Latest news with #Savings
Yahoo
2 days ago
- Business
- Yahoo
Best money market account rates today, July 21, 2025 (Earn up to 4.41% APY)
Find out which banks are offering the top rates. Money market accounts (MMAs) can be a great place to store your cash if you're looking for a relatively high interest rate along with liquidity and flexibility. Unlike traditional savings accounts, MMAs typically offer better returns, and they may also provide check-writing privileges and debit card access. This makes these accounts ideal for holding long-term savings that you want to grow over time, but can still access when needed for certain purchases or bills. Where are the best money market interest rates today? Even though rates have been falling over the past several months, it's still possible to find money market accounts that pay more than 4% APY. Here is a look at some of today's best money market account rates: Interested in earning the best possible interest rate on your savings balance? Here is a look at some of the best savings and money market account rates available today from our verified partners. This embedded content is not available in your region. Historical money market account rates Money market account rates have fluctuated significantly in recent years, largely due to changes in the Federal Reserve's target interest rate. In the wake of the 2008 financial crisis, for example, interest rates were kept extremely low to stimulate the economy. The Fed slashed the federal funds rate to near zero, which led to very low MMA rates. During this time, money market account rates were typically around 0.10% to 0.50%, with many accounts offering rates on the lower end of that range. Eventually, the Fed began raising interest rates gradually as the economy improved. This led to higher yields on savings products, including MMAs. However, in 2020, the COVID-19 pandemic led to a brief but sharp recession, and the Fed once again cut its benchmark rate to near zero to combat the economic fallout. This resulted in a sharp decline in MMA rates. But starting in 2022, the Fed embarked on a series of aggressive interest rate hikes to combat inflation. This led to historically high deposit rates across the board. By late 2023, money market account rates had risen substantially, with many accounts offering 4% or higher. However, the Fed finally began cutting rates in late 2024. As of 2025, MMA rates remain high by historical standards, though they've begun a downward trajectory following the Fed's most recent rate cuts. Today, online banks and credit unions tend to offer the highest rates. What to consider when choosing a money market account When comparing money market accounts, it's important to look beyond just the interest rate. Other factors, such as minimum balance requirements, fees, and withdrawal limits, can impact the total value you get from the account. For example, it's common for money market accounts to require a large minimum balance in order to earn the highest advertised rate — as much as $5,000 or more in some cases. Other accounts may charge monthly maintenance fees that can eat into your interest earnings. However, there are several MMAs available that offer competitive rates without any balance requirements, fees, or other restrictions. That's why it's important to shop around and compare accounts before making a decision. Additionally, ensure that the account you choose is insured by the Federal Deposit Insurance Corporation (FDIC) or the National Credit Union Administration (NCUA), which guarantees deposits up to $250,000 per institution, per depositor. Most money market accounts are federally insured, but it's important to double-check in the rare case the financial insitution fails. Read more: Money market account vs. high-yield savings account: Which is best for you? Frequently asked questions: Money market account rates What is the interest rate in a money market account? The national average interest rate for money market accounts is just 0.64%, according to the FDIC. However, the best money market account rates often pay around 4% to 4.50% APY — similar to the rates offered on high-yield savings accounts. How much will $50,000 make in a money market account? The amount you will earn on $50,000 in a money market account depends on the annual percentage rate (APY) and the time period you leave the money in the account. For example, if you deposit $50,000 into a money market account that pays 4.5% APY and left it in your account for one year, you'd earn $2,303 in interest. Where can I get 5% interest on my money? There are currently no money market accounts that pay 5% APY. However, some high-yield savings accounts from online banks do. You can also check with your local bank or credit union to find out if they offer a 5% APY account that fits your needs. This embedded content is not available in your region.
Yahoo
4 days ago
- Business
- Yahoo
The Next Step: Is this young lawyer on track to retire?
