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

Why it's smart for retirees to bulk up on stocks

While investing in equities are likely to boost clients' investment returns, many retirees make the mistake of reducing their investments in stocks, according to this article on Forbes. Because stocks provide bigger dividends and returns, they can help shore up retirees' savings and prevent them from outliving their nest egg, a significant worry given the rising average life span. "[B]y “overshooting” and reducing equity exposure too much in retirement, investors are simply trading a potential reduction in short-term volatility for other risks, such as not keeping up with the rising cost of living over time ..." –Forbes

How to avoid losing out on Medicare if you’re still working at 65

Seniors who are on the job at 65 are advised to avoid the common mistakes that retirees make so they will take advantage of Medicare, according to this article on Time Money. Those who are employed by small companies need to sign up for Medicare once they reach that age. Also seniors also need to know their employer's Part D plan and consider signing up for Medicare Part A. –Time Money

Here’s how much your 401(k) is really costing you

More than 50% of workers polled by the National Association of Retirement Plan Participants claimed they are not aware that they are paying for management fees on their 401(k) plan, according to this article on MarketWatch. "It's imperative that people are informed about fees, the impact of high fees and how corrosive that is on their long-term saving," said NARPP President Laurie Rowley. "They have a right to know in a clear and concise way the fees they're paying. That is not happening." –MarketWatch

4 important things you need to know about Social Security

Workers are entitled to Social Security benefits if they have posted at least $4,800 per year for 10 years, according to this article on Yahoo Finance. The benefits will not be subject to tax if beneficiaries' total annual income is under $25,000, but 85% of the benefits will be taxed if the total income exceeds the threshold. Clients also should know how the benefits are calculated and understand that Social Security benefits will continue despite the looming the program's solvency woes. –Yahoo Finance

Planning can help avoid mistakes with Social Security

Clients can avoid any missteps when claiming Social Security benefits if they plan ahead of time, according to this article on USA Today. They are advised not to focus too much on break-even calculation of their Social Security retirement benefits, experts say. "Worry about the broke date — the date you can't pay all your bills because you took benefits that were too low, too early." –USA Today

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