Although aging and health are large concerns for seniors, what is even a bigger worry is the possibility of running out of money. And if they do, what would be the alternatives for them?
If they own a home, selling it and live off of the money they receive for the sale? Or moving in with their adult children, which generally isn’t a good idea. Or staying in their home and use the funds from a Reverse loan to maintain their life and independence?
Here is an article that was recently published, discussing this number 1 concern:
Seniors Rank Finances, Not Health, as Top Retirement Concern
Posted By Alyssa Gerace On August 12, 2013 @ 6:15 pm In News,Reverse Mortgage | No Comments
“Americans aged 60 and older are more likely to be concerned about the sufficiency of their finances rather than a deterioration in health, according to a recent national survey .
More than half of respondents (53%) say they are concerned about whether their savings and income will be sufficient to last them for the rest of their lives, while another 33% were not concerned, according to the 2013 United States of Aging Survey, conducted by the National Council on Aging, UnitedHealthcare, and USA Today.
Among retired seniors, 43% relied on Social Security as their primary source of retirement income. More than four in ten (41%) of non retired seniors planned to rely on Social Security in retirement.
Despite future fears, most respondents reported no difficulty in affording current expenses.
For 66% of respondents, it’s “easy” to pay monthly living expenses, and only 18% reported the need to reduce regular spending in 2012 in order to pay a monthly regular bill.
However, nearly two in ten (19%) said it was “difficult” to afford monthly living expenses, based on current income and savings.
Six in ten seniors believe their health will stay the same in the next 5-10 years, the survey said. Another 13% think their health will improve, while less than a quarter (23%) predict their health will worsen during that timeframe.
While seniors believed their health wouldn’t change much in the upcoming decade, many aren’t doing anything to manage existing conditions or maintain good health.
Nearly two in ten (18%) seniors reported having five or more chronic health conditions, while 65% reported having two or more. However, more than half (51%) haven’t set any specific goals to manage health in the past year, while 43% have taken no steps toward preventing falls.”