A market downturn is inevitable, and investors can protect their retirement savings from the next bear market by diversifying their portfolio properly, according to this article on Motley Fool. This means allocating their assets across equities, fixed income and cash. For example, 60% of the retirement assets are invested in large-cap U.S. stocks while 40% are held in U.S. investment-grade bonds.
A professional decided to retire at age 35 after amassing $1 million in retirement savings, according to this article on MarketWatch. Now at 38, he lives entirely off of his investment returns, saying that he has achieved "financial independence" and learned how to manage his portfolio as well as his living and other related expenses. Financial independence is "the same as a traditional retirement — the idea of it is you are not dependent on a job. You’re getting money from retirement accounts or a pension, or Social Security. All of the above, none of the above," the retiree explains.
Buy-and-hold investing can be tricky and buying the best stocks for a retirement portfolio can be risky, as certain industries are now vulnerable to long-term changes, according to this article on Kiplinger. However, there are stocks that remain suitable to be part of a retiree's portfolio, as they are expected to last a lifetime and provide dividend income throughout retirement. Read the article to know 10 of these retirement stocks that investors may want to consider.
Clients need to make substantial income consistently throughout their working years to get a hefty Social Security retirement benefit, according to this article on Yahoo Finance. The maximum wage taxable changes over the years, with the amount increasing to $127,200 this year. "In order to receive the maximum Social Security benefit you would need to earn at least the maximum Social Security wage base for at least 35 years in your career," says a certified financial planner.
A 65-year-old retiree who started collecting Social Security at age 63 must have received a bad advice when she filed for the benefit, according to this article on Forbes. A representative with Social Security advised her to apply just for her own retirement benefit at age 63 and shift to a spousal benefit on her husband's record when she turns 66. However, under the new rules, she was deemed to have applied for both her retirement and spousal benefits if she qualified for either of the benefits.
