Sunday, October 14, 2012

Why Some Seniors are Choosing Cohabitation - Seniors Living Together Without Getting Married

This year my husband and I will celebrate forty-four years of marriage.  We are proud of this accomplishment and have never regretted getting married.  It is a second marriage for him and the only marriage for me.

As we have gotten older, we have noticed that some senior couples who are widowed or divorced are choosing not to get re-married; they are living together, instead.  According to Forbes, in 2006 there were 1.8 million Americans age 50 and older who lived in heterosexual "unmarried-partner households."  This was a 50% increase from 2000 and there is every indication that the trend has continued since then. (http://marriage.about.com/cs/cohabitation/a/cohabseniors.htm).  Why are couples making this decision?

Advantages of Cohabitation for Seniors

Social Security is the major reason that many of our friends have chosen to live together while remaining single.  In some cases, a widow may receive lower benefits if she remarries, especially if she remarries before the age of 60.  If a widow is over the age of 62 and receiving survivor's benefits, she can still collect benefits based on her former husband's income, if she remarries.

Even if Social Security does not present a problem, there are other financial reasons why a couple may decide not to marry.  For example, a divorcee may lose her alimony if she remarries. There are sometimes other pensions which may also be reduced or eliminated if a person remarries.

Being married could also have tax consequences for certain couples.

In other cases, the individuals may want to keep their assets or debts separate, or protect their credit rating, especially if one person has been through bankruptcy or a foreclosure.

Seniors with adult children may be concerned about leaving their assets to their heirs.  In fact, in some cases adult children have been known to oppose having a parent remarry because they fear they will lose their inheritance.  We've all heard stories about the "gold-diggers" who marry wealthy retirees.  People are frequently suspicious no matter how compatible and happy the two people are.

Disadvantages of Cohabitation for Seniors

Living together can sometimes create legal problems for the couples.  In fact, if you do decide to live together rather than get married, it is probably a good idea to meet with an attorney and create a cohabitation agreement.

For example, if one person owns the home and it is being left to the children, the survivor may have to move out upon the death of their partner.  If both of you have been making payments on the property, this can cause resentments and financial hardship.

In addition, cohabiting seniors can face some of the same legal problems that were experienced by cohabiting gay couples, prior to the legalizing of gay marriage, such as the inability to make healthcare decisions for their partner.

Ceremonies for Cohabiting Couples

If you do decide to live together rather than get married, you may still want to have a commitment ceremony.  You can write your own vows and ask a friend or relative to preside over your ceremony.  A friend of mine told me that some people are even having religious ceremonies that are recognized by their faith, but are not legally recorded.  I do not have independent knowledge of this, but it is something that religious couples may want to investigate.  However you plan your ceremony, this is a nice way to seal your relationship without putting yourself into a legally binding contract.

Minimizing Legal Problems that Result from Cohabitation

As mentioned above, it is probably a good idea to see an attorney about having a cohabitation agreement written up that will protect the assets and property rights of both of you.  This document can set forth the legal expectations of both parties.  In this way, you may be able to take advantage of the benefits of cohabitation while minimizing the disadvantages.  Some items that you may want to include are how long the survivor can remain in a home after the death of their partner, and who has the authority to implement a living will.  Any other financial or legal concerns you have can be addressed in the same document.

If you are looking for more retirement information, use the tabs or pull down menu at the top of this page to find links to hundreds of additional articles on where to retire in the United States or other countries, financial planning, medical issues and changing family values.

You may also want to read:

Healing Relationships with Your Adult Children
Sexually Transmitted Disease After Age 50
How to Increase Your Retirement Income

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

Photo of couple courtesy of www.morguefile.com

Thursday, October 11, 2012

Tellico Village Retirement Community

The picturesque Tellico Village Retirement Community on the shores of Tellico Lake near Knoxville, Tennessee is a fabulous retirement location for anyone who is looking forward to a wide array of recreational amenities after retirement. 

In addition to the clubs and social activities that residents enjoy at many active adult communities, Tellico Village also has three championship golf courses, a fitness center, indoor and outdoor swimming pools, and country club and yacht club facilities that enhance the residents' enjoyment of the gorgeous lake that adjoins the property.  Best of all, it is located in the scenic state of Tennessee where residents can enjoy four seasons and hardwood forest.

Cost of Living in Tellico Village

The Tellico Village community was initially developed in 1986.  Today there are over 7000 residents in the retirement community who have a median income of $60,000 to $80,000.  The majority of them are living in homes that have typical values of about $200,000 to $350,000.  The community also has a slightly below average crime index.

Another factor that keeps the cost of living manageable is the fact that Tennessee has no state income tax.  However, like most states, there is a state sales tax.  According to the website Topretirements.com, the property taxes on a typical $200,000 house would be less than $2000 a year.

Tellico Village Weather

Tellico Village offers a definite four seasons, including the opportunity to enjoy the colorful Tennessee fall foliage, shown in the attached photo.  In January, the temperature in nearby Knoxville ranges from an average low of 27 degrees to a high of 47 degrees.  In July, the average temperature ranges from a low of 68 degrees to a high of 87 degrees, perfect weather for summer boaters and golfers.

