Americans are spending more money after they retire

Most people expect to spend less money after they retire. But that might not be the case — at least not at first.

Spending rose for more than half of taxpayers during the first three years after claiming Social Security, according to a report based on tax data and analyzed by economists at the Investment Company Institute and the IRS.

Those with lower incomes were most likely be spending more than they were pre-retirement. Middle-income earners spent about the same, and the higher-income earners spent slightly less.

The report defined spending as how much income an individual had after taxes. It included salary and wages, Social Security benefits, and distributions from retirement accounts and pensions.

“For many individuals, retirement appears to be a multi-year transition rather than an action taken at a discrete point in time,” the researchers wrote.

In fact, nearly half of people were still working three years after claiming Social Security.

But this doesn’t mean spending won’t slow later in retirement, researchers said.

Of course, your spending could drastically fluctuate from year-to-year, especially if you plan to be retired for 30 years or longer. (Most people followed in this report claimed Social Security at age 62.)

It’s tough to save for a moving target, but there is one rule of thumb experts recommend. It suggests people prepare to spend about 70 percent of your pre-retirement income in retirement.

People expect to spend less because they’re no longer saving for retirement and your tax bill is likely to drop. Maybe your transportation costs will fall if you’re no longer commuting to work. Or you could have your mortgage paid off.

But on the other hand, you’ll have more time to travel and might spend more money on leisure activities — which could be more likely in the beginning of your retirement.

The median taxpayer’s spendable income at three years after claiming Social Security was 103 percent of their income from one year before collecting, the report said. It followed individuals from 1999 to 2010.

North Korea fires possible missile, may have landed off Japan

Japan’s prime minister says North Korea has fired what is believed to be a missile and it may have landed in the sea off Japan.
 
Prime Minister Shinzo Abe told reporters that officials are analyzing the apparent launch and that he has called a meeting of the National Security Council.
 
In Washington, a Pentagon spokesman, Navy Capt. Jeff Davis, confirmed that a launch of a ballistic missile from North Korea had been detected.
 
He said, “We are assessing and will have more information soon.”
 

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The post US Ambassador Hints Support For Venezuela Reason For New Sanctions On Nicaragua appeared first on MintPress News.

Dave Aronberg’s wife says opposing views on Trump contributing to divorce

The wife of a Florida Democratic state prosecutor said she is getting divorced, in part because she supports President Donald Trump and he doesn’t.

Lynn Aronberg said in a news release Thursday that she is “amicably” divorcing Palm Beach County state attorney Dave Aronberg.

Lynn Aronberg said she is a “staunch Republican and supporter of President Trump,” while her husband is not. She says that fact led her to feel “increasingly isolated in the marriage.”

The 37-year-old former Miami Dolphins cheerleader and public relations consultant said she is getting a $100,000 settlement, including a new BMW and $40,000 in cash.

Dave Aronberg is a former state senator who was elected to his current office in 2012.

The spokesman for the 46-year-old prosecutor said Aronberg had no comment.