If they run out in 2034, as projected, Social Security may be forced to cut benefits by as much as 21%. It became clear that through planning she had control over her life and was prepared to withstand a variety of problems. Find out which funds belong in your r…. You must be logged in to leave a comment. “Work structures us and gives us routine in our lives," says psychologist Louis Primavera of Touro College in New York City, who cowrote the 2012 book The Retirement Maze: What You Should Know Before and After You Retire . Of course, socking away $25,000 a year is easier said than done, but if you're amenable to making sacrifices in the short term, it'll pay off in the long term. First, give yourself some time. Though retirement is an exciting milestone to anticipate, for many workers, it's a worrisome prospect. receive communications related to AARP volunteering. Beginning in 2019, savers under 50 will get the option to contribute up to $19,000 a year to a 401(k) and $6,000 a year to an IRA. The Ascent is The Motley Fool's new personal finance brand devoted to helping you live a richer life. Millions of seniors rely on Social Security to pay the bills in retirement, but if that program is really on the path to going broke like so many folks say it is, it clearly won't be of any use to you once it's your turn to collect benefits. Please enable Javascript in your browser and try Returns as of 11/12/2020. And that means you will have some income from the program to look forward to in retirement. For example, we have no control over a stock market decline, but we can prepare for it and respond appropriately. See how you can claim y…, Fidelity funds are renowned for their managers' stock-picking prowess. Another option? Free calculators to help manage your money, Rate bonus on high-yield online savings account, AARP Members get $2 off Audible’s monthly membership. In her somewhat limited spare time, she enjoys playing in nature, watching hockey, and curling up with a good book. The deadline for seniors and veterans to request an additional $500 stimulus check for a dependent child is coming up quickly. Sign up with an organization that's important to you and give your time to people in need. In the meantime, please feel free His passion for integrating retirement, estate and charitable giving strategies allows his clients to do retirement well and focus on what matters most to them. Retirement should also be about simplifying life and taking on fewer obligations, suggests psychologist and gerontologist Ken Dychtwald, of Emeryville, Calif. Retirement Today Doesn't Come as Easily as It Did in Past Decades.