-Dr.Kathy Johnson, PhD, CMC
With many of us Boomers now looking towards retirement and senior-citizenship, the question of how to remain financially independent is on everyone’s mind. Depending on your age, the answer is different.
Younger Boomers in their 40s and 50s still have the opportunity to educate themselves about how to pay for those later years, while older boomers must figure out what to do now that they are living those later years.
A recent study conducted by Jeff Faust, a specialist for Allianz Life, showed that 61% of the study’s 3,200 participants feared outliving their income “more than they feared death.” Clearly, this is a real concern for many people. However, with over 78 million Boomers, financial specialists don’t have all the answers.
Jan Yager, Ph.D. from Consumer Affairs attempts to aid Boomers with her “7 Steps to Avoid Out-Living Your Money”:
>> Keep working
>> Be more frugal
>> Pay off debt and avoid new debt
>> Downsize or relocate
>> Stay healthy
>> Consult an attorney about asset protection
>> Consider long term care insurance
While there are many Boomers with all different kinds of financial situations, Dr. Drummond Osmond, a financial advisor, often finds that everyone’s concerns are the same. Therefore, Osmond urges his clients to have a healthy relationship with their money, and to think about how they want to live before thinking about how much money they want to have.
In the end, no matter who you are, experts stress the importance of planning and being prepared in order to avoid outliving your money.