Retirement planning can feel overwhelming, but what if taking just one step could improve your outlook? That's the idea behind The Next Step, Financial Planning's newest series. We're inviting Americans from all walks of life to participate. By sharing basic details about their savings, income and retirement goals, participants provide a snapshot of their current financial situations. We then anonymize this information and present it to professional financial advisors, asking: What single step could make the biggest difference in this person's retirement readiness? Each edition of The Next Step will spotlight an individual's story and feature actionable advice from advisors on how they can take their next step toward a more secure retirement. For the inaugural edition, Financial Planning heard from a 26-year-old lawyer living in New York City. Here's a snapshot of their current finances and how they compare to an average U.S. adult in their same age bracket. The saver makes just under $84,000 annually, roughly 43% more than the median full-time worker in their age range. Currently, 14% of their income goes toward retirement savings. After taxes and withholdings, they receive $4,858 in monthly income, more than enough to cover their average monthly expenses of $2,095. Even after attending law school, the saver has no debt. That puts them well ahead of the median debt figure for someone in their age bracket. Adults less than 35 years old report a median debt figure of just under $43,000. The saver has $5,000 stowed away for retirement, roughly 74% less than the median adult in their age range. About 60% of that is in pretax retirement accounts, while the other 40% is in nonqualified accounts. Based on their current income and contribution rate, they save just under $1,000 every month toward retirement. READ MORE: As Social Security claims surge, young investors brace for its absence The saver said they want to retire at 67, with plans to spend slightly more than they currently do. Based on their desired retirement age, FP projected how much money they can expect to have at 67, given a $5,000 starting base and a monthly contribution of $978. In the calculation, FP assumes an average inflation-adjusted return of 7%. General savings guidelines suggested by Fidelity Investments recommend having savings equaling one year of your annual salary by age 30, with the goal of having 10 times your annual salary saved by age 67. The saver also said they do not have a spouse with whom they share a retirement strategy. Based on the information they shared. Financial Planning asked advisors: "What single step could make the biggest difference in this person's retirement readiness?" Here's what they said: Prime time for Roth contributions Filip Telibasa, founder of Benzina Wealth If I could give just one piece of advice, it would be to start prioritizing Roth contributions now. At 26, their current tax rate is likely the lowest it will ever be, and they have decades ahead for growth. Every dollar contributed to a Roth account buys many years of compounding that will eventually be withdrawn tax-free. Currently, 60% of savings are in pretax accounts and 40% in nonqualified, which means there's most likely no Roth exposure. Shifting contributions to a Roth 401(k) or Roth IRA locks in today's lower tax rate while preserving future flexibility. As income and tax brackets rise over time, they can always pivot back to pretax contributions. The goal is to diversify across all three tax buckets — pretax, after-tax, and nonqualified. This way, they can strategically draw from each in retirement based on their tax situation. READ MORE: For Gen Z, retirement feels out of reach. Can advisors bring it closer? We can't predict future tax policy, but we know their taxes are likely at their lowest today. That makes Roth contributions the smart move while they're young. Heather Hofstetter, client service associate/paraplanner at Angeles Investment Advisors Given the client's age, my first question would be, "What does your emergency savings look like?" My second question is, does the employer match retirement contributions (and if so, how much?). If this client is not already saving enough to receive the full match, my first recommendation would be to increase their savings until they do. If they are already getting the whole match, then I recommend adding savings to a Roth IRA. If they could make the full $7,000 annual contribution, it would go a long way toward providing both income and tax efficiency in retirement, but even a smaller amount done consistently would benefit from the long-term compounding and give them flexibility and options later. (If they were fortunate enough to have a 529 that wasn't exhausted to pay for higher education, the 529 owner might be able to help them seed this account from the excess 529 funds!) Make a roadmap and follow it Judson Meinhart, director of financial planning at Modera Wealth Management If I were going to advise this person to do one thing that can help them, it would be to set a 10-year goal to start working toward. READ MORE: Confronted with college costs, parents reach for their 401(k)s Those early days of saving and investing can be intimidating (investment gains on a $5,000 balance are small, and contributions make up most of the account growth). It might feel like you're not making any progress in those early years, and it can be tempting to give up. Having a roadmap and an achievable 10-year target can help keep things in perspective. The goal doesn't have to be elaborate. A spreadsheet with projected contributions and investment growth can be a simple, yet effective, method to keep you motivated to