Seniors often save for decades to build their retirement funds, so it only makes sense to spend them wisely and make them last. Home Care Assistance of Denver presents three tips to help your loved ones get more out of their retirement savings.
- Hold Off on Social Security – If your parent or loved one has saved a substantial nest egg, then they may be able to retire without relying on their Social Security benefits – at first. If they wait until retirement age, which is age 66, they’ll get 100% of their benefits. However, if they can wait until age 70, they’ll get a 35% increase. In fact, at the maximum levels, the difference in monthly benefits is almost $800 per month between the ages of 66 and 70.
- Consider a Part-Time Job – Although this may seem counterproductive, particularly if your parent or loved one has just retired, it can actually be quite fulfilling and economically sound to continue working after retirement.For instance, if your father chooses to sell items he crafts in his woodshop to the tune of $2000 per year starting at age 66, he can invest that money in an IRA account and have a whopping $24,973 by the time he turns 76. Furthermore, if he uses that money to buy an annuity, that’s another monthly payment to help sustain his lifestyle into the future.
- Revamp Insurance Policies – One of the most detrimental things that can happen to retirement savings is long-term medical care. The cost of living in a nursing home or similar facility is often more than most can afford. Long-term care insurance, whether purchased separately or as a rider to an existing policy, can help to offset those costs in the event that your loved one needs rehabilitation or other long-term medical care.
It is also important to discuss other options, such as in-home care, which can be more affordable than facility-based living because seniors are only required to pay for the hours a trained caregiver is present. With services like part-time care in Denver, seniors can receive the help they need on a long-term basis, while still maintaining their independence and regular routines. Part-time care can also be used to supplement a family caregiving schedule, helping seniors save even further.
While it is important to make sure that your senior loved ones can live comfortably after retirement, it is also important to them to make sure that they have a legacy to leave behind. The tips here can certainly help you provide the right guidance to help them reach both goals.
To learn more about senior care, reach out to Home Care Assistance of Denver today. We provide home care Denver families trust, with flexible hourly and live-in care schedules, no long-term contracts and a 100% satisfaction guarantee. Call us at 720-443-3371 to schedule a complimentary, no-obligation consultation to see if a Home Care Assistance caregiver could benefit your aging loved one.