Our daily roundup of retirement news your clients may be thinking about.

A Roth IRA could be a worse choice than clients think
Although a study has found that clients are more likely to end up with bigger retirement savings in a Roth IRA than a traditional IRA, they could also lose on some fronts, according to this article on Money. A Roth IRA would come ahead of a traditional IRA if clients move to a higher tax bracket in retirement, as it would mean the tax bite on the contributions is lower than when they opt to contribute the money to a traditional IRA. However, clients who move to a lower tax bracket in retirement would incur bigger savings if they contribute the money to a traditional IRA than a Roth.


Bloomberg


How to make your 401(k) last in retirement
Although retirees have to adopt a less aggressive approach to investing, leaving a bigger allocation in stocks is recommended, according to this article on Motley Fool. That's because in a low-interest environment, retirees need the better return potential of stocks to generate income. Instead of sticking to the 4% withdrawal rule, retirees should create their withdrawal strategy based on their financial circumstances to avoid outliving their nest egg.

8 tips to save a fortune, from everyday people who are retiring before 45
For people who have saved enough to retire or are on their way to leaving the workforce for good at an earlier age, it is important to have a clear and specific plan, according to this article on CNBC. People who want to follow in their footsteps should determine the amount they will need to secure their retirement and consider downsizing to free up more money to save, these early retiree wannabes say. They should also keep their fixed living cost low, keep track of their expenses by sticking to their needs and cutting back on wants and use public transport instead of owning a vehicle. People who want to retire early should keep their lifestyle low and start saving as early as they can.

Q&A: Veterans seek help on Social Security planning confusion
A veteran who received 50% rating from the Department of Veterans Affairs are advised to sign up for Medicare even if he is covered by his spouse's health insurance, according to this article on USA Today. “Given the distance that you live from a hospital, and in order to avoid late enrollment penalties, which never expire, enrollment in Medicare Part B, and perhaps in Part D, might be a good idea, given that your wife is retiring,” says an expert.

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