Our daily roundup of retirement news your clients may be thinking about.

5 to-dos for retirees as volatility returns
Retirees who lose from market volatility are advised to step back to get a better perspective and then review their asset allocation in their portfolio, according to this article on Morningstar. They should also ensure that they have liquid reserves and high-quality bonds, and that they are sticking to their desired spending rate. Retirees are advised to have a rein in areas that they can control, such as costs and taxes to enhance their after-tax returns.

Bloomberg News


3 things you need to know about the 4% rule
Clients are advised to avoid misconceptions about the 4% withdrawal rule as a strategy for tapping retirement accounts, according to this article on CNNMoney. The rule means that seniors may withdraw 4% of their savings to cover their needs in the first year of retirement, and adjust the percentage in the following years. Some experts say that the 4% is outdated and retirees should lower the percentage to 3% to avoid outliving their nest egg. Seniors should also make their withdrawal strategy realistic and flexible to adjust to inflation and other risks.

Here's what Gen Xers have saved for retirement
Costs such as mortgage payments, child care support and credit card debt prevent many Gen Xers from saving enough for retirement, according to this article on Motley Fool. Fidelity says that people should have saved an amount about three times their salary by age 40, four times their pay by age 45, and six times by the time they reach 50. Unlike baby boomers, Gen Xers still have time to boost their savings and secure retirement.

This is the best way to guarantee more money in retirement, according to Stanford experts
In a study by experts with the Stanford Center on Longevity, Social Security was found to help people meet their retirement planning goals, according to this article on Money. The report provides a retirement income strategy for middle-income clients who have savings between $100,000 and $1 million and don't rely on a financial advisor. Dubbed "Spend Safely in Retirement", this strategy enables clients to optimize their savings, makes the most of their Social Security income, and protect against inflation and other risks while lowering the tax bite, says a researcher.

Ask Larry: Are benefits at 6 months before FRA reduced?
A client cannot file for Social Security retirement benefits six months before turning 66 and still collect a full benefit, according to this article on Forbes. Applying for the benefit six months prior to reaching full retirement age would mean a permanent reduction of about 3.33% in benefit payout.

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