
Waterfront living
Continuing Education
Golf

How did they choose the best communities for each of those interests?

Here are the issues they considered:

Communities with at least 10,000 residents
A variety of services and populations
No more than 95% of residents of one race
At least 20% of residents over the age of 50
Median home prices below the national average
Low taxes
Within 30 miles of a major hospital
Accessible to culture, recreation and green space

Finally, they also interviewed both new and longtime residents to determine if there is a sense of community spirit and vibrancy ... issues that can be hard to measure.

Once they had taken all these factors into consideration, they came up with their lists.  Below, I have listed their top picks, along with the median home price.

Where to Enjoy the Great Outdoors after Retirement

St. George, Utah - $195,000
Vail, Arizona - $199,500
Fayetteville, Arkansas - $166,000
Richland, Washington - $205,450

Where to Enjoy the Arts after Retirement

Boise, Idaho - $184,500
Santa Fe, New Mexico - $248,000
Chattanooga, Tennessee - $128,650
Dover, Delaware - $136,000

Best Retirement Areas for Golf Lovers

Prattville, Alabama - $150,415
Clermont, Florida - $190,000
Stillwater, Oklahoma - $136,000
Fishers, Indiana - $228,000

Best College Towns for Retirees

Northfield, Minnesota - $172,500
Asheville, N.C. - $200,000
Lexington, Kentucky - $142,000
Athens, Georgia - $128,000

Best Retirement Towns for Waterfront Living

Bluffton, South Carolina - $230,000
Traverse City, Michigan - $161,250
Cape Coral, Florida - $144,900
Loveland, Colorado - $225,000

Diversity on the Money Magazine List

As you will see, this list includes nineteen different states from most of the regions in the United States.  I was disappointed to note that it did not include any communities in California, Oregon, or in the Northeast above Delaware.  Those regions all include populated areas where many people would like to retire.  With that thought in mind, I would like to mention that this blog also includes articles on other popular retirement areas, including California coastal towns, and the retirement communities around the charming town of Lancaster, Pennsylvania. 

In addition, if you already have an that interests you, I assure you that there are retirement communities in nearly every region of the United States.

If you are looking for more ideas about where to retire, use the tabs or pull down menu at the top of this article to find links to hundreds of additional articles about where to retire in the United States or overseas, health issues, financial considerations, and other retirement concerns.

Source:

"Best Places to Retire 2015," Money Magazine, July 2015.

Other articles that may interest you:

http://onboardinformatics.com/blog/money-magazine-releases-best-places-retire-2014/

http://time.com/money/3914804/best-places-to-retire-2015/

http://money.usnews.com/money/retirement/best-places-to-retire



You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com

No Social Security COLA in 2016 - Medicare Rates Rise for Millions

UPDATED with new figures as of 10/30/15:  Millions of Social Security and government pension beneficiaries will be disappointed to learn that there will be no Social Security increase in 2016.  As compensation, approximately 6 out of 7 Medicare beneficiaries will also see no increase in Medicare premiums, either.  However, there are exceptions.  In fact, approximately 14 percent or 1 out of 7 people will have a premium increase.  However, as part of the October, 2015 budget agreement, the size of the premium increase was decreased from 52 percent to approximately 14 percent over what they are currently paying.

Why There Will be No Increase in Social Security Benefits

In the past 40 years, there have only been two other times in which Social Security beneficiaries did not receive a COLA or cost-of-living adjustment.  The years in which this occurred were 2010 and 2011.  Now it has been announced that this will happen once again in 2016.

The COLA is based on the consumer price index rate of inflation.  Primarily because of lower oil prices, inflation was deemed to be too low to trigger a cost-of-living increase.  For millions of retirees who have seen their rent, property taxes, medicine or other expenses rise, this will come as a hard blow.  The majority of retirees are less impacted by changes in the price of gasoline than they are by changes in their medical and other living costs.

Most Medicare Beneficiaries Will Continue to Pay the Same Part B Premiums

The only good news in this situation is that Medicare premiums will not go up for most beneficiaries because of a "hold harmless" clause in the Medicare law.  The hold harmless clause is intended to protect most Medicare beneficiaries during years in which there is no increase in Social Security benefits.  This means that the majority of people will continue to pay the current rate of $104.90 a month during the coming year.

People who will not have a Medicare premium increase must meet these requirements:

*  They are currently paying the standard Part B premium of $104.90 and they have the premiums automatically deducted from their Social Security checks.

*  They qualify as low-income beneficiaries and their Part B premiums are paid by the state in which they live.

Millions of Medicare Beneficiaries Will See an Increase in Their Part B Premiums

While most Medicare beneficiaries will fit into one of the above categories, approximately 1 in 7 will see an increase in their premiums.  This increase will be 14 percents (down from 52 percent) because Congress passed legislation that would reduce the size of the increase.

People who will have a Medicare premium increase fall into these categories:

*  You have an above-average income that requires you to pay more than $104.90 for your Part B premiums.  You will see an additional increase, even if you also receive Social Security benefits and your premiums are deducted from it.

*  You are enrolled in Part B and receive Social Security, but you pay your premiums directly to Medicare, rather than having them automatically deducted.

*  You are paying permanent penalties for Part B, because you were late to sign up for the program.

*  You are not currently enrolled in Part B, but will sign up in 2016.  New members to the program will be paying the higher premiums.

What is Medicare Part B and How Much Will The New Premiums Be?

Medicare Part B is the program that pays for doctor visits and outpatient care.  These are the benefits that are covered by our Medicare premiums.

If you fall into one of the groups that will be paying more, most people can expect to pay $120 a month, plus a $3 surcharge, for a total of $123.  In order to reduce the size of the premium increase (which originally was going to be 52 percent), the Medicare trust fund had to take out a loan from the U.S. Treasury.  The loan will be paid back over a period of five years, using the $3 surcharge. Premiums will continue to go up over the next few years, but at a slower rate.

However, some people will pay far more than that.  Those who already pay the highest premiums because they are in the top income groups could see their premiums rise from the current level of $335.70 a month to approximately $386 a month (an additional 14 percent, plus the $3 surcharge).

Are These Rate Increases Set in Stone?

While the formula for determining who pays the higher rate and how much it will be is set by law, Medicare administrators do have the ability to intervene and "soften the impact" on those who will face the highest rate increases.

