The foremost fear of anyone in (or approaching) retirement is that they will manage to outlive their savings. Projecting your needed income for retirement is a difficult task. It requires looking into the future for decades and matching anticipated needs with the resources you expect to have available. There are hundreds of internet retirement calculators…

The applicable federal rate (AFR) is an interest rate published monthly by the U.S. Treasury (IRS) to calculate imputed interest charges. The AFR is the rate used by the IRS to determine interest charges, even when no interest has actually been charged. The AFRs for a particular month are generally made available during the third…

Betty and John are in their mid-seventies and are currently weighing the advantages and disadvantages of a reverse mortgage as a way of freeing up some cash. The couple purchased their home 45 years ago for about $14,000 since then home values have skyrocketed and recent single family homes in their neighborhood have been selling…

In a recently released study, Met Life predicts that the demand for reverse mortgages will grow: As for financing boomer housing in retirement, the use of reverse mortgages will become more prevalent, especially since boomers have invested heavily in their homes. Since, with reverse mortgages, both husband and wife (or domestic partners) can remain in…

Reverse mortgages are financial tools specifically designed to help seniors tap their home equity for retirement income. But they have two big drawbacks: 1) fees and expenses in relation to loan amounts are very high and, 2) they are aged-based loans meaning that the younger the borrower, the smaller the loan amount available. You need…

Unless you are very wealthy, you probably carry insurance for things like auto accidents, house fire, and medical claims – even if you’re fortunate enough to never have filed a claim. Most people value the security and protection that insurance provides in an uncertain world and consider the cost a necessary living expense. Yet, when…

I fully realize if it sounds too good to be true, it probably is and There Ain’t No Such Thing As A Free Lunch (TANSTAAFL) immediately jumped into your head when you read the title of this article. However, if you are 62 or over, you may have just found the goose that laid the…

A very candid commentary on reverse mortgages appeared recently in , the Dow-Jones online personal finance ezine. Writer Thomas Kostigen makes clear his view of reverse mortgages: “They are notoriously bad deals for people in all but the soft sense: they get to live in their homes for the rest of their lives….But the poignancy…

It is difficult for retirees to live independently in a home of their own on social security alone. Even though social security offers regular cost of living adjustments, social security payments will not keep pace with rising costs. Many retirees who have been able to fund their retirement for years eventually simply run out of…