Retirement Blog

Finance Blogs » Retirement » 6 can’t-miss retirement tips

6 can’t-miss retirement tips

By Jennie L. Phipps · Bankrate.com
Monday, December 31, 2012
Posted: 6 am ET

Today is our last opportunity to set retirement planning goals for 2013 and have a whole year to meet them. So here goes. Put these six at the top of the list:

Update the beneficiaries on all your retirement accounts. Heaven forbid that you get hit by a beer truck and your ex-spouse gets everything.

Up your 401(k) savings rate by 1 percent or more. You'll never miss it, and you'll thank yourself when retirement comes.

Do the Roth individual retirement account math. It's too late to make the conversion in 2012, but if you focus on 2013 now, you'll have time to save the money to pay the upfront taxes you'll owe. It may seem like a whopping amount, but after that the money is all yours. Uncle Sam is totally out of the picture.

Figure out where you stand with Social Security. You must have worked under Social Security for 40 quarters -- 10 years -- to qualify for payments. But when it comes time to claim, Social Security figures your payment based on 35 years of work. For every year you don't work, it factors in a zero. The fewer zeros you have, the better. If you haven't paid in for quite enough time, get a little part-time job in 2013. Every quarter counts toward a bigger check.

Figure out where you stand with Social Security, part two. If you are married, divorced or widowed, you may be able to up your Social Security by claiming on your current or former spouse's account. AARP has a basic -- but free -- calculator that will help you figure this out. The time to check it out is soon -- before you make an irrevocable decision that ignores this possibility.

Erase your debt in 2013. Retiring with credit card debt makes life much more costly. Pay it off now while you're still working. When that's done, focus on getting rid of the house payment.

Happy New Year.
Знакомства с иностранцами в России

«
»
Bankrate wants to hear from you and encourages comments. We ask that you stay on topic, respect other people's opinions, and avoid profanity, offensive statements, and illegal content. Please keep in mind that we reserve the right to (but are not obligated to) edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.

By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.
4 Comments
CHARLOTTE fARRIS
December 31, 2012 at 11:30 pm

ONE RETIRES FROM JOB BECAUSE OF DISABILITY. AND IS ALSO 62 YEARS OLD. WHEN THAT PERSON TURNS 65. YOU GET A LETTER STATING THAT YOU DON'T GET DISABILITY ANYMORE. THERE ARE CERTAIN BENEFITS THAT ONE CAN GET WHEN DISABLE. PLEASE EXPLAIN THIS RULE.

joyce arvizu
December 31, 2012 at 5:03 pm

I just want to say I enjoy reading this website and enjoy the blogs (sometimes)!!! The financial ideas are food for thought and this is so convenient. Thanks.