Fortunately, Congress did take action this year as part of the 2015 budget compromise and chose to soften the blow.  While millions of people will still be paying higher premiums, they will not be as bad as were originally projected.


If you are retired or facing retirement and you want more information on financial planning, where to retire, healthcare issues, and changing family relationships, use the tabs or pull down menu at the top of the page to find links to hundreds of additional helpful articles.

NEW SOURCES:

https://www.yahoo.com/finance/news/medicare-premium-increases-not-bad-062532254.html

https://www.yahoo.com/finance/news/budget-deal-cutting-social-security-040000781.html

Source:  http://www.aarp.org/health/medicare-insurance/info-2015/medicare-part-b-premiums-could-spike.html

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com

When Will You Have Your Heart Attack?

Heart disease is the most common cause of death in the United States, despite gains that have been made in fighting this disease over the past few decades.    Even though the number of deaths from heart disease have been cut in half since 1960, about 30% of Americans will still die as a result of cardiovascular disease.  According to Harvard Health, at least one-half of all heart disease deaths could be prevented, if people would control the risk factors that are modifiable: smoking, obesity, diabetes, blood pressure and cholesterol.  In some cases, you may also have risk factors that are much harder or impossible to control:  your age, genes, and air pollution in your area, for example.

Since so many of us are likely to suffer from heart disease as we age, we need to know when we are most likely to have a heart attack.  In that way, we can be more vigilant about watching for symptoms in ourselves and our loved ones.

What are Common Heart Attack Symptoms?

Before we learn the times when we are most likely to have a heart attack, we need to know what symptoms we should watch for.  Briefly, they are:  

Unusual indigestion or nausea
Exhaustion
Chest pain
Pain in the arm, back, shoulders or jaw
Unexplained sweating
Shortness of breath
Light headedness or dizziness
Irregular heartbeat or an intense heartbeat
Faintness
A feeling of anxiety or impending doom

When Do Heart Attacks Happen?

If you, your spouse or your parents are experiencing any of the events listed below, you need to be aware that there are certain times when a person is most likely to experience a heart attack.  They are not the only times when you could have a heart attack, but you need to be especially aware if any of these things are going on in your life. There are six types of situations when researchers have noticed clusters of heart events:

The death of someone close to you - The heightened risk is strongest during the first week of grief; however, according to Swedish researchers, the elevated risk can actually last for several years!  If you are grieving the loss of someone you cared about, pay extra attention if you also seem to be experiencing any of the signs of a heart attack.

Catching the Flu - For the next three days after developing the flu, you are four times more likely to have a heart attack.  Be sure to contact your doctor if you are feeling exceptionally ill following the flu.

Experiencing a natural disaster - Isn't it awful enough to have to go through a natural disaster?  To make matters worse, survivors are three times as likely to have a heart attack over the following three weeks.

An exciting sporting event - We have all seen the movies in which someone gets so excited about a special event that they have a heart attack.  This is not so far-fetched.  Heart attack risk goes up for sports fans who get particularly emotional about their favorite sporting events.

Mondays - Yes, the first day we go back to work after being off for a few days can make us more prone to a heart attack.  Of course, we all have to go back to work sooner or later, so the best way to lesson your risk of a heart attack on Mondays is to try to start the week off as calmly as possible ... with yoga, a walk or meditation.

Shoveling snow - This is a chore that should probably be left to people who are young, healthy and in good physical shape.  The combination of cold weather and hard labor can make people more prone to a heart attack.  Take it easy.  It isn't worth the risk.

When Are You Most Like to Die of a Heart Attack?

Above you learned about the times when you are most likely to have a heart attack.  However, do you know there are certain times when you are more likely to actually die of a heart attack?  What are those days and why are they more lethal than others?

December 25, December 26 and New Year's Day are the days when you are most likely to die of a heart attack.  The cardiac event may have been triggered by drinking too much, cold weather, stress over money spent on gifts, or difficulty coping with family issues during the holidays.

Why are people more likely to actually die when a heart attack occurs on those days?

*  After over-eating a large holiday meal, the patient may mistake a heart attack for indigestion.

*  Some people may not want to disrupt the holiday festivities with a trip to the hospital, especially if they think it is just indigestion.  They don't want to interrupt the fun their family members are having.

*  By the time the patient wakes up the next day and realizes they still feel bad, it could be too late.  Patients should not wait more than 12 hours after the onset of symptoms before they seek treatment.

For the same reasons that people die on December 25, December 26 and New Year's Day,  people can sometimes be more prone to death during Hanukkah, while enjoying birthday celebrations or other special days.

If you are looking for more health and retirement information, use the tabs or pull down menu at the top of this page to find links to hundreds of additional, helpful articles.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com


Resources:

http://www.health.harvard.edu/blog/half-of-heart-disease-deaths-could-be-prevented-201506308118

"The Most Dangerous Times for Your Heart," Reader's Digest Magazine, October 2014

http://www.webmd.com/heart/features/the-truth-behind-more-holiday-heart-attacks

https://www.cedars-sinai.edu/Patients/Health-Conditions/Heart-Attack-Myocardial-Infarction

http://www.cnn.com/2010/HEALTH/12/22/hazardous.day.after.christmas/

Trilogy Retirement Communities in California

In the past year, four couples my husband and I know have purchased homes in Trilogy Retirement Communities scattered throughout California.  We have visited several of our friends in their new homes and looked at photos of the others.  All of them are proud and pleased with their new homes and communities.

All the homes are beautiful, modern, well-designed for an aging population and surprisingly affordable.  My friends paid an average of about $280,000 to $320,000 for homes that include a wide variety of amenities and upgrades.  All of them had solar panels included in their purchase price and now pay less than $10 a month for electricity.

Trilogy at Rio Vista

Our friends all love their Trilogy communities, but there is one community that I have personally visited.  That is because three of the couples we know purchased homes in the community of Trilogy at Rio Vista.  This Northern California community has a golf course and is also located on the Sacramento River Delta, which makes it possible for people to enjoy fishing and boating close to home.  There is a beautiful 27,000 square foot clubhouse, indoor lap pool with spa, outdoor pool, exercise facilities, indoor track, tennis courts, community restaurants, billiards room, learning center and more.

The indoor facilities are especially appealing because the area along the Sacramento River can get quite hot in the summer and very chilly and rainy in the winter.  However, there are also many beautiful days with temperate weather when people can enjoy outdoor activities.  Sailing or fishing along the nearby river are popular activities.

