Stresses the Importance of Strict Retirement Planning

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In the wake of a Huffington Post article entitled, "7 Retirement Decisions That Affect the Rest of Your Life," written on June 28th, urged its readers to pay strict attention to deadlines associated with retirement, ensuring that they receive the maximum amount of retirement savings possible.

My Aunt chose a part time job based on passion for the subject rather than payment. This assisted in delaying boredom often brought about by retirement, while still providing a small means of income to avoid dipping into retirement funds.

Following the June 28th article from the Huffington Post called “7 Retirement Decisions that Affect the Rest of Your Life," Grey Wing Financial urged its readers to closely inspect all deadlines related to retirement. These include deadlines regarding Medicare, 401(k) plans, and Social Security. Strict adherence to these deadlines provides the highest payout possible for retirees, severely decreasing the chance of outliving retirement funds.

The Huffington Post’s Emily Brandon discussed 7 retirement decisions that have the ability to make or break one’s retirement years. She begins her discussion with the vital nature of beginning to save for retirement at an early age. knows that starting early is important, both because more money is set aside for a longer period of time, but also because of the returns on that money. Even if contributions are tripled or quadrupled to make up for lost time, the return on the savings will not be as great because the savings fund will not have had as much time to mature. From there, Brandon discussed 401(k)s. She touched on seeking out employer-matched contributions to 401(k)s, followed by the drastic penalties involved in cashing out a 401(k) before retirement. Doing so may result in a penalty totaling almost $200,000. Grey Wing Financial encourages individuals to simply staying true to deadlines as doing so may save future retirees hundreds of thousands of dollars. On the heels of her 401(k) advice, Brandon discussed Social Security and the advantages of delaying Social Security acceptance until after the age of 67, or even 70. This simple step may provide up to 8% higher returns for every year after age 65.

Following Brandon’s retirement advice regarding Social Security, she stressed the importance of adhering to Medicare’s deadlines. Failing to enroll in Medicare during the three months preceding one’s 65th birthday and the three months following may incur a 10 percent premium penalty for every 12-month period one fails to enroll—a severe monetary penalty enforced every month. urges individuals to meet Medicare’s deadlines to avoid these harsh penalties.

Brandon then discussed retirement age, and how great an impact this has on one’s retirement finances. As life expectancies increase, the number of years following retirement increases, heightening the probability of outliving retirement funds. With this in mind, Brandon encourages readers to consider retiring at age 70, rather than 65, and perhaps finding a part time job. The senior writer at Grey Wing Financial was quoted as saying, "During retirement, my Aunt chose a part time job based on passion for the subject rather than payment. This assisted in delaying boredom often brought about by retirement, while still providing a small means of income to avoid dipping into retirement funds."

Finally, Brandon urged her readers to pay close attention to withdrawal deadlines for traditional retirement accounts to avoid tax fees as high as 50 percent, on top of the standard 15 percent tax. Withdrawing funds on time can save a retiree 50 percent of retirement savings.

Brandon’s article places emphasis on outlining a retirement plan at an early age. This is a wise suggestion from the Huffington Post contributor, as the earlier one starts saving for retirement, the greater likelihood exists that the savings will be adequate. Additionally, Brandon’s vehement advice to pay close attention to all retirement-related deadlines holds true. Grey Wing Financial fully supports this advice as missing a simple deadline can incur a penalty of hundreds of thousands of dollars, effectively robbing one of retirement funds.

Rather than regarding 401(k) contributions as a source of emergency funding, recommends in addition to one’s retirement savings, it is wise to have a separate emergency fund in order to treat all retirement-related funds as untouchable. Doing so ensures that no outrageous fees are induced. As with any retirement plan, investigating deadlines and potential investments is key. Rather than simply setting aside money to put into savings, take an active role in retirement planning, figuring out all aspects of current and future needs and implementing a plan and a budget. On their life insurance website, Globe Life Ins. Company wrote, "No one habit contributes more to financial success than making and sticking to a monthly budget." GWF agrees and believes that in the retirement planning stages, all potential expenses must be taken into account and added to the budget, from the possibility of needing to make car repairs, to the likelihood of grandchildren visiting in summer and adding food expenses. Retirement planning is most effective when all possibilities are taken into account.

Following the Huffington Post article discussing 7 important steps to adequately providing for retirement, responded, adding one tip that may assist in maintaining retirement savings; rather than devoting every cent to retirement savings, it is important to set aside money for an emergency fund, to avoid utilizing, or even depleting one’s retirement savings. The Post’s advice, coupled with Grey Wing Financial’s final tip will assist readers in developing an effective retirement plan.

About is a website devoted to providing up-to-date retirement information and advice, both for those already retired and those looking into retirement.

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