Friday, August 9, 2019
Bankrupt in retirement - Hustler Daily Thumbs Up - August 9
Hello fellow Encore Hustlers
Read this Financial Times (UK) story about the dramatic rise of bankruptcies in retirees.
In 1991 the rate of bankruptcies for over-65's was only 2 percent. A generation later the rate has increased sevenfold.
There are multiple reasons for this increase. In that time pensions have largely gone away and retirement savings through IRA's and 401k's have proven to be inadequate to cover retirees who are living longer. Also this longer live has led to increased medical costs that further drain savings.
Ofttimes the only recourse retirees have to cover daily living expenses it to use credit cards, which amazingly are offered, with credit limits of tens of thousands of dollars, to people whose only source of income is social security.
If you are retired and finding that your monthly expenses are perilously close to your retirement income, please consider an encore hustle to keep you out of bankruptcy court.