Enjoy a Convenient Lifestyle at Tellico Village

Tellico Village is located only about 35 minutes from downtown Knoxville, a small city of less than 200,000 residents, but large enough to provide easy access to shopping, the Knoxville airport, the University of Tennessee, the Knoxville Convention Center, a regional history museum, theaters, outdoor concerts, the Knoxville Opera Company, numerous art festivals and a wide assortment of restaurants and bars.

Boating at Tellico Lake

According to boatingmag.com, Tellico Lake is one of the top lakes for recreational boaters.  The same website says that Tellico Village is one of the best places to live for people who enjoy water sports.  The waterfront availability and the ease of use by boaters is highly rated and, consequently, Tellico Lake is where most boat builders in the Knoxville, Tennessee area go to test their boats.  There is also excellent fishing available on the lake.

Bottom Line on Tellico Village

If you are dreaming of a retirement that involves boating as well as golfing and other outdoor activities, rural beauty with the convenience of a nearby large city, then Tellico Village is one of the premier active adult communities that you should consider.

If you want to learn more about other retirement locations, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles on where to retire in the United States or overseas, common medical problems, changing family relationships, financial planning, and more.

Articles about other retirement locations that may interest you are:

Green Valley Arizona Retirement Communities
Great Places to Retire in the Northern US
The Villages Active Adult Community in Florida
Popular Retirement Communities in the United States
Laguna Woods Village Active Adult Community
Best Places to Retire Outside the US

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

Photo of Tennessee mountains courtesy of www.morguefile.com

Sunday, October 7, 2012

Is it Time to Retire?

One of the reasons that the unemployment rate has fallen over the past few years, after hovering over 8% between 2007 and 20011, is because thousands of Baby Boomers are beginning to retire.  Over the past few years, Baby Boomers have been turning 65 at the rate of 10,000 per day, but many of them were reluctant to let go of their jobs in the middle of the 2007 recession. 

In many cases, Boomers needed to recoup what they had lost in the real estate and stock market crashes of a few years ago before they could retire.  In other instances, they were afraid to let go of their jobs too soon for fear of another financial set-back.  Over the past few years, however, Baby Boomers began to believe that it was possible for them to retire. 

If you are uncertain whether you are prepared to give up your job in the next few years, listed below are some things to consider.

How to Decide if You are Ready to Retire

Make a Realistic Post-Retirement Budget

The first thing you need to do is make a list of the expenses you have now.  Remove the items that you do not expect to have after you retire, such as commuting costs.  Add in money for the extra expenses you expect after retirement including travel, replacing your car, Medicare insurance premiums, prescription drugs and medical co-payments.  Next, add up the retirement income that you expect to receive from your Social Security, your spouses's Social Security, pensions, annuities and any other sources.  Will you have enough income to cover your expenses, or do you need to make some adjustments?

Consider Ways to Supplement Your Retirement Income

In the retirement community where my husband and I live, hundreds of retirees work part-time for the homeowner's association.  They serve as Gate Ambassadors, bus drivers, receptionists, and office workers.  They are paid several dollars an hour above the minimum wage and are also allowed the free use of some of the pay-for-use facilities in our community. 

Other people in our neighborhood earn extra money selling real estate in the community, working in antique stores and gift shops in the area, and in similar part-time occupations.  A few of our friends have remained in their former occupations, but now only work part-time.  These jobs help retirees stretch their retirement income without the necessity of continuing to work full-time in a demanding career.

Pay Off Debts

If your income will not be enough to cover your post-retirement living expenses, one step you should take is to make a plan to pay off your debts.  If you have credit card payments, car payments, and college loan payments for your children, you may need to pay off these bills before you can realistically retire.  If you have a small mortgage with a low payment, this is one debt you may be able to continue to carry, if you are free of other large expenses.  However, if you are overwhelmed by debt and feel as if you can never retire, you may consider selling assets to free up enough money to clear out your obligations.  If your debts are excessively large, you may even consider selling your current home and buying a smaller, less expensive one.  Your goal is to rearrange your expenses so that it is possible to have a planned, manageable  retirement, before a healthcare crisis or job loss forces you to retire unexpectedly.

Have a Plan for Long Term Care

Many of us will need to spend some time during our lives receiving long term care, either at home or in a nursing facility.  In fact, experts estimate that two out of three senior citizens will spend some time in a long-term care facility.  Approximately one out of five people over the age of 65 will need to stay in long-term care for more than five years.  Everyone needs to make a plan for handling this future expense. 

You may want to purchase Long Term Care Insurance or make sure you have set aside enough assets to cover several years of care.  As part of your long-term care planning, you may also want to write a living will that explains the healthcare decisions you want made if you are too ill to speak to the doctors on your own behalf. 

Plan for How You Want to Spend Leisure Time

What do you want to do with the free time you will have when you retire?  Do you want to travel in an RV, take an annual cruise, spend time on the golf course, or take art classes?  Before you stop working, you need to make a plan that will allow for you to enjoy your retirement.  Perhaps you may want to move to another part of the world, sell your home and buy an RV, or move to a retirement community that has free or low cost amenities such as golf courses and art classes.  Whatever type of retirement appeals to you, you need to include the cost in your retirement planning.  In some cases, the cost of living in a retirement community, another country, or in an RV may be less than you are currently spending on living expenses.  However, it would be wise to discuss the change with others who have tried it and get their advice.  You want to be realistic about what your new lifestyle will cost.