save. Build a nest egg early Ben Loughery, founder of Lock Wealth Management The only thing I really see is if we could get them to 20% savings … or even meeting in the middle at 17 or 18%, especially before lifestyle creep, possible family with kids in the future, etc. That way, we have time on our side, building the nest egg early. When those bigger expenses do come up around mid-life life, we don't need to worry about playing catch-up as much. Prepare for the unexpected Samuel Molina, founder of The Academy of Financial Education The next step this person can take is to purchase whole life, disability, and long-term insurance to protect their wealth. If they are not insured, a disabling event can become very costly and drain their accounts. READ MORE: How to advise clients on Biden's SAVE plan before it disappears The whole life insurance policy would be to protect against down markets. If the person only has money in investment accounts and we experience a recession, near or during their retirement, they can use the cash value to weather the storm as their investment portfolio rebounds. Take a breath and treat yourself C Garrett Moore, founder of Moore Financial Management My advice for this individual would be: don't forget to enjoy life, too. In short, they're doing great financially. They have an excellent income for their age, they are living well below their means with zero debt, they are saving a fantastic amount, and they are being smart about their tax allocation. So long as they have their investments buttoned up alongside a decent cash cushion, they are in really, really good shape. If they haven't already, they need to take a breath, pat themselves on their back, and treat themselves to something they would like. I always recommend experiences that create memories you'll never forget. Ready to contribute? Financial advisors who are interested in contributing to future editions of The Next Step can submit their names and emails below, and Financial Planning will contact them when there is another opportunity to participate. Fehler beim Abrufen der Daten Melden Sie sich an, um Ihr Portfolio aufzurufen. Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten
Forbes
5 days ago
- Business
- Forbes
7 Smart Retirement Savings Moves To Make In Your 40s
Retirement savings strategies in your 40s Turning 40 is a significant milestone. It signals the midpoint of a career for some, achieving financial stability for others, and for many, it's a reminder that retirement is not so distant in the future. If you've reached your 40s and are wondering how to refine or even begin your planning, here are 7 retirement savings strategies that can help you. 1. Maximize Contributions To Retirement Accounts This decade is typically when Americans experience peak earning years. For example, according to latest data from the Bureau of Labor statistics, the two highest median weekly earnings in the U.S. are from the 35-44 and 45-54 age groups, which are $1,332 and $1,376, respectively. You should use this increased income for disciplined, strategic savings. If your employer offers a 401(k) or 403(b) plan, contribute at least enough to receive the full employer match. These matching contributions are free money, and over time, they compound alongside your own investments to significantly boost your retirement balance. This should be your minimum. But if you really want to boost your savings in your 40s, you should aim to contribute the annual maximum allowed by the IRS to all available tax-advantaged accounts. For example, in 2025, you can contribute up to $23,500 in a 401(k), and even though you do not qualify yet for catch-up contributions (reserved for those over age 50), having a max-out mentality ensures you take advantage of the opportunity. You may also explore traditional or Roth IRAs for tax diversification. You are allowed to contribute up to $7,000 to IRAs in 2025. There are certain limits and restrictions as to total contributions to IRAs based on factors such as modified adjusted gross income and marital status, but the idea remains the same: contribute the maximum amount allowed, if you can. Leave no opportunity unexplored for maximizing your retirement savings. 2. Balance Risk And Growth In Your Portfolio At this point, you are no longer in the early accumulation phase of your 20s and 30s, but you're also not yet in the preservation phase typically associated with age 50 onwards. That makes your 40s a unique time where you must weigh between continued growth and the need for stability. You still have time on your side (possibly 20 or more years until retirement), which means that equities and other growth-oriented assets should remain a significant part of your portfolio. Nonetheless, you should calibrate your exposure based on your risk tolerance, lifestyle needs, and long-term goals. Depending on your circumstances, you can aim for a 60/40 mix of stocks and bonds, or a target-date fund that automatically adjusts over time. Your 30s may have favored higher equity exposure, perhaps 80-90%, but you should dial down a little in your 40s and shift some to bonds, real estate, or dividend-producing stocks to enhance your resilience. Remember, this is not yet time to retreat to overly conservative investments, you still want to maximize the ability to grow your money and outpace inflation. But you also shouldn't chase high-risk returns without first understanding the downsides. Instead, focus on strategic diversification across asset classes, sectors, and geographies to build resilience and flexibility. You should also regularly rebalance and adjust based on changing circumstances in your family or career. For better guidance, consider working with a fiduciary financial advisor. 