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J U N E , 2 0 1 6

I

f you are reading this article, you most likely live in an

Adult Community. CONGRATULATIONS! You have

taken the first step toward financial security by

TIP # 1:

Downsizing your home.

Many seniors’ largest asset is the equity in their home. As

most folks do, during your working years, you purchased a

single family home that may no longer be mortgaged. You

thus have an untapped resource of funds in the equity of this

home. Even if you have not paid off the entire mortgage,

the value of your home, if purchased forty (40) - plus years

ago, should have significant accumulated equity. By down-

sizing to a smaller home or condominium, you have tapped

this resource to assist you in achieving financial security.

According to data compiled by the Social Security

Administration, “a man reaching age 65 today can expect

to live, on average, until age 84. A woman turning age 65

today can expect to live, on average, until 86.5. These are

averages. About one out of every four 65-year -olds today will

LONGEVITY & YOUR FINANCES

TIPS FOR A FINANCIALLY SECURE RETIREMENT

By Lisa Vitiello, CPA, President

Towne & Country Management, Inc.

© iStockphoto.com

live past 90, and one out of ten will live past age 95”. Put

simply, with life expectancy on the rise, you will need all of the

money that you are able to save. Therefore,

TIP # 2: Don’t

gift your money to your kids.

Here’s a better idea. Let

your kids gift you your vacations, dinners, and theater!!! They

have a much longer time to save than do you.

If your finances are tight and you are 62 years or older,

TIP # 3: Consider a reverse mortgage.

Even if

you downsized to your current home, you may still have

equity in your home. A reverse mortgage allows you to

access this equity and defer payment of the loan until you

are no longer living in the home. There are other eligibility

requirements with a reverse mortgage, however, so please

visit www.portal.HUD.GOV.

Your financial needs are different as you age. Mortgage

payments get replaced by medical and dental expenses, as

well as supplemental medical plans (think AARP). Therefore,

TIP # 4: Prepare a new personal budget.

Include

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