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Offbeat 5 Proven Ways to Boost Your Retirement Income

22:56  05 august  2018
22:56  05 august  2018 Source:   fool.com

This is the No. 1 thing Americans save money for

  This is the No. 1 thing Americans save money for Hint: It's not retirement.Load Error

Want more money in retirement ? Who doesn't? Here are a few tricks for getting your hands on some extra cash during your golden years.

If you're worried about staying afloat financially in retirement , the solution is simple: Take steps to boost your income . Here are a few solid ways to achieve that goal. Compare Brokers. Current. 5 Proven Ways to Boost Your Retirement Income @themotleyfool #stocks.

Senior couple at a supermarket, reaching for fruit in a bin. © GETTY IMAGES Senior couple at a supermarket, reaching for fruit in a bin.

Running out of money in retirement is a major concern for those approaching that milestone, and that includes folks who have saved substantially. If you're concerned about depleting your nest egg too quickly, you should know that there are several steps you can take to boost your retirement income and buy yourself some much-needed peace of mind. Here are just a few options you might explore.

1. Save in a Roth IRA

Many savers opt for traditional IRAs over Roth accounts during their working years because with the former, you get an immediate tax break for making contributions, and with the latter, you don't. But one major benefit of housing your savings in a Roth IRA is that withdrawals are taken tax-free, which means that whatever sum you carry into retirement is yours to use in full. Traditional IRA withdrawals, by contrast, are taxed as ordinary income, which means you're paying your highest possible tax rate on them.

3 ways to boost your Social Security benefits in your 60s

  3 ways to boost your Social Security benefits in your 60s It's not too late to increase your take-home from America's most important social program.As for future retirees, national pollster Gallup found a strong expected reliance in an April 2018 survey. When polling nonretirees, Gallup observed that 30% expect Social Security to be a "major source" of income during retirement, with another 54% forecasting it to be a "minor source" of income. Overall, this combined 84% that will need Social Security in some capacity when they retire ties a high-water mark for nonretirees over the past 15 years.

Here are some valuable ways to increase your retirement income : 1. Take advantage of retirement savings accounts. Compare Brokers. Current. 5 Proven Ways to Boost Your Retirement Income @themotleyfool #stocks.

Here are five effective ways to boost your retirement income . Compare Brokers. Current. 5 Proven Ways to Boost Your Retirement Income @themotleyfool #stocks.

2. Delay Social Security

Though your Social Security benefits are based on your earnings record (specifically, your top 35 working years), the age at which you file for them can affect your payout each month. If you file for benefits at your full retirement age, you'll get the full monthly benefit your work history entitles you to. But if you delay benefits past full retirement age, you'll snag an 8% boost for each year you wait, up until you turn 70. That means if you're looking at a full retirement age of 67, which is the case if you were born in 1960 or later, and hold off on filing until you turn 70, you'll get a 24% benefits increase -- for life.

3. Invest in municipal bonds

Filling your portfolio with bonds is another good way to boost your retirement income. If all goes well, meaning your bond issuers don't run into financial trouble and default on their obligations, you can look forward to interest payments twice a year that can serve as a source of cash when you need it. But if you invest in municipal bonds -- those issued by cities, states, and other localities -- as opposed to corporate ones, those interest payments will be yours free and clear of federal taxes. And if you buy municipal bonds issued by your home state, you'll avoid state and local taxes to boot.

Ready to retire? 3 ways you might benefit from working 1 extra year

  Ready to retire? 3 ways you might benefit from working 1 extra year Before you call it quits on the career front, consider how putting in one more year could work wonders for your golden years.Extending your time in the workforce for 12 months isn't nearly the same thing as forcing yourself to put in an extra half-decade, and if you're willing to make that effort, you stand to benefit in a number of ways. Here are a few you'll appreciate.

Don't leave your retirement to chance. Here are some things you can do to make your financial future more secure.

But there's a lot more flexibility to retirement income than you may think. Here are 10 ways that you can boost your income in retirement -- with some requiring action now and some later.

4. Load up on dividend stocks

Though stocks are a riskier investment for seniors than bonds, they still have a place in your retirement portfolio. And if you acquire some dividend stocks, you'll have yet another means of generating extra income. Similar to bonds, which pay interest, dividend stocks typically make quarterly payments to investors, which means that if you retain them, you can look forward to a steady stream of income. Another great thing about dividend stocks is that even when the stock market on a whole is doing poorly, if you invest in strong enough companies, you'll still have that added income to look forward to, which can help offset other losses you might take in your portfolio.

5. Monetize your hobbies

Many seniors choose to work part-time in retirement to generate more cash. But if the idea of bagging groceries or going back to a desk job doesn't appeal to you, especially after a lifetime of hard work, then a better idea is to turn the things you enjoy doing with your time into a viable income stream. There's a host of hobbies you can monetize as a senior, whether it's gardening, baking, knitting, or crafting, and while going this route may not make you rich, it could serve as a painless way to supplement your income.

Social Security will not protect retirees from rising income inequality, study finds

  Social Security will not protect retirees from rising income inequality, study finds Wealthier retirees will soon be doing even better, while lower-income older people will struggle more than they already are, according to the Urban Institute.That's the takeaway from a new report by the Urban Institute, a progressive think tank in Washington, D.C., and funded by the Department of Labor, which analyzed how rising inequality will shape the landscape of American retirement.

4. Keep working in retirement . Another way to boost your retirement income is to work during the first years of your retirement -- at least a little. Working just 12 hours per week at per hour will generate about 0 per month.

If a person still has a few years before reaching retirement age there a few ways they can generate some additional income . What are some of the ways of creating extra retirement income ? 5 Proven Ways to Boost Your Retirement Income .

Even if you're going into retirement with a healthy amount of savings, it never hurts to take steps to boost your income even more. If anything, it'll help alleviate some of your financial worries so you're able to enjoy your golden years to the fullest, like you deserve.

SPONSORED: The $16,728 Social Security bonus most retirees completely overlook

If you're like most Americans, you're a few years (or more) behind on your retirement savings. But a handful of little-known "Social Security secrets" could help ensure a boost in your retirement income. For example: one easy trick could pay you as much as $16,728 more... each year! Once you learn how to maximize your Social Security benefits, we think you could retire confidently with the peace of mind we're all after. Simply click here to discover how to learn more about these strategies .

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Two unexpected ways the new alimony tax rules affect your retirement savings .
Starting next year, new divorce agreements will be subject to different tax rules. Here's what that means for your retirement accounts. It's all a part of the Tax Cuts and Jobs Act that was ushered in by Congress late last year.Under the new regulations, the individual who pays alimony to an ex-spouse will no longer be able to deduct those payments. And the recipient of the money will no longer pay taxes on that income.The law applies to divorce agreements that are formed after the New Year.

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