I fielded a couple of e-mails from Peter and Sudhir about Roth IRAs, which was great opportunity to discuss the role of the Roth IRA and some of the eligibility rules for this valuable retirement vehicle.
Loretta wrote in to find out how she should start the search for a financial advisor. This prompted me to dig up an old, never-published article called "Nine Questions to Ask Financial Advisors". Check out the link below and let me know if I forgot anything!
Next up: should Anthony spend a portion of his inheritance on rental property? Sounds alluring, but beware the headaches of being a landlord!
In the second hour, I turned to a number of Social Security questions. Given the results of the 2010 census, it's clear that SS will be a hot topic of discussion for a while. Jim called from Oregon, wondering when he and his wife should draw Social Security. We discussed the strategy of the lower wage earning spouse to claim benefits at his or her full retirement age, while the higher wage earner delays until age 70. Then when higher wage earner turns 70, the lower earner can take Â½ of the higher benefit.
Here are a few reminders about Social Security:
- If you live beyond 78, it makes sense to forgo SS between ages 62-66
- If you live beyond 82.5, it makes sense to delay SS until maximum level of 70
- To guesstimate how long you might live, check out livingto100.com
Here are web sites and resources mentioned in this week's show:
- Oprah's Billions: Adding Up the Money
- Roth IRA's: The Basics
- Nine Questions to Ask Financial Advisors
- Census Data: New Strain on Social Security?
- When Should You Take Social Security?
- Memorial Day: Never Forgotten