Our friends' homes are also very attractive, one-story, comfortable homes.  We have enjoyed dinner with one of the couples in their home, barbecuing on the patio and enjoying a pleasant summer evening outside.

After listening to their enthusiastic descriptions of their new lifestyles, I decided it was time to do a little more research and share my findings about other Trilogy Communities in California.

Discover the Trilogy Communities in California

Trilogy at Rio Vista
Rio Vista, California
(near the Sacramento River between Napa and Sacramento)
(Home prices start in the mid $200's)
(707) 374-1100

Trilogy at the Vineyards
Brentwood, California
(Contra Costa county east of the San Francisco Bay Area)
(Home prices start in the mid $400's)
(800) 685-6494

Trilogy at Monarch Dunes
Arroyo Grande, California
(near Nipomo, along the Central California coast)
(Home prices start in the mid $500's)
(800) 685-6494

Trilogy at Glen Ivy
Corona, California
(Home prices start in the high $300's; development fully built out)
(951) 808-5131

Trilogy at the Polo Club
Indio, California
(Home prices starting from the high $200's)
(in the Coachella Valley east of Palm Springs)

Trilogy Enclave at Rice Ranch
Orcutt, California
(Home prices start in the mid $400's)
(Santa Barbara County)

What People Like About Trilogy Retirement Communities

My husband and I considered purchasing a home at the Trilogy retirement community in Glen Ivy about ten years ago.  We loved the development, but we were still in our 50's and it was too far from where my husband worked at the time.  The community has a golf course and an indoor swimming pool, surrounded by an indoor track, an outdoor pool, tennis courts, exercise facilities, walking trails and more.  With the large, attractive clubhouse and well-designed homes, nestled next to the Cleveland National Forest, we found the community and the homes very appealing.

Since then, Trilogy has improved their home designs with new options that include solar systems that will dramatically reduce your electricity expenses.  The solar systems are rolled into your purchase price.  You can also customize your home with your choice of kitchen counters and cabinets, flooring, lighting and optional design features in the floor plans. All the new communities offer swimming pools, well designed homes, gorgeous club houses and a wide variety of amenities that are sure to appeal to the over 55 age group, including classes, gyms, tennis courts and, in some cases, golf courses.

There are additional Trilogy retirement communities in the states of Washington, Nevada, Florida, North Carolina, Virginia and Arizona.  This gives retirees a wide variety of options on both coasts.

If you are interested in additional ideas about where to retire in the United States or overseas, financial planning, common medical issues as we age, or changing family relationships, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  Photo of golf course taken by author, Deborah-Diane; all rights reserved.

Senior Discounts You Will Love!

Let's be honest ... there aren't a whole lot of benefits to getting older.  However, one benefit we should all take advantage of are the senior discounts.  Starting at age 50, you will start to be eligible for certain senior price breaks at a number of businesses.  More special deals kick in at age 60 and there are an even larger range of discounts available by the time you are 65.

In addition to the ones listed below, make sure you are aware of any special discounts in your area ... free classes, reduced price meals at local restaurants, special days at museums, etc.

It is important to know, however, that in general you must ASK in order to get your senior discount.  The businesses are happy to forget about them, unless you ask.

Senior Discounts You Can Use

 

AARP Discounts - Once you turn 50, be sure to sign up for AARP.  Your membership will only cost about $16 a year, and it will make you eligible for a whole range of discounts including hotels deals, especially at Best Western and La Quinta, as well as other travel packages.  Restaurant discounts at Landry's, McCormick & Schmick, Rainforest Cafe, Outback Steakhouse, Denny's, and other places.  Sears Department Stores offer a discount on their Road Handler tires.  You can also get reduced prices on prescription drugs that are not covered by your medical insurance.  The AARP magazine and website will provide you with more information about the deals that are available.  However, my husband and I simply ask about AARP discounts everywhere we go, especially when we are traveling, going into museums, or visiting tourist attractions.

Restaurant Discounts - In addition to the restaurants that offer a discount through AARP, there are other restaurants that offer a price reduction on their own, including Arby's, Boston Market, Chili's, Subway and Wendy's.  However, as mentioned earlier, you have to ask for them.  Some businesses will require you to register for the discounts before you can get them.

Special Deals on Travel - Southwest Airlines, American Airlines, and US Airways all offer discounts for people over the age of 65.  However, my husband has pointed out that it is smart to see if you are able to get an even lower fare by using discount ticket sites.  He has found that often the senior prices are not the best deals.  Dollar Rent-a-Car offers discounts to seniors, whether they are members of AARP or not. Amtrak also offers a 15% price reduction on the lowest available rail fare for people over the age of 62. Bus service discounts are also available in many cities.  Lower prices on cruises are also available.  Make sure you check out Royal Caribbean and Carnival Cruise Lines for their special offers.

Department Store Price Breaks - Many stores offer senior discounts, but again you have to ask for them.  Sometimes the deals are only available on certain days.  For example, Kohl's has lower prices on Wednesdays for customers who are 55 and over.  Ross has the same deal on Tuesday's.  Belk offers 15% off on the first Tuesday of each month.  Banana Republic offers 10% off all the time for customers over the age of 50.

Lower Prices at Drug Store  - Rite Aid offers 20% off your entire purchase on the first Wednesday of every month, if you are over the age of 65.  I keep a list of items I buy regularly, such as vitamins and shampoo, and pick those items up on that day each month.  You have to register your Rite Aid card in order to get the price break, and then it is automatically entered when you check out on that day of the month.  In addition, I qualify for Plenti points for purchases that I make at Rite Aid and Macy's, as well as for my AT&T phone bill.  These points add up quickly and can easily be converted to cash that I can spend in those stores.  Every little bit counts!

Movie Theater Discounts - Most movie chains offer a special price for seniors.  Our local theater not only has a normal senior discount that is available all the time, but on Wednesdays and Thursdays the price is even lower. 

More Price Reductions for Seniors - The senior discounts that are available are constantly changing.  For a current list, be sure to check out The Senior List website for a current list.  Look for the tab at the top of the page.  You might be surprised what you will find.

You will also get more helpful ideas from this this list of Senior Discounts for People Over 50 that was listed on the Mogul website.

Looking for more helpful retirement information?  Use the tabs or pull down list at the top of this article to find links to hundreds of additional helpful articles on where to retire, financial planning, medical issues, and changing family values.

