Mellody's Money on the Move: You're Retired, Now What?

"If you're both in good health and you can afford it, one option would be for the higher earning spouse to delay their benefits until 70 and have the lower earner begin at an earlier age," Hobson said. "This way the surviving spouse will end up with the maximum amount of benefits. Remember, if the higher earner dies before 70, the survivor's benefit would increase to the amount that the deceased spouse would have earned."

How Do I Make Up Savings Lost in the Recession?

"It's heartbreaking. Many people saved and saved, doing everything right, only to be slammed by the greatest financial crisis since the Great Depression," Hobson said. "The best thing I would say is, 'Stay the course.' You want to keep saving. The silver lining in this story is that the market is up over 70 percent since its March 9, 2009, bottom."

Hobson said those over 50 should take advantage of the 401K catch-up provision and after that, you should put 40 percent to 60 percent of your money into stocks or in mutual funds and the balance should go into bonds and bond mutual funds.

Web Exclusive Tips for Retirees

The following tips were provided by "GMA" financial contributor Mellody Hobson exclusively for the "Good Morning America" Web site.

If you have not done so already, investigate buying long-term care insurance as soon as possible. This insurance will be very valuable if you need extended care for an illness or injury. The longer you wait, the more it will cost.

Make sure you have completed the proper estate planning. You should have a will and a power of attorney in place. This will save you and your family from making agonizing health and financial decisions.

If you can avoid it, try not to withdraw money from your tax-deferred accounts (e.g. 401K) early. Not only will you avoid penalties and taxes, but you will also allow your assets to compound and grow further.

Click here to return to the "Good Morning America" Web site.

-- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272. -- This embed didnt make it to copy for story id = 10473272.
Page
  • 1
  • |
  • 2
Join the Discussion
You are using an outdated version of Internet Explorer. Please click here to upgrade your browser in order to comment.
blog comments powered by Disqus
 
You Might Also Like...
See It, Share It
Baby Lemur Relaxes on Mom
Jens Meyer/AP Photo
PHOTO: Debra Messing, left, attending the premiere of Smash in New York City on Jan. 26, 2012 and right, attending the Broadway opening of Outside Mullingar on Jan. 23, 2014 in New York.
Jim Spellman/Getty Images | Bruce Glikas/Getty Images
PHOTO: Los Angeles Angels first baseman Albert Pujols watches the ball after connecting for his 500th career home run,April 22, 2014.
Pablo Martinez Monsivais/AP Photo
PHOTO: Online services such as AllPaws.com help match people with the perfect pet.
Courtesy Darrell Lerner/AllPaws.com