Your Personal Retirement Plan

If you are a Baby Boomer who hopes to retire in the next few years, it is not too early to begin making plans and changes to your lifestyle so that you can make it happen.  There is no reason why anyone should assume that they will have to work until they drop dead at their desk, as I have sometimes heard some people say.  With a little planning, nearly anyone who has spent years working hard on a job will be able to make a plan and find a cozy, comfortable way to have the retirement they always wanted.

If you are interested in more retirement planning tips, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles on where to retire in the United States or abroad, financial planning, common medical issues, changing family relationships, travel and more.

For more help in making your retirement plans, you may also want to read:

Do You Need a Million Dollars to Retire?
Cheap Places to Retire
Finding Niche Retirement Communities
The Villages Active Adult Community in Florida
Popular Retirement Communities in the United States
Laguna Woods Village Active Adult Community
Garden Spot Village Community for Seniors in PA
Best Places to Retire Outside the US

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

Photo of couple courtesy of www.morguefile.com

Thursday, October 4, 2012

Where Obama and Romney Stand on Issues


Blue States are Leaning Obama
Red States are Leaning Romney
Other States are Undetermined
 No blog about retirement can simply ignore the upcoming presidential election.  Many people are still undecided and the recent debate did little to clear things up for a number of individuals.  With about a month left until the national election, the vote could still go either way. 

Consequently, it is important that we address some of the issues that may be important to our readers.  Often senior citizens are lumped into one "pot" and it is assumed that we all think alike.  Of course this is ridiculous.  Many of us are influenced by our religious beliefs, our personal financial situation, health issues that are a concern for ourselves and other family members, and various other issues.  Therefore, I am making an attempt to mention a few important issues, while trying to remain as impartial and factual as possible.  I have also avoided publishing all the accusations the candidates are making about each others' programs since most of those negative comments are unproductive.

I respect the right of citizens to make up their own minds about the presidential election, and I wish to inform rather than influence.  An issue that is extremely important to one person may not be important at all to someone else.  Only you know the best decision for you and your family.  Listed below are some of the facts that I have been able to gleen from various news sources.  Hopefully, this information will be helpful to you as you decide which candidate supports policies that will benefit you, your spouse, your adult children, grandchildren and your family in the future.

Obama vs Romney on the Issues

Medicare

Obama: Wants to keep the current Medicare system, but make it more efficient.  The Affordable Healthcare Act cut the payments made to doctors and insurance companies by $716 billion in order to reform the program and save money without reducing benefits to Medicare recipients.

Romney:  Wants to keep the current Medicare system for those 55 and above, but initiate a voucher program for our children and future generations.  He would reverse the $716 billion reform.  Instead, he believes that more competition will eventually reduce the amount of money that the government will spend in the future on healthcare for senior citizens.

Social Security

Obama:  Wants to strengthen the current system of Social Security, but not make major changes that would slash benefits for beneficiaries.

Romney:  Wants to raise the retirement age and initiate means testing so that higher-income retirees will see smaller growth in their benefits.

Health Care Reform

Obama:  Wants to fully implement the Affordable Healthcare Act.  So far, the Act had made it possible for children to stay on their parents' plans until age 26.  In addition, younger children can no longer be denied health insurance because of pre-existing conditions.  By January, 2014, everyone will be expected to have health insurance, even those adults with pre-existing conditions, and insurance pools will be open to the poor and those who cannot get a policy through their job.  This will save billions of dollars that are currently being spent  by the government, hospitals and insurance companies when they are forced to pick up the tab for those who have no insurance and cannot afford to pay for their medical bills.

Romney:  Wants to keep some parts of the Affordable Healthcare Act, but eliminate the remainder.  He believes that the marketplace and state governments will voluntarily continue to provide coverage for children up to age 26 and health care for those who are uninsured.  He wants individuals with pre-existing conditions to be covered, but only if they already have had continuous coverage.  He wants states to receive block grants to cover Medicaid for the poor in the way that they believe will work best in their states.

Obama vs Romney on Other Issues

There are, of course, other issues that are important to seniors, including caregiving, job training, tax programs and economic growth.  However, these issues are more difficult to compare because one side or the other has been vague about providing specific information about how they would address these problems.  I believe there is no point in publishing vague statements such as "I want to provide more economic growth," or "I want to lower taxes for the middle class" if there are few specifics about exactly how these programs will be paid for and implemented.  Instead I preferred to limit the scope of this post to the stands the candidates have taken on a few issues important to retirees and the specific information the candidates have provided.

You may also be interested in reading:

Your Retirement Money and the Fed Decision
Pros and Cons of Social Security Privatization
Important Medicare Tips for Boomers
How the Affordable Healthcare Act Affects You
How to Access Your Social Security Information Online

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

Electoral college map courtesy of www.en.wikipededia.com/commons