You are reading from the blog:  http://www.baby-boomer-retirement.com

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How to Draw Down Retirement Assets

As you approach your retirement, one of the first things you may wonder is how to draw down your assets.  How much money can you take out of your IRA, Roth IRA, 401(k) or other savings, investments and liquid assets, and still feel confident that your money will last the rest of your life?  What laws will affect the amount of your withdrawal?  What asset withdrawal system will work the best for you?

Start with a Retirement Budget

The first thing you need to do is carefully list all of your current expenses and come up with an accurate budget.  Next, go through the budget and adjust it to account for any expenses that you believe will be higher or lower after you retire.

For example, if your employer currently pays for your medical insurance, or you have a company car, those expenses may be higher after you retire.

On the other hand, if you currently pay high individual insurance premiums and you plan to use a Medicare Advantage Plan with low premiums after retirement, your medical expenses may be lower.  In addition, if you have high fuel and auto costs due to a long commute, those expenses will be reduced, too.

Don't forget to include the cost of hobbies and travel during your retirement year.  Owning a boat or traveling extensively can add a substantial amount to your retirement costs.

Obtain Accurate Estimates of Your Pensions and Social Security Benefits

Once you have estimated your expenses, you will need to get an accurate estimate of what you will receive in pensions and Social Security benefits.  You should be able to obtain this information from your pension plan administrator and from the Social Security administration.

Compare your retirement expenses to your retirement income.

If there is a gap (and for most people there will be), you will either need to downsize or fill that gap from your liquid assets.

What is the best strategy for doing that?

Required Minimum Distribution Rules

If your assets are in an IRA, you are required to draw minimum amounts from your account once you turn 70 1/2.  The amount you must withdraw is calculated based on your life expectancy, using factors listed in IRS Publication 590.  The owner of an IRA simply divides their total year-end portfolio balance by the life expectancy factor listed for their age.  Each year you will need to repeat this process.  The amount you must withdraw will vary depending on your age and the success of your investments.  The withdrawal percentage increases as you age.

According to Kiplinger's Retirement Report for May, 2015, this strategy out-performs other systems for drawing down your assets.  In addition, if most of your assets are in a traditional IRA, this is the strategy that you are required by law to follow.

Spending Only the Portfolio's Interest and Dividends

For those retirees who have their money invested outside traditional IRA's, in a Roth IRA or investment account, for example, they may hope to leave the principal to their heirs.  As a result, they may decide to only use the portfolio's interest and dividends for their personal expenses.

There are two potential risks with this type of asset withdrawal plan:

1.  They might not have enough interest and dividends to meet their needs.
2.  They might choose stocks based only on their dividends, rather than on whether they are good long-term investments with growth potential.

However, assuming you do not have either of those problems, this system works well for people who hope to leave an estate to their loved ones or to a favorite charity.

The Four Percent Withdrawal Rule

Another option that is simple to follow is for the retiree to simply withdraw 4 percent of their liquid assets the first year and then increase that base amount by three percent of the withdrawal amount each year, to account for inflation.  In other words, if you have $100,000 in assets, you would withdraw $4,000 the first year, $4,120 the second year, $4,243 the third year, etc.

With this plan, it is very unlikely that you would outlive your assets.  Even with only a tiny return on your investments, they should about 25 years.  If you started at age 65, your assets would last until age 90.  If you receive an average return over the years, your assets could last much longer.

However, if you were hoping to leave money to your heirs, it is possible that you would draw down all your assets and there would be nothing left.  If returns remain very low during that period of time and you lived well past the age of 100, it is also possible that you could outlive your assets.

How Should You Draw Down Your Assets?

One factor you will need to consider is how large your retirement deficit is and which asset withdrawal plan will best fill that gap. 

That is why you need to start with a reasonable budget first.  If you know that your gap is going to be larger than you can fill using any of the asset draw-down systems, you may need to make some adjustments to your lifestyle ... perhaps moving to a smaller residence, paying off your mortgage or other bills before retiring, or making additional adjustments.

With adequate retirement savings and a little financial planning, you should be able to retire and not spend your "Golden Year" fretting over your finances.

If you are looking for more retirement ideas, including financial planning, where to retire, medical issues and family relationships, use the tabs or pull down menu at the top of this article.  They will connect you to hundreds of additional retirement articles.

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TIA Mini Strokes - Transient Ischemic Attacks

Recently, I was shocked to learn that a good friend of mine had experienced three mini strokes, also known as TIA's or Transient Ischemic Attacks, in the past four months.  When she told me what happened, she described her first TIA this way:

She was discussing a new project with her boss when, inexplicably, she realized that nothing her boss was telling her made sense, even though my friend was familiar with the project and knew she should understand what was being said.  She asked her boss to write the details down for her and then she left the room.  Although she could walk and talk, looked normal and was even able to cover up her confusion, she still realized that she couldn't understand most of what was being said to her.  She went outside and sat on a bench outside her office building.  A few minutes later, a co-worker came out to check on her and realized there was a problem.  They called an ambulance.  Her confusion gradually passed and she was feeling much better by the time she reached the hospital.  She was shocked to learn that she had experienced a mini-stroke or TIA.

Our conversation completely stunned me, especially when she told me that it has happened twice more since that first event, despite the fact that she is being treated for the condition.  This woman has a high powered job as the supervisor over a number of employees in a California state department.  She is normally assertive and comes across as self-confident and capable.  I was shocked to hear that something like this had happened to her.  I was equally surprised to hear that she was able to hide it from her superior, while she was in the middle of experiencing a TIA.  Is it possible someone else I am with in the future could experience a TIA, and I would not even recognize it?

I realized how important it is to learn the symptoms so I would recognize them, should this ever happen to me or someone I am with.

Facts about TIA - Transient Ischemic Attacks

*  A TIA has similar symptoms to a major stroke, but they usually last only a few minutes and cause no permanent damage.

*   Like a major stroke, TIAs are typically caused by a build-up of plaque in your arteries which can release a blood clot that blocks the blood supply to part of your brain.  In a TIA, the blockage is temporary so the symptoms pass quickly.

*  About one-third of the people who have a TIA will eventually have a major stroke.  In about half of those cases, it will happen within a year.

*  TIAs are sometimes regarded as a warning of an impending stroke.

