With a new year comes new mounting senior concerns navigating retirement, handling inflation, and staying healthy in 2023. What can you do to secure your financial stability, manage your healthcare costs, and keep tabs on healthy aging?
It’s no secret that rising prices at the grocery store, gas pump, and even utilities are causing major concerns for everyone in 2023, but seniors are really starting to feel the pinch. Consumer prices were up 9.1% year over year as of June 2022 causing multifaceted issues for retirees or those planning to retire soon. Not only is inflation cutting into your income available to invest, it is also causing issues with navigating rising prices on a fixed income. Not to mention, you are dealing with stock market volatility affecting your current investments. So, what can you do to take your next step toward financial security?
Get Creative with your Budget
A common factor seniors consider before retiring is how to manage their expenses on a fixed income. Inflation adds a whole new layer of complexity to your well-thought-out plan calling for reevaluation of your expenses and spending. Now, a budget doesn’t necessarily mean you have to restrict yourself. You’ve worked so hard to get to retirement and now it is time to enjoy this phase of life. Don’t let inflation eat into your enjoyment. Take control of your finances by prioritizing costs appropriately to favor the buckets most important to you.
Try creating new budget categories, reducing budgets in areas that are less important, rising them in areas that require more focus, or consider creating sinking funds to prepare for future costs that may be more difficult to pay for out-of-pocket. Budgeting apps are also becoming more and more available to help keep your spending on track and in real-time. Some seniors even prefer keeping cash-on-hand for a simpler budgeting method.
Take Advantage of Secure 2.0
The Secure 2.0 Act is a law created by the U.S. government to offer improved retirement saving options. While the act aims to accomplish three main goals surrounding retirement planning, a few items stand out to help with 2023 senior concerns.
Secure 2.0 allows more flexibility to your retirement contributions and has raised limits on the amount allowed through “catch up” contributions. Depending on your age and investment type, you may have extra options available to you to help enhance your retirement plan.
According to Forbes.com, “For 401(k) and Other Employer-Sponsored Plans, participants 50 or older can make an additional “catch up” contribution of $7,500 in 2023, that amount increases with inflation after 2023.” Try taking advantage of some of these opportunities to tuck a little bit more away into retirement, even in these inflationary times.
This also allows for some flexibility in your budget. If your contributions have been slower than you’d like due to inflation, you can catch up when funds are more readily available.
Talk to a Financial Representative
If you are looking for a little extra help navigating your personal finances during inflation, Bankers Life Securities can provide some support as you evaluate your options. Whether you are already retired or preparing to make the transition, we are here to help navigate investment challenges. Call us at (844) 553-9083 or click here to get started.
74% of Americans are concerned about the rising costs of healthcare making insurance coverage and medical expenses a top senior concern in 2023. What can you do to proactively take control of your health coverage?
One of the simplest steps you could take is to make preventative care a priority. Preventing illness and taking care of yourself can be an effective way to help minimize healthcare costs. Everything from scheduling annual check-ups and vaccinations to cancer screenings can help you take steps to proactively manage your health. Take a peek at what preventative care can look like here.
Consider Pharmacy Cost Alternatives
The cost of medicine is another senior concern in 2023. According to Pharmacy Times, 44% of Americans have chosen not to fill a prescription due to the cost over the past few years. Whether you use Medicare to help with medical costs or private insurance, there are a few things you can do to help mitigate high costs.
Try using websites like GoodRx for lower drug costs on expensive medication or tools like SimpleCare to give you the best price across pharmacies in your area. Medicare can also offer additional drug assistance programs that may reduce your overall healthcare costs.
Ensure Top Insurance Coverage is in Place
Whether you are looking for supplemental health insurance, Medicare supplemental insurance, or are looking for guidance navigating insurance and healthcare costs, we are here to and support you. Click here to begin.
Keeping your mind and body healthy is possibly at the top of your list of your concerns in 2023. Let’s explore some ways to keep yourself in tip-top shape.
Some of the greatest things you can do for your mental health in retirement can be some of the simplest.
Focusing on getting enough sleep, doing puzzles, and keeping a regular exercise routine may enhance your physical and mental health more than you might think. Improve cognitive skills and energy levels with simple breathing exercises, walking, or even practicing guided meditation. Click here for more ways to focus on healthy aging.
We’re Here to Help
Creating a plan for your life in retirement and advanced age can also help reduce overall stress and anxiety. Now may be a good time to look ahead and map out your golden years. We’re always here to help you create a retirement plan that can support your goals. Call us at (844) 553-9083 or click here to get started.
 Forbes, For individuals 50 or older, additional contributions to retirement plans is allowed. Secure 2.0 increases the amount of “catch up” contributions, depending on the type of plan, https://www.forbes.com/sites/matthewerskine/2023/01/19/the-second-bite-of-the-apple-the-new-secure-20-act-and-what-it-means/?sh=43214c0521ad, January 2023.