News Direct

Author: Rebecca Holland

  • Millions of US retirees face paltry Social Security COLA forecast — ways seniors can protect their savings

    Millions of US retirees face paltry Social Security COLA forecast — ways seniors can protect their savings

    More than 52 million retirees are registered Social Security beneficiaries in the U.S., taking home an average check of $1,999.97 per month as of April after a lifetime of hard work. While the benefit is meant to supplement income rather than replace it once a worker retires, according to Gallup polling, beneficiaries have increasingly become more reliant on Social Security since the millennium.

    In an effort to keep up with inflation, Social Security benefits are subject to a cost-of-living adjustment (COLA) every year. But the next one might come as a disappointment. According to The Senior Citizens League (TSCL), the 2026 COLA forecast as of May 13 stands at only 2.4%, below the average of annual increases seen since 2010.

    Don’t miss

    So, what does this mean for American retirees, and what can they do to boost their savings so they can rely less on Social Security to replace their income in retirement?

    A look at COLA

    A 2.4% COLA increase in 2026 would be the smallest percentage increase since 2020. With inflation cooling, but still present, and experts anticipating tariffs will increase costs in the short term, many retirees may desire more from their monthly check.

    So, how does the Social Security Administration (SSA) calculate the COLA? The figure is typically tied to the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) within a specific period of time. The CPI-W measures inflation or deflation on 200 different price indices, allowing the SSA to track how consumer spending and buying power are affecting average Americans.

    However, critics of the formula argue it doesn’t correspond to the spending of beneficiaries. Spending on health care, for example, is generally higher among retirees compared to the average worker, yet this is not reflected in the calculation.

    In addition, COLA may not be keeping up with real inflation figures (keep in mind, they’re announced the year before being implemented). A study published by TSCL in 2024 showed that Social Security benefits had lost 20% of purchasing power since 2010, with inflation outpacing COLA in most years.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    How to protect your retirement savings

    Are there ways retirees and those who are retiring soon can shore up their savings and become less-dependent on Social Security to pay the bills?

    Investments may be key. Conventional wisdom says those already in retirement should opt for a safer mix of investments, relying more on bonds, securities and high-interest savings accounts. If you have the resources, dividend-paying investments can be helpful in retirement.

    Many retirees who are worried about inflation eating away at their hard-earned savings invest in Treasury Inflation-Protected Securities (TIPS). These bonds are issued by the U.S. Treasury and are adjusted along with the rate of inflation, so your buying power is safeguarded as the bond grows. Conversely, however, investors receive lower payouts if deflation occurs.

    Retirees should be careful budgeters, reducing their expenses to a minimum. It’s wise to review your spending regularly to account for every penny collected and spent. If you’re tech-savvy, many banks and tech companies offer spending tracking apps that you can use on your smartphone or online, helping you see your cash at a glance.

    If you have trouble reining in your expenses, or are looking for more room in your budget for investing, consider speaking to a qualified financial advisor who can help you make the most of your retirement, and ensure that — whatever COLA increases are in your future — you can live well beyond your working years.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • I make $140K and just got an offer for a new job at $170K — but here’s the catch: I have to transition from remote to hybrid work. Is the extra cash worth commuting again?

    I make $140K and just got an offer for a new job at $170K — but here’s the catch: I have to transition from remote to hybrid work. Is the extra cash worth commuting again?

    For many remote workers, the flexibility offered by working at home can’t be beat.

    In a McKinsey survey from 2022, 21% of remote workers reported that getting a remote role was their primary motivation for seeking a new job. Furthermore, according to an independent survey of more than 12,000 respondents who work remotely, the ability to work from anywhere has increased their happiness by as much as 20%.

    Don’t miss

    So what if you’re currently on the job hunt, and have received a nice offer, but now find out it will mean you need to work from the office for at least three days a week? Is it worth it to trade in your sweats for a rush-hour commute? We’ll break down the added costs of office-based work, plus the benefits that you might enjoy.

    The scenario

    Say you’re currently making $140K with a 10% performance bonus. Your new offer has a base salary of $170K with a 15% bonus. However, you’ll be leaving a fully-remote role for a mandatory hybrid working arrangement, with three days a week in-office.

