Retirement in Motion

Retirement in Motion

January 31, 2024

Tips and Resources That Everyone Can Use

Knowledge Is Retirement Power

According to a recent report from T. Rowe Price, "Unretiring": Why Recent Retirees Want to go Back to Work, many retirees see part-time work as a good life stage transition strategy.  Fifty-seven percent of retirees surveyed indicated that they want to continue working in some form, whereas only 43% would consider stopping work all at once. Continuing to work part time may allow you to delay taking Social Security benefits while staying engaged with something that provides social and emotional benefits. According to the Social Security Administration, your monthly Social Security benefit increases by 8% for each year you delay taking it. Consider working with a financial professional to help evaluate the potential benefits of continuing to work in some capacity as you make the transition to full retirement.

Tools and Techniques

According to the Education Data Initiative, the average cost of college has more than doubled in the 21st century. The average cost of college in the United States is $36,436 per student per year, including books, supplies and daily living expenses.1 When funding a college education, student loans can be complex. Doing your homework and making informed decisions are an important part of the financial planning process. Whether you’re a graduate, a parent or someone considering higher education, there are plenty of resources that can help you make smarter financial choices. The U.S. Department of Education’s website, studentaid.gov, contains a wealth of comprehensive information, including the most current rules and programs available, as well as a loan simulator to help you evaluate options for your specific situation.

1https://educationdata.org/average-cost-of-college

Q&A

What is the most I can save this year in my 401(k) plan?

401(k) savers can contribute up to $23,000 in 2024. Savers age 50 and older can make an annual catch-up contribution up to $7,500 in 2024, for a total contribution of $30,500. These limits also apply to savers with a 403(b) plan and most 457 plans.

We are happy to help provide additional insight, feel free to reach out to me at joe@diversifiedfa.com or 800.307.0376.

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Disclosure: This material was created for educational and informational purposes only and is not intended as ERISA, tax, legal or investment advice. Investment Advice and 3(38) Investment Fiduciary services offered through Diversified Financial Advisors, LLC, a Registered Investment Advisor. 3(16) Administrative Fiduciary Services provided by PISTL Service Corporation. Discretionary Trustee services provided by Printing Industries 401k Trustees. If you are seeking investment advice specific to your needs, such advice services must be obtained on your own separate from this educational material.

RP-875-1123 Tracking #507310 (Exp. 11/24)