As a retirement consultant with years of experience helping people plan for financial milestones, Allan Densmore knows how to maximize retirement income. He teaches his clients how to buy guaranteed income at a discount through secondary sources, a method of generating retirement funds that few people know how to execute. Allan Densmore also provides valuable tips on supplementing retirement income.
There are many other unusual sources of retirement income. Some retirees earn extra money by participating in a cottage industry, like backyard gardening or creating artisan scarves, ties, or other clothing. Others offset travel costs by working as camp hosts as they tour the country or taking on caretaker positions at historic sites or the homes of the wealthy. Still others take advantage of seasonal employment opportunities, like tax preparation, which, although insufficient to provide a conventional income, are ideal for supplementing retirement income. Other chances to generate extra income in retirement include serving on the boards of nonprofits, tutoring, and caregiving.
Having spent the past decade helping recent retirees organize, manage, and enhance their retirement income plans, Allan Densmore has compiled a collection of ways to extend retirement funds.
While most people wouldn’t expect their financial assets to last forever, there are certain techniques that can help stretch an individual’s retirement income. Among the most important tips for increasing financial strength in preparation for retirement is the calculation of living and spending costs summed up in a cash flow analysis. Although everyone expects to retire someday, 47 percent of people say that neither they nor their spouse have made such a projected financial analysis for their retirement.
Very important, but less popular, is the idea of delaying retirement. For obvious reasons, putting retirement on hold will afford you more money to spend when the time comes. Worth noting are the statistics that the median age of retirement in 1991 was age 59, while in 2003 it had increased to age 62.
An integral part of any retirement plan is an individual’s 401(k) and his or her respective investment portfolio. It is recommended that investment accounts be reviewed on a number of occasions to assess increased potential for returns. Another significant change would be to put off collecting Social Security until a later age, because starting to collect benefits at age 70 means your monthly check will be nearly twice as large as the income you would receive if you start collecting Social Security at age 62.