    The extra salary could help you afford a down payment on your own home, which is your major financial goal.

    So what would the extra salary look like on your monthly paycheck? If you live in California, for example, your total income after taxes would be $114,921, not including deductions for health insurance or any contributions to retirement accounts. In contrast, your current take-home pay at your $140,000 salary is $97,119. So the difference is $17,802, or $1,483.50 per month. When you consider your health care and retirement savings costs, you can target about $1,000 extra per month in income — which isn’t bad, but might not be enough to get you meaningfully closer to your goal of homeownership.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Additional costs for your new role

    If you choose to transition back to working in-office, you’ll have to consider your transportation costs. As a remote worker, you may not have a car, or you may not use your car very often. With potentially long commutes ahead of you, you’ll need a reliable vehicle, a healthy gas budget, and some savings set aside in case of accidents or repairs. You may also need to consider whether your current auto insurance will be sufficient for your needs. If you work in the city, parking might also become a monthly expense you’ll need to factor in.

    Many office workers prefer the convenience of having their lunches or even dinners at restaurants. Even if you brown bag it two out of the three days you’re in the office, your food budget can balloon when you’re surrounded by options for meals on the go. It’s also true that you’ll feel more tempted to treat yourself to social drinks or dinners with colleagues after work, or other activities that can take a bite out of your entertainment budget each month.

    But there’s something to be said for the value of that informal off-the-clock socializing, especially if you’re hoping to climb the ranks at your new workplace.

    You just need to be prepared for these added costs because the temptation for lifestyle creep could be a real concern. When you feel like you’re earning more, regardless of what the numbers in your bank account say, you may be tempted to splurge on luxuries like extra vacations, a new car or even more frequent discretionary purchases like clothes shopping and dining out. These costs could quickly eat up your extra $1,000 per month, and even leave you with less money for saving than you had before.

    The bottom line

    While it may sound as if we’re advising you against taking a new role, the truth is that it’s almost always a good idea. Your role is likely to be additional good experience you can add to your resume and help you in the future in your career.

    If you’re feeling underutilized in your current role, or you’re not growing, a new role can break you out of your rut, and also make you more competitive in the job market. In today’s layoff-heavy climate, staying relevant with new skills and better titles is a must.

    You can also look at the role as an experiment — if you find that the commuting and lifestyle changes aren’t worth it after six months to a year in the role, you can hit the job market again and find something that suits you better, hopefully this time with even more skills to aid you in your search.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • Trump signs order to ‘restore accountability’ at Veterans Affairs and create LA center for 6,000 homeless veterans — with the funding to come from cash meant to house undocumented immigrants

    Trump signs order to ‘restore accountability’ at Veterans Affairs and create LA center for 6,000 homeless veterans — with the funding to come from cash meant to house undocumented immigrants

    On May 9, President Donald Trump signed his 150th executive order of 2025, directing Veterans Affairs (VA) to create a center for homeless veterans in Los Angeles on the VA’s West L.A. campus.

    This site has been subject to legal troubles recently. Last fall, a federal judge ruled the VA failed veterans in its fiduciary duty to provide them with housing. The judge ordered additional housing and invalidated leases of portions of the land given to civilian entities, including UCLA and a private school. The decision has been appealed.

    The executive order instructs VA chief Doug Collins to prepare a plan within 120 days to house 6,000 homeless veterans on the campus by 2028, and take action to “restore accountability” at the department.

    Don’t miss

    Trump also ordered that “funds that may have been spent on housing or other services for illegal aliens are redirected to construct, establish and maintain” the new facility, which will be called the National Center for Warrior Independence.

    It has not been made clear which programs for housing and undocumented immigrants will be required to give up their funding, or how these funds will be reallocated to the project.

    Veteran services in LA

    The White House acknowledged that L.A. is the city with the largest share of unhoused veterans in the country.

    “Los Angeles has approximately 3,000 homeless veterans — more than any other city in the country and accounting for about 10% of all homeless veterans in America," The White House said in a statement released May 9.

    The existing Veterans Affairs Supportive Housing program (HUD-VASH) seems to be ineffective in helping veterans secure stable housing. In 2024, the VA Greater Los Angeles Healthcare System reported that while there were 8,453 HUD-VASH housing vouchers available for housing veterans in the greater Los Angeles area, only 62% were in use. A report in the Los Angeles Times attributed this middling figure to delays in processing and resistance from landlords to accept them.

