Many affluent retirees reluctant to draw down savings
Some leading retirement experts are questioning whether advisers should rethink their assumptions about retirement spending when creating financial plans.
April 19, 2021 3 MINS
While most working Americans worry about not having saved enough for retirement, many of financial advisers’ retired clients are reluctant to spend their accumulated savings. That has prompted some leading retirement income experts to question whether advisers should rethink their assumptions about spending when creating financial plans.
A new study from the Employee Benefit Research Institute finds great diversity in the way people live in retirement based on their financial status, retirement goals, demographics and spending habits. Following a survey of 2,000 retired households between ages 62 and 75 with less than $1 million in assets conducted in September, EBRI identified five retirement profiles: Average Retirees, Afflue
Chess playing gets popularity among women during COVID-19 in Afghanistan russiaherald.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from russiaherald.com Daily Mail and Mail on Sunday newspapers.
2021-01-29 12:05:34 GMT2021-01-29 20:05:34(Beijing Time) Xinhua English
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by Abdul Haleem
MAZAR-E-SHARIF, Afghanistan, Jan. 29 (Xinhua) The COVID-19 related quarantines have not restricted the life of Zahra Ebrahimi in Afghanistan s northern Mazar-e-Sharif city, as she beat her isolated quarantine life and encouraged girls to learn chess in the relatively peaceful city in Afghanistan. Living in isolation during quarantine to protect myself from COVID-19 virtually was boring and even caused psychological problems for me and others, 24-year-old Ebrahimi said. To get rid of isolation and to overcome the challenge, I have decided to practice chess playing and also encourage the women and girls to learn on how to play the game, she said.
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Older Americans’ spending habits can change quickly as their financial circumstances evolve say, from paying off a home mortgage or due to a spouse’s retirement but new research finds that many retirees and retirement savers don’t adjust accordingly.
Using data from the University of Michigan Health and Retirement Study, the nonprofit Employee Benefit Research Institute found that retirees typically spend less as they age, but their spending patterns may change over time. The findings suggest that following “the 4% rule” where you withdraw 4% of your portfolio during the first year of retirement, with annual adjustments for inflation thereafter may not be wise advice for many seniors with shifting spending priorities, says Dr. Zahra Ebrahimi, the EBRI research associate who wrote the paper.