3. Be More Aggressive About Debt Elimination While not all debt is bad, high-interest ones, such as credit cards, personal loans, or payday loans, can be the bane of your wealth building and retirement planning efforts. Every dollar you spend on interest payments is one less dollar for your retirement savings. Eliminate these kinds of debt as soon as you can. If you are struggling with multiple debts, you may consider consolidation or refinancing to secure lower interest rates and simplify repayments. You may also use the snowball method and payoff the smallest debts first to build momentum. As you repay and eliminate high-interest debts, you should also focus on not incurring them in the future. For example, as your income rises in your 40s, you may be tempted to upgrade your standard of living, say move to a larger home, buy a new car, or travel more. Not that you should deprive yourself, but lifestyle inflation is one of the reasons you may incur new debt or delay wealth building. Temper your spending. Be more intentional about your retirement savings goals instead of short-term indulgences. 4. Strengthen Your Emergency Fund You should have one by now. If not, start immediately. Open a separate savings account that's dedicated to emergency spending, such as a job loss or car repairs. Most experts recommend having three to six months' worth of living expenses in your emergency fund. Aim for the lower end and gradually build toward increasing it. It may take time but even $100 per payday is a big step. Just save for rainy days. A small emergency fund is better than no emergency fund. This is a very important strategy for building your retirement savings, because having a robust emergency fund prevents you from incurring high-interest debt or making premature withdrawals from your retirement accounts. It's a crucial foundation of your overall strategy. 5. Plan For Future Healthcare Needs Healthcare costs consistently outpace inflation and often become one of the largest expenses in retirement. Address this now, while you are in your peak earning years, so you are not blindsided by bills later. One of the tools you have is a Health Savings Account, available if you are enrolled in a high-deductible health plan. Contributions to an HSA are tax-deductible, growth is tax-deferred, and withdrawals tax-free when used for qualified medical expenses. It is also prudent to understand the structures and limitations of Medicare, even though eligibility doesn't begin until age 65. Don't assume that Medicare will cover all your healthcare needs in retirement. It won't. There are gaps in coverage, including dental, vision, long-term care, and other prescription costs. You may want to consider having supplemental or long-term care insurance to address this, which are generally more affordable when purchased earlier. 6. Catch Up, But Don't Panic If you are just starting out with your retirement planning now, don't worry. While you may be behind on the ideal schedule, you still have time. Assess your current financial situation, including your income, expenses, existing savings, and outstanding debts. Based on this information, you can determine a savings rate. You may need to be more aggressive and ambitious, say 30-40% of your current gross income. This may require significant lifestyle adjustments. You need to rework your budget, delay major purchases, and forgo luxuries, but the results can be transformative. Compounded over the next 25 years, these contributions can bridge the gap between your current situation and a financially stable retirement. If you receive any windfalls, such as tax refunds, bonuses, gifts, or inheritance, use them toward boosting your retirement accounts, paying off debts, or strengthening your emergency fund. Catching up may also require you to make bold or uncomfortable decisions. Downsizing your home, relocating to a lower cost-of-living area, looking for a higher-paying job, or eliminating discretionary spending may all be on the table. What may be a sacrifice today is an investment for tomorrow. And when you are over 50 and eligible, make sure to maximize the catch-up contributions to retirement accounts, which is up to $7,500 for 401(k)s and 403(b)s and $1,000 for IRAs in 2025. Based on the SECURE 2.0 Act, you may also be eligible for higher catch-ups when you reach ages 60-63. Prepare for these additional contributions to your retirement accounts. 7. Avoid Common Pitfalls Inflation, longevity, and healthcare can make traditional retirement targets insufficient. Use conservative estimates and plan for at least 80-90% of your pre-retirement income. Consult with a financial advisor to better understand how much you need for a comfortable retirement and work out an appropriate plan. Social Security is helpful but it is not designed to fully replace your retirement income. Do not rely too heavily on it, lest you are left short. Get a personalized estimate from the Social Security Administration and incorporate it into a broader income strategy. A dollar today is worth more than a dollar tomorrow. Inflation erodes your purchasing power, and taxes diminish real returns. Plan and choose investments with these two things in mind. Explore strategies life Roth conversions or strategic withdrawals to maximize tax efficiency. Many in their 40s neglect to update their wills, designate beneficiaries, or assign powers of attorney. Keep in mind that estate planning is not just end-of-life preparation. It is an essential aspect of your financial plan. Seek the help of an estate planner or lawyer for better guidance and compliance with applicable laws. Life evolves. So