Risk Factors for TIAs

*  Some risk factors you cannot avoid: being over age 55, being male, being black, having sickle cell disease, or having a personal or family history of strokes or TIAs.  My friend is a 59 year old white female, so it is obvious that people who don't fit the typical "profile" can also experience a TIA.

*  Certain lifestyle choices can make you more susceptible to TIAs: smoking, heavy drinking, poor diet, lack of exercise, illegal drug use (particularly cocaine), or using birth control pills.  My friend does not smoke, drink or use illegal drugs.  She still experienced a TIA.

*  There are other risk factors that you can treat to lower your risk: high blood pressure, high cholesterol, diabetes, heart disease, peripheral artery disease, obesity, carotid artery disease, or high levels of homocysteine. My friend has lost weight, but did have a history of obesity and was pre-diabetic, both of which could have contributed to her TIA.

As you can see, almost anyone can have a mini stroke.  Even if you do not think you are at risk, you should still pay attention to any symptoms you might experience.


Symptoms of TIA Mini Strokes

*  You may experience weakness or numbness on one side of your face, or in one arm or leg.

*  Your speech may be blurred or garbled.  You may also have trouble understanding what other people say.  (This was the only symptom that my friend experienced, and that was frightening enough.)

*  You may experience temporary blindness in one or both eyes, or double-vision.

*  You may feel dizzy or uncoordinated.

Remember, like my friend, you may only experience one of these symptoms.  Even if your symptoms seem mild and go away after a few minutes, it is important that you see a doctor right away in order to prevent a major stroke.

Treatment for Transient Ischemic Attacks

After a variety of tests to diagnose the cause of your TIA, your doctor will choose a treatment regimen for you. Below are some of the common treatment plans:

*  Anti-platelet drugs such as aspirin, Plavix or Aggrenox.

*  Anti-coagulants such as Coumadin, Warfarin or Heparin.

*  Carotid surgery to clear out the plaques.

*  Angioplasty or the insertion of a stent in your carotid artery.


For additional information, you may want to read this article from the Mayo Clinic:

http://www.mayoclinic.org/diseases-conditions/transient-ischemic-attack/basics/definition/con-20021291

For more information on retirement and aging, use the tabs or pull down menu at the top of the page to find links to hundreds of helpful articles on other health issues you could experience, financial planning, where to retire and changing family relationships.

You are reading from the blog:  http://www.baby-boomer-retirement.com

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The Baby Boomer Body Maintenance Plan

The majority of Baby Boomers are looking forward to living longer than previous generations.  In fact, I have read that if you are healthy at age 65, the average person can look forward to living well into their 80's. Information about increasing our longevity seem to be everywhere.

Unfortunately, the longer we live, the more likely we are to deal with some of the difficulties of having an aging body ... poor eyesight, deafness, hair loss, weight gain, osteoporosis, heart disease and, perhaps the biggest worry of all, mental decline.

With a little forethought and "maintenance," however, most people will be able to minimize these problems or, at the very least, postpone them longer than they may have thought possible.

You might be surprised to know that our body actually starts to decline long before we realize it.  As a result, you are never too young to begin taking better care of it.  The longer you can postpone health issues, the more likely it is that you will enjoy good health when you reach your 70's and 80's.

As a result, it was with great interest that I read an article titled "Stretch Your Timeline" in the March 2, 2015 issue of "Time" magazine.  In this article, they explained when different systems in our body begin to break down and how to slow down the process.  Below I have summarized their findings so we can all create our own personal body maintenance plan.

How to Maintain Your Body

Skin - I was shocked to learn that the collagen and elastin in our body begin to decline at a rate of about 1% a year starting at age 18.  Every teenager who is considering cooking herself in the sun or in a tanning salon should know about this.  In addition to protecting your skin with sunscreen, no one should start smoking if they hope to have nice skin later in life.  One worrisome issue that "Time" pointed out is that apparently some compact fluorescent light bulbs can also damage the skin.

Lungs - We begin to lose about 1% of our lung function per year starting at age 30.  Exercise will slow down the process and, although "Time" didn't specifically mention this, I'm sure this is another reason to avoid smoking.

Bones - By age 35, our bone mass begins to decline at a rate of 1% a year.  Weight bearing exercise, including jumping up and down, can help maintain your bone mass.

Muscles - Once again, exercise can come to the rescue and slow down the muscle loss that is common after the age of 40.

Eyes - Another part of our body that begins to decline at age 40 are our eyes.  Smoking speeds this up, as well as sun exposure.  Don't smoke and wear good quality sunglasses whenever you are outside, even on an overcast day.

Kidneys - Around age 50, your kidney function will start to decline.  People who drink plenty of fluids are less likely to experience as much kidney decline ... so drink water every day.

Gut - By age 60, our gut starts to absorb fewer nutrients.  As a result, it becomes even more important that you begin to make sure you are eating nutrient dense, healthy foods and avoid empty calories.  Discuss with your doctor any vitamin shortages that come up in your blood work, and find out if you should be taking extra Vitamin B12, Vitamin D, or other vitamins and minerals.

Ears - Another issue that develops in our 60's is hearing loss.  In fact, one out of three people between the ages of 65 and 74 have measurable hearing loss.  I was shocked that there does not seem to be much you can do to avoid it, other than avoiding loud music and other loud sounds.

Heart - Heart disease usually begins to appear around the mid-60's.  However, it actually started back in our 20's or 30's, when our peak aerobic capacity began to decline at about 10% per decade.  While "Time" didn't mention anything specific to do in order to postpone the decline in the aerobic capacity of our hearts, we know that exercise, maintaining a healthy weight, and eating healthy are all ways to extend the life expectancy of our heart.

Brain - If we do everything else, but lose our cognitive function, there is almost no point to having a healthy body.  Fortunately, the same activities that keep the rest of our body healthy will also benefit our brain ... avoid smoking, get exercise, and eat a healthy diet.  In addition, we need to keep our brain active by engaging in social activities and doing things that stimulate our brain ... playing games, working puzzles, or learning a foreign language are all good ideas.

If you want to learn more about how to take care of your aging body, use the tabs or pull down menu at the top of this article.  They will connect you with hundreds of additional articles on medical information for Baby Boomers, where to retire, family relationships, travel and more.