    Reaction from veterans

    A number of veterans viewed Trump’s executive order as a positive sign.

    The Veterans Collective, which has a contract with the VA to construct approximately 1,200 housing units on the campus, issued a statement saying it “enthusiastically applauds President Trump’s plan for a national center for homeless veterans,” according to the Los Angeles Times.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Others, however, took a cautiously optimistic approach.

    “The President’s Executive Order is a right thing but not yet the right thing,” Anthony Allman of Vets Advocacy told the news publication. "We look forward to working with the administration to make the right things — housing, community, workforce development — available to veterans.”

    Trump’s cuts to the VA

    The executive order comes in the midst of substantial cuts to staffing for Veterans Affairs. The White House statement on the executive order notes that the president signed legislation to “remove thousands of VA workers who failed to give our vets the care they so richly deserve.”

    The Trump administration aims to cut the VA’s workforce by 15% under DOGE, according to NPR. Approximately 470,000 people are employed by the VA, the vast majority of them medical professionals. The broadcaster reported on May 10 that 11,273 VA employees across the country had applied for a deferred resignation. About 1,300 of these applications were from nurses, 800 from medical support assistants and 300 from social workers.

    The Iraq and Afghanistan Veterans of America organization conducted a poll in which more than 80% of veterans said they are concerned about the recent federal cuts and their impact on veteran benefits and health care.

    "A lot of veterans are calling us, and they’re worried because they’re afraid that this is going to affect their health care, this is going to affect the benefits," Dan Clare of Disabled American Veterans told NPR.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • I’m 57 years old and paid off my 1,300-square-foot house 6 months ago — but I’m upgrading my HVAC system and need new flooring. How can I finance this without racking up long-term debt?

    I’m 57 years old and paid off my 1,300-square-foot house 6 months ago — but I’m upgrading my HVAC system and need new flooring. How can I finance this without racking up long-term debt?

    You’ve done it. At 57 years old, you’ve cleared the mortgage on your home — a major milestone most Americans only dream about. No more monthly payments looming, no lender breathing down your neck.

    But now, with epic timing, your HVAC system decides to give up the ghost with summer just around the corner and your floors look like they’ve survived a small war. Suddenly, you’re faced with a critical question: What’s the smartest way to finance these urgent repairs without jeopardizing your newfound financial freedom?

    Don’t miss

    In the end, the smartest move balances immediate needs with long-term financial security. Let’s figure it out.

    Tapping your home’s hidden wealth

    When you own your home outright, one of your strongest financial advantages is the equity you’ve painstakingly built up. That equity can now be your best friend or worst enemy, depending on how you leverage it.

    A common go-to solution is the home equity loan, a one-time loan using your house as collateral – typically offering a lump sum at a fixed interest rate.

    The beauty of a home equity loan lies in its predictability. Unlike variable-rate financing, you know exactly how much you owe each month, which can make budgeting easier. Home equity loan interest rates are generally lower than unsecured loan options (like personal loans or credit cards) because a borrower’s property secures the loan.

    Lenders view these loans as less risky since they can recover their money by foreclosing on the property if the borrower defaults. But home equity loan rates are not always lower than other secured options like home equity lines of credit or cash-out refinances.

    Currently, home equity loan rates can sit around 6.990% for a 30-year term, which is relatively high compared to pre-pandemic levels.

    But let’s pump the brakes for a second. While a home equity loan sounds attractive, it carries risks. The biggest one? You’re putting your home on the line. Miss payments, and the bank can swoop in and take what you’ve worked decades to fully own.

    Any borrowing — home equity loan, credit cards, you name it — is a gamble these days, as your repayments will compete with rising grocery prices and other everyday costs in a tariff environment. It’s crucial to assess your financial stability and realistically consider your ability to handle monthly repayments.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Credit cards and personal Loans: Convenience at a price

    Maybe you’re tempted to whip out your credit card for the HVAC unit and new flooring. After all, it’s quick, easy and tempting. Credit cards, especially those with rewards, cashback or 0% introductory rates, can offer immediate relief.

