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

What clients don't know about Social Security can hurt them
Having a good understanding of Social Security rules can help clients secure their finances in retirement, according to a survey by AARP and Financial Planning Association. Forty-seven percent of the respondents claimed they were “very or somewhat knowledgeable” but they failed to give adequate responses to questions about the rules, the survey found. “I’d say that number is higher than the reality. Their understanding of Social Security is pretty good, but there was a huge lack of knowledge about the impact of deferring benefits and about spousal benefits,” said David Yeske, managing director at the San Francisco-based financial planning firm Yeske Buie and one of the researchers.  --Forbes

The 4% rule: 3 reasons to rethink your retirement
Some experts say that the 4% withdrawal rule may not work for retirees given the low interest rate environment, according to this article on The Motley Fool. The rule may not be feasible since the bond market is due for a decline and there's a chance they will have savings left-over after a 30-year retirement period. While there are options to the 4% withdrawal rule, retirees need to have a strategy that is customized according to their individual needs.  --The Motley Fool

5 sneaky 401(k) fees clients should look out for
Retirement investors need to be wary of hidden fees in their 401(k) plans as these costs could reduce their returns significantly, according to this article on Time Money. These fees are a 12b-1 fee, a redemption fee and an exchange fee. A 401(k) plan may also charge individual service fees and other miscellaneous fees, such as custodial, legal, and recordkeeping expenses.  --Time Money

What happens to my husband's Social Security checks when he dies?
Clients are entitled to Social Security survivor benefit on after their spouse's death, regardless of whether the spouse started collecting his or her retirement benefit or not, according to this article on Kiplinger. The Social Security rules allow clients to claim either a survivor benefit or their own retirement benefit. The amount of spousal benefit that clients get will be the same as the amount of retirement benefit the spouse received before his or her death.  --Kiplinger

Where retirees are feeling inflation
Many retirees cite college expenses as an area where they feel inflation, which is "unexplicable" to them, according to this article on Morningstar. Other retirees claim that there has been inflation in property taxes in recent years. For some retirees, prices are on the rise in dining, travel, and entertainment, while costs of services from lawn care to auto maintenance to appliance repair also are increasing. --Morningstar

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