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Livable Communities for Retirement

Since the vast majority of retirees make the decision to continue to live in their current home or, at the very least, their current neighborhood when they retire, many people wonder if this is the best choice for them.  Now, AARP has come up with a matrix to help senior citizens compare the livability of different neighborhoods around the United States and enable people to look up their own community, or another one that interests them, and see how different neighborhoods compare with each other and the national averages.  Comparing different neighborhoods has just become a whole lot easier!

What is a Livable Neighborhood?

Of course, livability means different things to different people.  As a result, AARP looked at sixty different factors including: availability of affordable housing (including apartments and condos), access to work and play, transportation, the environment, engagement, health, opportunity, access to jobs, and amenities.

The AARP List of Most Livable Neighborhoods

When they were done with their research, including surveying thousands of people over the age of 50, here was the AARP final list of the ten most livable neighborhoods in the United States.  They have narrowed it down, not just to cities, but specific neighborhoods within the cities:

Mifflin West, Madison, WI
Upper West Side, Manhattan, NY
Downtown Crossing, Boston
South of Market, San Francisco
Washburn, La Crosse, WI
Downtown Sioux Falls, S.D.
Southside, Virginia, Minnesota
Downtown Bismarck, N.D.
Downtown Seattle
Downtown Los Alamos, N.M.

Other Categories of Livable Places to Retire

Of course, relatively few people live in the communities mentioned above.  In addition, those neighborhoods might not be anywhere near where you currently live or where you would like to live.  As a result, AARP also came up with several other categories of livable places.  These were:

Most Livable Cities
Best Cities for Staying Healthy
Easiest Cities to Get Around
Best Cities for Date Night
Best Cities for Making New Friends

Furthermore, they broke those lists down into three sub-categories ... large, medium and small cities.

It interested me that there were several cities on more than one list.

How to Evaluate Your Community

Are you curious about how your community compares to others?  AARP allows anyone free access to their matrix.  Here is how to find out how your community ranks:

1.  Log into aarp.org/livabilityindex
2.  Enter your address or, if your prefer, just your zip code
3.  It will show your livability score in several categories, including housing, access to work and play, transportation, environment, health, engagement, opportunity.

You can click on the various categories to learn more about each one and how your community ranked in a number of areas.

When I did this with my own community of Laguna Woods Village, California, it was above the average in five categories and below average in two.  It ranked particularly high in health, partly because there are few smokers, few obese people and there is plenty of access to exercise and health care.

My community's overall score was about the same as that of Austin, Texas ... another popular retirement city.

AARP Featured Cities

At the bottom of the website mentioned above, you can click on Featured Cities and see the scores of most of the major cities in the United States.  By entering a zip code, as described above, you can find out the details of specific neighborhoods in those cities.

Enjoy this fabulous way to research the communities where you might want to retire.  It is a great way to evaluate every place in the United States you think you may want to live and will help you decide which livable communities are right for you!

If you are looking for more retirement information and ideas, use the tabs or pull down menu at the top of this article to find links to hundreds of additional articles about retirement.

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Redesigning Death - Bring Joy to Your Final Days

While most of us do not want to think about it, we are all going to die.  It could happen at home, in a hospital or while out in public.  If we are lucky, we may have the time to say good-bye to our loved ones and spend time with them during the last few days of our lives.  However, death does not always come gradually.  Sometimes it happens with the speed of a heart attack or an auto accident. 

Most of us will have some type of funeral or memorial service; we will probably be interred in a cemetery or cremated, with our ashes distributed according to our instructions.  If we are leaving family and loved ones behind, there are likely to be sad relatives and lots of tears.  It all seems very simple, clear and preordained.  However, are there ways to change the feelings surrounding our death?

Death Redesigned

What if we could completely alter the process?  No, there is no way to prevent our death.  We may not even be able to predict when it will happen or postpone it.  However, with a little creativity, planning and forethought, we can change the way both we and our loved ones will experience our death.  What are some ways we can do that?

Plan the End of Your Life

One of the first things you can do is think about how you want to spend your final days, should you be given the opportunity to choose.  Do you want to die at home or in a hospital?  Would you prefer to cease treatment and get palliative, hospice care, instead?  Do you want your loved ones to be with you at the end?

What type of atmosphere do you want?  You can set the mood.  Do you want those last few days to be sad and tearful, or would you rather spend the time talking about all the happy memories of your life?

How to Change the Mood Surrounding Your Death

I love my children enough that it would break my heart to see them in tears while I was dying.  I would rather have them focus on the happy and funny experiences we have enjoyed together.  When I die, my goal will be to provide all the comfort I can to them.  What are some ways to do that?

1.  Put together photo albums to share with your loved ones at the end of your life.  Personalize them with photos of specific memories you had with each of them.  This could be a wonderful way to keep the conversation light and happy.  I went to a memorial service recently at which I was handed a DVD of the slide show about the deceased that was shown during the service.  The man had volunteered as a hospital clown through his church, and it was very touching to be able to play the DVD at home and see all the joy that had been part of his life.

2.  Write letters to the people you care about ... and it doesn't have to be only your family members.  One of our friends died of lung cancer a few years ago.  He owned a construction company and, during the last few weeks of his life, he wrote a letter to each of his sub-contractors, telling them how much he appreciated their years of service and giving them each one final payment.

I have also heard of parents who were dying far too young, who wrote a series of letters to their children that they could read each year on their birthdays.  The letters are usually meant to encourage them and include the things you would like to say to your children at each age.  In some cases, parents have even made DVDs for their children, so they can speak to them in a more personal way.

3.  After gifting - This was an idea I found in an article called "Death Redesigned," in the April 5, 2015 issue of The California Sunday Magazine.   You can arrange to have birthday gifts sent to family members for years after you die.  The gifts could even be something you made for each of them or a special item for a grandchild you have never met.  I think this is an especially caring thing to do if you are leaving behind young children.  It will bring them comfort to know that you were thinking of them and planning for them, even during the final few weeks of your life.

You don't have to limit yourself to family.  I recently read about a man in Great Britain who had a group of close friends that he would go with to the local pub.  He left them 3500 pounds (about $5000) so they could have a trip and a big party, at his expense.  This seemed like so much more fun for them than a terribly sad wake back at home.

4.  Messages from Beyond - The "Death Redesigned" article mentioned above also speculated about the idea of arranging for text messages to be sent to loved ones after your death.  This might work in some families; in others it might seem creepy or make it hard for them to move on.  Only you can decide whether this would be the right move for your family.  One of the points they made was how a widow would feel if she was on a date three years later and received a text message from her deceased husband.  If you decide to try this, make sure you write something loving and supportive; you will also not want these messages to go on for more than a few weeks or months. We all need to find a good time to let go of our loved ones.