    If you can snag a card with an introductory period of zero interest, and you’re disciplined enough to pay off the balance before that honeymoon ends, this could be a cost-effective solution. But credit cards can quickly become a financial trap. Interest rates regularly rise above 20% and if you slip up even once, your convenient fix can become a lingering debt monster that chews up your disposable income month after month.

    Another path is personal loans, which offer the advantage of unsecured financing, meaning your home isn’t directly at stake. Interest rates for personal loans are typically lower than credit cards but higher than home equity loans.

    With fixed monthly payments and predictable terms, personal loans offer clarity without risking your property. But if your credit score isn’t robust, expect unfavorable terms and higher costs.

    Choosing the right financial lifeline

    Deciding which option is for you begins with closely examining your financial health. How much disposable income do you realistically have each month? If it’s substantial enough to comfortably handle repayments, the predictability and lower rates of a home equity loan could offer the best value. But if you’re wary of placing your home at risk or if the thought of leveraging equity makes you uneasy, personal loans become a safer middle ground, offering transparency without direct stakes in your property.

    Next, take a hard look at the repair costs. Is the project extensive, running into tens of thousands, or are we talking about a more manageable sum? For smaller amounts, credit cards — especially those with promotional zero-interest periods — might work if you’re disciplined. If there’s any doubt about your ability to clear the balance quickly, steer clear.

    Interest rates and repayment periods matter significantly, too. Compare current rates offered by banks, credit unions and online lenders. Credit unions, in particular, often offer more favorable terms, particularly if you’ve been a long-time member.

    Lastly, consider timing. If your HVAC system failed at the worst possible moment, financing might be urgent. But even then, take a beat. You’ve spent years working toward financial security. Protecting your finances means making a calculated decision, not one driven purely by urgency.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘They’re double-dipping’: San Diego residents given a chance to oppose a controversial new trash collection fee — but there’s a catch. Why they say the city is being ‘unfair’ and ‘sneaky’

    ‘They’re double-dipping’: San Diego residents given a chance to oppose a controversial new trash collection fee — but there’s a catch. Why they say the city is being ‘unfair’ and ‘sneaky’

    Some residents of San Diego are speaking out about what they call a “sneaky” attempt on the city’s part to introduce a new trash collection fee.

    California Proposition 218 requires all city councils to mail information to every homeowner regarding proposed fees and to reject the fee if a majority of homeowners return written protests.

    While the city has included a form to be filled out by homeowners who want to reject the fee, citizens like Duane Wittmeier say that the mailer looks like junk mail, and is easy to overlook.

    Furthermore, the flyer is three pages, double-sided, with densely packed paragraphs, and the instructions included for rejecting the proposed fee are difficult to understand.

    "By sending this flyer out saying, ‘We’re just going to charge you if [you] don’t notice it, we’re just going to give you a bill,’ and I think that’s pretty clever of them to do that. I think it’s sneaky, I think it’s wrong," Wittmeier says.

    Don’t miss

    What is San Diego’s new controversial trash collection fee?

    The flyers were sent out in April, with a deadline to respond by June 9. The new proposed trash collection fee is $47.50 per month, which adds up to $570 per year.

    Retiree John Horwath says, “You know, that $47.50 doesn’t seem like much, but on a fixed income, it sure is.”

    Wittmeier maintains that trash collection is already a part of property taxes that each San Diego homeowner pays.

    "I think they’re double-dipping. Our property taxes already indicate that there are services there. That’s what it’s been since it started," he says.

    NBC’s local 7 News station in San Diego reports that just three years ago in 2022, voters approved a ballot measure with a suggested trash collection fee between $20 to $30 per month. The city sent out an updated estimated charge of $53 for trash pick up earlier this year, which was widely rejected by constituents. This new fee is an attempt to bring the costs closer to the original estimate.

    In a statement delivered by a spokesperson, the City of San Diego defends the fee.

    "Residents in every other city in San Diego County pay for their trash services, as do all the City of San Diego residents who live in apartments, condos and on private streets — about half our population… What the City is proposing will free up millions of dollars in the City’s operating fund to pay for priorities like parks, libraries, police and firefighters and road repair."

