Classroom educators are coping with hybrid plans and pension fund shortfalls. Arizona. Kentucky. Massachusetts. Michigan. Pennsylvania. Rhode Island. Tennessee. In these states and others, teachers are concerned about their financial futures. The retirement programs they were counting on have either restructured or face critical questions.1,2 Increasingly, states are transferring investment risk onto teachers. Hybrid retirement plans are replacing conventional pension plans. These new plans combine a 401(k)-style account with some of the features of a traditional pension program. Payouts from hybrid retirement plans are variable – they can change based on investment returns. The prospect of

They are all too common. Many households think they are planning carefully for retirement. In many cases, they are not. Weak spots in their retirement planning and saving may go unnoticed. Couples should recognize that they may face major medical expenses.Each year, Fidelity Investments estimates how much a pair of newly retired 65-year-olds will spend on health care throughout the rest of their lives. Fidelity says that on average, retiring men will need $133,000 to fund health care in retirement; retiring women, $147,000. Even baby boomers in outstanding health should accept the possibility that serious health conditions could increase their out-of-pocket hospital, prescription drug, and e

Should you have to leave your federal job early, would you be eligible? You may anticipate working for the federal government until you retire.One question is worth considering, however: what if you have to leave your federal job because of a health issue before you reach retirement age? Is a disability retirement then in order rather than a voluntary one? In such an event, a consultation with your agency’s human resources specialist should be your first move. That HR officer can help you see if you can qualify for a disability retirement under the Federal Employees Retirement System (FERS). (There are also disability benefits available through the older Civil Service Retirement System, the

A Court of Appeals ruling could set the stage for a Supreme Court opinion. The fiduciary rule is now a retirement planning standard – at least in 47 states.A recent appeals court ruling has dealt a blow to this new financial industry regulation, which has been applauded by investors and financial professionals alike.1 You probably have heard of this rule; if not, here is a brief explanation. The fiduciary rule is the recent directive from the Department of Labor requiring financial professionals who serve as retirement plan advisors to adopt a fiduciary standard. In other words, the advisor must regularly put the client’s interest first in the client-advisor relationship.1 In Louisiana, Miss

Shop wisely when you look for coverage. Are you about to buy life insurance? Shop carefully. Make your choice with insight from an insurance professional, as it may help you avoid some of these all-too-common missteps. Buying the first policy you see.Anyone interested in life insurance should take the time to compare a few plans – not only their rates, but also their coverage terms. Supply each insurer you are considering with a quote containing the exact same information about yourself.1 Buying only on price. Inexpensive life insurance is not necessarily great life insurance. If your household budget prompts you to shop for a bargain, be careful – you could end up buying less coverage than