Bohemia, NY (PRWEB) February 15, 2013
On February 15, 2013, developer of Savings2Income Jerry Golden issues a statement in response to a CBS Money Watch article outlining reasons why traditional retirement practices are no longer relevant.
According to the CBS Money Watch article titled “Why Traditional Retirement Is Dead,” traditional retirement plans are irrelevant. Writer Steve Vernon said that unfortunately, people are no longer able to retire in their sixties due to lack of income from debt, decreases in social security benefits and medical bills.
Though Vernon said that Social Security provides a good foundation for retirement, the average monthly benefit for new retirees was $1,241 per month, That amount is not enough to sustain a retiree for the rest of the retiree’s lifetime.
Jerry Golden, developer of the personal retirement savings and educational website, Savings2Income.com, said, “Vernon is absolutely right. Social Security should not be the sole source of income for a retired person. That’s why it’s important for people to start retirement planning as early as possible. People should also be aware of when to begin drawing money from Social Security. They do have options.”
The article also said that a recent study by the Center for Retirement Research at Boston College, found that only 42 percent of workers between 25 and 64 pay into some sort of employer-sponsored retirement program, leaving about one-third of households without “having drawn such benefits.”
The article lists medical expenses as one of the main costs during retirement, and that approximately 50 percent of retirees said they stopped working due to medical issues or disabilities. Vernon noted that a 65-year-old couple would need $240,000 in the bank to pay for health expenses during retirement, according to a report from Fidelity Investments.
“Health expenses are one of the main expenses retirees have to worry about when entering retirement,” Golden said. They key is to do the best job possible in generating the largest amount of dependable, spendable from all of your savings of income. “While you don’t control markets you do control a number of factors, such as (i) making smart Social Security claiming decisions; (ii) lowering fees and deferring taxes on all of your savings; and (iii) purchasing guaranteed income, added Golden.
An innovative retirement planning method called Savings2Income (S2I) created by Jerry Golden seeks to provide a clear path to retirement security for those saving for retirement, soon to retire, and recently retired. S2I incorporates Rollover IRA savings, personal retirement savings held outside an IRA or 401(k) plan and Social Security into an integrated solution.