    What is the opposition to the trash collection fee?

    A number of citizens remain strongly opposed to the fee. One San Diego resident who did not give the local CBS news station her name says, "I would like to see every homeowner in San Diego fill out the form, get help from the city in terms of filling it out the way it should be, filled out according to your home ownership, how your home ownership is labeled, and then get the form into the city in time so that we have more than 50% of homeowners voting against this."

    To the city, she says, “If it’s not broken, don’t fix it. And for heaven’s sake, don’t fix it and then charge me for the fix.”

    CBS reports that while the flyer includes a form that can be detached and mailed in, citizens are required to pay the postage to return the form. It may also be handed in at the office of the City Clerk.

    Speaking to the local NBC News station, Garrison Ham, who sits on the taxpayers’ association board, shares his concern that citizens are now being asked to pay more than they expected when they cast a vote.

    “It is unfair to charge residents and ratepayers additional funds if the city government isn’t able to balance its budget through its other programs,” he says.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    The city is facing a $258 million shortfall in its latest budget. Mayor Todd Gloria’s new proposed budget includes the projected revenue from the trash collection fee to balance the books. The fee is set to take effect in July if a majority of local homeowners don’t file their written objections.

    How do the proposed San Diego trash collection fees compare to other cities?

    The city’s website, insidesandiego.org, published an article on April 9 with further justification for the fees, comparing the proposed rates with other metros in California.

    “San Diego’s proposed fee for service is significantly less than Sacramento, which charges $57.79, and Long Beach, which recently approved a fee of $67.63. Oakland and San Jose have the highest fees, at $160.27 and $160.35 per month, respectively.”

    The article further states that the fee simply brings the city in line with others in California.

    “San Diego is one of the only cities in California, and the only city in the county, that does not directly charge residents a fee for trash and recycling collection.”

    Laws for the state of California do not restrict the imposition of any new fees for citizens from City councils, provided they receive less than a majority of written opposition to the proposal.

    How can citizens respond to the proposed trash collection fee?

    The City of San Diego maintains that — as the new trash collection fee only applies to homeowners — many of San Diego’s residents will be unaffected by the charge. However, these residents too get a say.

    Beyond the necessary step of returning a written protest to the fee, concerned citizens can connect with the taxpayers’ association board for further resources and to lend their support. Homeowners are also urged to call the offices of their city council members to voice their opposition to the fee.

    The public meeting about the fee is scheduled for June 9 — the same day the written rejections of the fee are due. San Diegans can attend the meeting to speak directly to city officials about their concerns.

    Finally, homeowners can ensure their neighbors are aware of the flyers from the city, which are easy to overlook. Concerned residents can volunteer to help neighbors and friends fill the forms correctly and to return their forms to the city clerk.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • ‘You never talked to me’: Las Vegas woman says mix-up with her power company left her in the dark — and with a fridge full of spoiled food. Now she wants policy changes

    ‘You never talked to me’: Las Vegas woman says mix-up with her power company left her in the dark — and with a fridge full of spoiled food. Now she wants policy changes

    A Las Vegas woman is asking for a policy change at NV Energy and the Public Utilities Commission of Nevada (PUCN) after her power was cut without her knowledge while she was away on vacation, and was nearly cut off again just three months later.

    LaShanna Butler returned home from her holiday in October at 1 a.m. to find her power cut. All the food in her fridge and freezer had spoiled because of the outage, and had to be replaced at an expense of $400 to her.

    She reached out to NV Energy, who told her someone had called their offices to say a new tenant was moving in. The representative told Butler they had sent her a letter about the matter. The letter was dated Oct. 6, and said power would be cut the following day, on Oct. 7.

    Don’t miss

    “I said, ‘You never talked to me,’” Butler told KLAS 8 News Now.

    In January, Butler received another letter. This one, dated Jan. 18, said power would be shut off on Jan. 17. Moreover, the postmark on the letter shows it wasn’t mailed until Jan. 21.

    “So, you’re going to cut my power off on the 17th, but you don’t even mail it until the 21st — that’s four days later,” she said.