5.  Share Your Story - So many times I have heard people say that they wished they had written down the stories that their grandparents shared about their lives.  Why don't you do it for your descendants?  Write down your memories and pass them on.  You can do something as simple as a typed document that you print out at home.  Or, you can get more elaborate and write it in book form, using a free service like Amazon's CreateSpace website.  They will produce paperback books that you and your family members can order for $5 or $6.  Order a couple of dozen of them yourself to be given out at your funeral.  Your descendants will appreciate knowing more about the lives of their ancestors and you will feel good knowing that your memories, experiences and dreams will not die with you.

One of our neighbors, who grew up in Korea before he and his wife moved to the United States, wrote a biography of their early years for his children and grandchildren. He also had extra copies printed out and gave them to his neighbors and friends.  I enjoyed reading about his early life and I am sure his descendants really appreciated the fact that he made the effort to do this.  

Taking Care of Your Will and Basic Funeral Plans

If you want to lighten the load on your family members, you will want to take care of all the basics, as well.  Make sure you have consulted with an attorney and written your will, trust, and advance directive.  Be sure you have put together a list of bank accounts, life-insurance policy numbers, user names and passwords for Facebook and other social media you use and put this information with your will.  In addition, you should give this information to the executor of your will.

You may also want to include any special instructions you have for where you want to be buried, specific requests for your funeral service, and any other messages you want to leave your loved ones.  We wrote a message to our daughters that we want them to read upon our death.

My husband and I have put together a notebook labeled "In The Event of Our Deaths."  We set it out whenever we are on a trip ... just in case something happens.  We have included copies of all our important information in our notebook, including copies of our will, special instructions, insurance information and anything else we thought would be helpful to them.  In addition, we made a copy of the information in this notebook and gave it to the daughters we chose to be our co-executors.  We wanted to make life as simple for them as possible.

While you may not want to do everything listed in this article, hopefully it will inspire you to redesign your own death in such a way that, while you cannot prevent your death, you feel as if you are going out on your own terms ... and that is the best any of us can do.

If you are looking for more information about aging and retirement, use the tabs or the pull-down menu at the top of this article to find links to hundreds of additional articles.

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Mortgage, No Mortgage, Reverse Mortgage or Rent?

Once you decide where you wish to live during your retirement, you need to consider how you will pay for your residence.  There are issues to consider no matter what you decide, and this article will give you an overview of some of your choices.  You might decide to get a traditional mortgage on your home, just as you have done during your working years. You could choose to pay cash for the home with savings or the equity from the last home you sold prior to moving into your retirement community.  You might decide to stay where you are and use a reverse mortgage to pay off your current debt and fund other retirement expenses.  Finally, you could choose to invest the proceeds of the last house you owned, and rent your retirement home.

Pros and Cons of Having a Mortgage on Your Retirement Home

*  Advantage: You can use the mortgage interest deduction to reduce the amount of income taxes you will pay.  This is especially useful for people who expect to pay high taxes, especially now that they will no longer have other types of deductions, such as business expenses.

*  Advantage:  Money that would have been put into a home, could be channeled into investments that would increase your income, instead.  This gives you the double advantage of increased tax deductions and increased retirement income.   This option is best for high net worth people with a large tax liability, who want to maximize their deductions.

*  Disadvantage:  Some people do not want to carry debt during their retirement.  It can cause them to experience additional stress and worry, especially if their finances are very tight.  They worry that something could happen to their investments and they would be unable to pay off their home.

Pros and Cons of Paying Cash for a Retirement Home

*  Advantage:  Many people feel more comfortable knowing that their home is paid off and they will have an inexpensive place to live, as long as they can pay the property taxes and insurance.

*  Advantage:  Many lower income retirees in moderately priced homes would not receive enough of a tax deduction to enable them to lower their tax liability more than if they simply filed using the standard deduction.  In fact, there is no tax benefit for some people who have a mortgage.  On the other hand, not having a mortgage makes them feel more financially secure.

*  Disadvantage:  When people pay cash for a home, most of their assets will be tied up in their house, which makes it more difficult for them to come up with cash in an emergency.  You do not want to pay cash for a house if it will use up all your cash assets, leaving you without any reserves.

Pros and Cons of Getting a Reverse Mortgage

*  Advantage:  People with a lot of equity in their home can use a reverse mortgage and use the money to pay off their traditional mortgage and/or use their home equity for other retirement expenses. 

*  Advantage:  You do not have to make payments or re-pay an reverse mortgage until you die, sell the home or move out.  If a couple lives in the home, however, it is important to make sure both of their names are on the reverse mortgage so that the loan does not have to be repaid until both of them have died, moved or decided to sell.

*  Disadvantage:  The equity in your home could be used up during the early years of your retirement, especially if you get the reverse mortgage soon after retiring, leaving you without an asset you can tap into during your later years.

*  Disadvantage:  You may not have any inheritance to leave your children.


Pros and Cons of Renting Your Retirement Home

*  Advantage:  Renting allows you to invest your savings and the proceeds from the sale of your last home in stocks, bonds, mutual funds or annuities, to maximize your retirement income.

*  Advantage:  Renters have the flexibility of quickly adjusting to changes in their financial situation or medical condition.  For those with serious health concerns, renting can make it much faster and easier to move into assisted living or a Continuing Care Retirement Community.  Upon death, it is often easier to probate the estate.

*  Advantage:  Renters in some areas may be able to pay far less in rent than they would in house payments.

*  Disadvantage:  Renters do not have the opportunity to participate in the increased equity they could receive during periods of real estate inflation.  They have to hope that this disadvantage is offset by rising values in their investments.

*  Disadvantage:  Renters who have investments may tap into them too easily, if they are not disciplined. This could lead to a decrease in their income later in life.

*  Disadvantage:  Renters do not have the advantage of reducing their income taxes by using the mortgage interest deduction.  They have to accept the standard deduction.  However, if their taxable income in low, a mortgage deduction may not be helpful to them, anyway.  This is often true for people who have most of their retirement assets in a Roth IRA or tax-free bonds, for example.