should your retirement plan. So should your other financial plans. Regularly revisit your goals, risk tolerance, and financial situation. Make the necessary changes and be flexible and adaptive. Final Thoughts Your 40s are a decisive decade for retirement savings. Whether you've been contributing since your 20s or are only now beginning to think seriously about the future, the strategies above can help you achieve a comfortable retirement. The key is progress, not perfection. Through consistent and prudent action, you can make the most of the years ahead, and turn midlife into a springboard on your path to financial freedom. Frequently Asked Questions (FAQs) What should people in their 40s prioritize in their retirement strategy? Focus on maximizing retirement contributions, eliminating debt, maintaining a well-balanced portfolio, and building an adequate emergency fund. It's also an ideal time to address healthcare and insurance needs. How does retirement planning in your 40s differ from someone younger? Older? Compared to those in their 20s or 30s, you must be more intentional. Younger savers can afford more risk and have longer growth timelines. In contrast, those in their 50s and 60s often prioritize capital preservation and income planning. Your 40s are a transitional period requiring both growth and risk management. What are common risks/obstacles faced while saving/planning for retirement in your 40s? Major obstacles include high-interest debt, lifestyle inflation, lack of emergency savings, inadequate insurance coverage, and underestimating future needs. Many in their 40s also have substantial financial obligations like supporting children or aging parents. It's beneficial to consult a financial advisor for personalized guidance in retirement planning in your 40s, especially if you are just starting out. What should you prioritize if you are just starting to retirement plan at 40? Focus on having a high savings rate, ideally 30% or more of your income, while simultaneously eliminating debt and building an emergency fund. Use tax-advantaged retirement accounts and recalibrate your spending to accelerate your progress. How should your strategy shift, if at all, from your 30s to 40s? In your 40s, your focus should shift from aggressive accumulation to strategic growth with risk moderation. Portfolio rebalancing is very important. Estate planning and healthcare preparation should also be part of your considerations. Your 40s are the time to make up for any shortfalls and stabilize your trajectory for retirement.
News18
6 days ago
- Business
- News18
What Is ELSS? A Complete Guide To Equity-Linked Savings Schemes
Last Updated: An Equity-Linked Savings Scheme is a type of mutual fund that primarily invests in stocks. Come tax season, most of us scramble to find last-minute ways to save money. We ask around, Google a dozen options, and still end up confused between PPFs, FDs and others. If you are looking for something that not only saves tax but also has the potential to grow your money faster, say hello to ELSS (Equity-Linked Savings Scheme). It is a mutual fund that lets you invest in the stock market and reduce your taxable income. What is ELSS? An Equity-Linked Savings Scheme is a type of mutual fund that primarily invests in stocks (at least 80% of its portfolio). What makes ELSS special is that it's the only mutual fund eligible for tax deduction under Section 80C of the Income Tax Act. You can invest up to Rs 1.5 lakh in a financial year and get a tax benefit if you are under the old tax regime. As of January 31, 2025, there are 43 ELSS schemes in India with a total AUM (Assets Under Management) of Rs 2.32 lakh crore, as per AMFI data. Features of ELSS Equity-based: Most of your money is invested in stock markets so there is higher risk but also higher return potential. Tax-saving: Deduction of up to Rs1.5 lakh under Section 80C (old regime only). Short lock-in: Three years, the shortest among all tax-saving instruments under 80C. Flexible investing: You can invest via a lump sum or start small with SIPs (as low as Rs 500). For lump sum investments, the countdown starts on the day you invest. For SIP investors, each monthly installment is locked in for 3 years individually. So, if you invest Rs 2,000 every month, your January 2025 installment will be available for withdrawal in January 2028, and so on. ELSS: Tax Benefits If you are under the old tax regime, you can claim up to Rs 1.5 lakh deduction under Section 80C. This can translate to a tax saving of up to Rs 46,800 in a year (if you're in the 30% slab). Returns after the 3-year lock-in are taxed as long-term capital gains (LTCG). Gains up to Rs 1 lakh per year are tax-free; above that, you pay 10% tax without indexation. Is ELSS available in the new tax regime? ELSS does not offer tax benefits under the new tax regime. Even without the 80C tax benefit in the new regime, ELSS remains attractive for its high growth potential, short 3-year lock-in, flexible SIP/lump sum options, and strong average returns of around 14.5% over three years. How to Invest in ELSS Complete your KYC (with PAN, Aadhaar, and bank details). Pick a fund based on its past performance, ratings and fund manager. Choose your mode. Either a one-time lump sum or a monthly SIP. Invest through trusted platforms or directly on the AMC's (Asset Management Companies) website. Track your investment and decide post 3-year lock-in whether to redeem or continue. view comments First Published: July 14, 2025, 18:01 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Yahoo
12-07-2025
- Business
- Yahoo
Here are the top 5 things happy Americans do really well in retirement — how many are you doing?