Bottom Line:  As you can see, there are advantages and disadvantages no matter which choice you make.  You have to know yourself.  Will you be more comfortable knowing that you own a house that is paid for?  There is a lot of value in that kind of peace-of-mind.  Or, would you feel more secure knowing that your money is invested and you have maximized your retirement income?  Do you feel comfortable with the idea of getting a reverse mortgage when the time comes that you need extra cash?  Would you like the flexibility of renting your retirement home?  Only you can decide which option will work the best for you.

Source:

"Cash vs. Mortgage? Here's How to Decide" by Marc D. Allan, Where to Retire Magazine, January/February 2015, pg. 32.

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Affordable California Coastal Retirement Communities

Are you "California Dreaming," but believe that affordable housing, especially near the coast, is out of your reach?  Have your heard stories about all the multimillion dollar homes that you know are absolutely not going to be part of your retirement plan?  Certainly, the California coastal communities of Laguna Beach, Newport Beach, Manhattan Beach, Malibu, Santa Barbara, Carmel and Monterey, to name a few, are far too expensive for the vast majority of retirees.

However, the idea of retiring in a cozy cottage or condo near the California coast is not impossible.  There are small towns, especially along the central California coast, where people are still able to find homes for under $500,000 ... and sometimes much less.  These are not ocean front homes, of course, but they are homes within ten or fifteen miles of the coast, where they are still in a temperate climate just a short drive to where residents can enjoy a variety of beach activities.

California Geography

As in most states, the majority of California residents are clustered around the major urban areas of San Francisco, Los Angeles and San Diego.  Homes within commuting distances of those cities are often quite expensive, especially the properties near the beach.  Other particularly expensive areas in the state include the Silicon Valley between San Francisco and San Jose, the Napa Valley, Santa Barbara and Montecito, Carmel-by-the-Sea, Monterey and most of the coastal regions of Orange County.

That leaves hundreds of miles of California coast that is dotted with small towns.  Many of them are too far away from any metropolitan area to make it possible to commute to jobs.  As a result, it is possible to find relatively affordable homes in a variety of locations.

California Towns Worth Exploring

If you are considering retiring in California and you think you might enjoy living in a small city or town, especially along the central coast, below is a list of towns worth exploring that are either on the coast or within ten miles of it.  You may want to contact the Chamber of Commerce or a Realtor in these towns and learn more about what they have to offer.  Ask the Realtors to expand your search to other communities in their area that they think might fit into your budget.  Several of the towns listed below have even more affordable retirement areas nearby.  Here are the towns you may want to consider, starting in the south and moving north:

Carlsbad
Oceanside
Laguna Woods Village
Ventura
Nipomo
Oceano
San Luis Obispo
Avila Beach
Pismo Beach
Shell Beach
Grover Beach
Los Osos
Morro Bay
Cayucos
Harmony
Cambria
Pacific Grove
Eureka

Range of California Weather

If you have not spent much time in California, you may not be aware that the weather varies dramatically between the Southern and Northern part of the state.  Southern California tends to get very little rain.  Typical summer highs are in the 80's and 90's; winter highs are usually in the 60's and 70's.    Northern California weather is colder, foggier and wetter, although it rare for weather along the coast to tip below freezing (but it does happen occasionally).  Precipitation ranges from an average of only 13 inches of rain annually in Oceanside to as much as an average of 38 inches of rain in Eureka.  Along the central coast, where you will find many of these small towns, high temperatures in both the summer and winter are usually in the 60's or 70's, although they can go higher or lower.

While the weather along the central and northern coast of California may not appeal to those who hope to spend time swimming in the ocean water, it is perfect for those who enjoy other outdoor activities such as golf, bicycling, gardening, tennis or hiking.  Be prepared for breathtaking views around every corner!

Medical Facilities Serving the California Coast

Most of the cities on the above list have access to medical facilities within 30 miles.  For example, the town of Cambria is about 30 minutes away from a hospital in Templeton; Grover Beach contains its own hospital and is also located a short distance from San Luis Obispo with additional medical facilities; Avila Beach, Pismo Beach, and Shell Beach are also near San Luis Obispo; Pacific Grove is near medical facilities in both the Monterey Peninsula and the Salinas Valley. Eureka contains its own hospitals.  The other towns on the list are also close enough to well-populated areas (like San Diego or San Luis Obispo) that there are a variety of medical facilities available.

Common Community Amenities

All of the communities on the above list have a variety of amenities to offer retirees.  Specifics vary from location to location.  However, in general, within a short drive you should expect to find the services and programs that are listed below.  Contact the local Chambers of Commerce and senior centers in the towns that interest you for more specific information:

Wide variety of places to worship
Golf courses
Tennis courts
Senior centers
Festivals, parades and local celebrations
Colleges with classes/programs oriented towards senior citizens
Farmer's Markets
Art Galleries
Wineries and vineyards
Restaurants
Live theater
Places to go boating, paddle boarding or kayaking
Bridge groups and similar clubs and activities
Airports (in all the major cities, plus San Luis Obispo and on the Monterey Peninusula)

Types of Housing Available along the California Coast

There is a wide variety of housing choices available in these communities, ranging from charming old cottages, manufactured homes, condos, and new home developments such as Shea Homes' Trilogy at Monarch Dunes in the town of Nipomo, with new houses starting at about $400,000.  There are also manufactured home parks in some of the above towns, some specifically designated as over-55 senior communities, with prices that are in the $200,000 to $300,000 range.  In addition, you will have to pay a space rental fee, which can vary dramatically throughout the state.

The community of Laguna Woods Village, located half-way between San Diego and Los Angeles in Southern California, has condos and co-ops available with prices starting as low as $150,000.  The town also contains a large selection of two-bedroom condos in the $300,000 to $400,000 price range.  It is located just five miles from Laguna Beach.  Like most over-55, age-restricted communities, you should expect to pay homeowner's dues.  In Laguna Woods, you must also meet reasonable income and asset requirements.  However, it is one of the most affordable places to live in Orange County, California.

Rental Houses and Apartments on the California Coast

All of the communities listed above have apartment complexes and rental homes available, often with prices in the $1250 to $2000 a month price range. Low income seniors may also qualify for Section 8 rent subsidies, so don't hesitate to apply.

Whatever housing prices and amenities you desire, the California coast has a variety of possibilities that may work for you.  You may even want to take a road trip along the California coast and explore the possibilities.  Talk to Realtors, look at the various towns and have a great vacation at the same time!

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