Retirement represents a significant transition that most people are eager to make. In fact, a recent Wealth Enhancement survey found that 90% of older Americans don't regret retiring when they did, and 33% of retirees say their senior years are going better than expected. But a big part of enjoying retirement to the fullest is approaching it strategically. Here are some of the top things Americans do well in retirement — and why you should aim to emulate them. I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 6 of the easiest ways you can catch up (and fast) Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Recent data by Schroders found that 37% of retirees consider themselves comfortable, while 5% say they're living the dream. But 84% of Americans would like to better protect their nest egg from inflation. The best way to do that is to invest strategically. Some believe that retirees shouldn't invest in the stock market at all, but that's not wise advice. If you want your savings to outpace inflation, you must keep a portion of your portfolio in stocks. The exact percentage will depend on your income needs and risk tolerance. For some, a 50/50 split between stocks and bonds allows for moderate growth without causing undue stress. If you're more risk-averse, a portfolio that's 30% stocks and 70% bonds may be more appropriate for you. It's a good idea to work with a financial advisor on a retirement portfolio that produces income and growth so you don't have to worry about losing buying power from year to year. A recent Allianz survey found that 64% of Americans are more concerned with running out of money in retirement than dying. To avoid this, you need to have a carefully planned withdrawal strategy and be willing to make adjustments when needed. For many years, financial advisors have promoted the 4% rule, which advises withdrawing 4% of your savings in the first year of retirement and then adjusting future withdrawals to account for inflation. However, depending on the interest rates, a 4% withdrawal rate may not be optimal. In 2021, Morningstar stated that an ideal withdrawal rate for the typical retiree was 3.3%. It then adjusted that rate to 3.8% in 2022, 4% in 2023, and 3.7% in 2024 based on bond yields. However, in May 2025, Morningstar reported that Bill Bergen, the financial advisor behind the 4% rule, now believes that the safe withdrawal rate is closer to 4.7%. The figure is up for some debate, which is why it's a good idea to work with a financial professional who can help you stretch your nest egg during retirement. They will take into account your income needs as well as market conditions. Of course, it helps if you can be flexible about how much money you're drawing in case there's a period when you need to scale back. Read more: Americans are 'revenge saving' to survive — but millions only get a measly 1% on their savings. Taking care of your health in retirement may not just lead to a longer life — it could also save you money if you can stave off serious medical issues and keep your healthcare costs down. A recent Transamerica survey found that 67% of retirees today are prioritizing being healthy and fit. To that end, it's a good idea to establish a fitness routine that keeps you moving regularly. What that looks like depends on you (and it's a good idea to consult with a doctor before you start a new fitness regimen). For example, if you enjoy swimming, getting a membership at a community pool and doing laps three days a week could be a great activity. Or you could schedule a regular tennis match with a friend. And staying active doesn't have to be complicated. Walking is also a great form of exercise and is gentle on the body. If you love animals and can afford one, consider getting a dog. Companionship aside, it's a great way to push yourself to walk consistently. When you're working a full-time job and running a busy household, it can be challenging to find the hours to spend with the people who mean the most to you. The benefit of being retired is having the time to spend with the people you care about. So if that's what makes you happiest, make it a priority. Transamerica found that 58% of retirees today are spending more time with family and friends. If you don't have loved ones nearby, you may want to consider a move if it's financially feasible. Otherwise, don't forget that technology makes it easier than ever to stay in touch. If in-person contact isn't something you can do regularly, schedule a standing FaceTime date with your grown children, siblings, and other important people in your life to stay connected. It's not uncommon for retirees to lose their emotional footing once they're no longer somebody's employee. Unfortunately, many people tie their identities to a job. In retirement, it's easy to feel like you don't have a purpose and become depressed as a result. That's why it's crucial to discover a new purpose in retirement. And there are many ways to do that. You could go back to work. The Bureau of Labor Statistics reports that in 2024, 38.3% of Americans ages 65 and over worked part-time. Even if you don't need the money, working a few days or shifts per week could help you settle into your routine, meet new people and, with the right job, do something you enjoy. Volunteering is another great option to look at if you don't need to chase a part-time paycheck. According to the National Library of Medicine, various studies have found that volunteer work is associated with improved self-esteem, reduced depression, and an overall better quality of life. Finding a cause to support, or several causes, could give you something meaningful to do with your newfound free time. This tiny hot Costco item has skyrocketed 74% in price in under 2 years — but now the retail giant is restricting purchases. Here's how to buy the coveted asset in bulk Here are the 6 levels of wealth for retirement-age Americans — are you near the top or bottom of the pyramid? Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? Money doesn't have to be complicated — sign up for the free Moneywise newsletter for actionable finance tips and news you can use. This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