    What happened to the power

    Reporters from 8 News Now say they spoke to PUCN and although the commission does not track start-ups and shut-offs for electricity, they do log complaints about them. Data showed that they had received 224 disconnection complaints between 2018 to 2024. The news channel noted that complaints do not necessarily mean the disconnection was improper, and not all the complaints involved NV Energy.

    Furthermore, a representative from NV Energy told 8 News Now that the utility can only deny new service requests in “very limited circumstances,” per the Nevada Administrative Code.

    “If someone requests new service when there’s a customer still on record with existing service at that address, we do issue a letter to the existing customer, advising them of the request for new service at the address and asking them to call us if they feel that is happening in error,” the spokesperson told 8 News Now.

    After 8 News Now reported on her case, NV Energy offered Butler a credit on her account. But she wants more.

    “I want change to be implemented with how they contact their current customers and how they let them know, ‘Hey, I just wanted to reach out to you, Ms. Butler. Did you happen to vacate your address?’ That’s all it takes,” she said.

    “If you can send a bill through email and if you can text me when my bill is paid, certainly a letter is not sufficient in 2025.”

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    What you can do to prevent this issue in your home

    Electricityrates.com reports that “by law, companies must give you a fair warning — usually around 10 to 20 days in advance.”

    While there are only a few laws at the federal level regulating electricity services, states are all responsible for passing and upholding electricity shut-off laws. The most common reasons for shut-offs are failure to pay bills on time or theft of service by manipulating the meter. Tampering with utility equipment or using nonstandard equipment are also cited for justified electricity shut-offs.

    However, most states have rules against service providers disconnecting electricity during weekends and public holidays, as it might be harder to reach the company for help or make payments on-time.

    If you are up to date with your bills and find yourself in an unusual situation like Butler’s, be sure to contact your electricity company first. If you can’t get the help you need, you can try reaching out to your state’s public utility commission or utility authority for information, assistance or to file a complaint.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • Americans over the age of 55 are the country’s fastest-growing workforce — here’s why so many are now kicking retirement down the road

    Americans over the age of 55 are the country’s fastest-growing workforce — here’s why so many are now kicking retirement down the road

    Joan Madden-Ceballos didn’t make headlines for volunteering or falling victim to a crime. Instead, she caught the attention of Boston 25 News for something that says a lot about about America today: at 70, she’s still on the job.

    Madden-Ceballos is among the growing number of Americans 65 and older who are staying in the workforce into their golden years.

    Don’t miss

    Working past the traditional retirement age of 65 isn’t new — especially as life expectancy increases — but the number of Americans remaining on the job continues to rise, largely due to economic hardship.

    The Bureau of Labor Statistics reports that between 2003 and 2023, the number of people over 55 still in the workforce increased by nearly 74%. Today, more than 1 in 5 workers are 55 or older. For those 75 and older, the number has grown by a record 113%.

    Why older adults keep working

    People have a variety of reasons for working beyond retirement age, but some clear trends have emerged.

    One of the more positive reasons is that Americans are living longer — and healthier — than previous generations. According to the Centers for Disease Control and Prevention (CDC), the average life expectancy for a 65-year-old has increased by just over a year since 2000, now nearing 84.

    Financial expert Suze Orman has even cautioned retirees-to-be to plan for living into their 90s. That means a retirement fund at 65 might need to last nearly a third of a person’s lifetime — a long time to go without income.

    For many, work also provides purpose and mental stimulation. The 2024 University of Michigan National Poll on Healthy Aging found that nearly half of older adults said their work “gave them a sense of purpose and kept their brains sharp”. Nine in 10 said it helped their overall well-being.

    Nicole Maestas, a professor at Harvard Medical School, points to another factor: today’s information economy. Jobs are less physically demanding than they were for previous generations, making it easier for older adults to stay employed.

    Still, it comes down to money for most people.

    That same University of Michigan poll found that nearly 78% of older workers said financial stability was the main reason they continued working. Others said they wanted to boost their savings or maintain access to health insurance.

    A 2024 AARP survey found that about 66% of adults over 50 don’t feel they’ve saved enough to retire securely. According to a 2023 Gallup poll, only 2 in 5 workers are on track to retire comfortably.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    The financial landscape has shifted

    One of the biggest changes facing today’s retirees compared t their parents’ generation: pensions are increasingly rare.

    As of 2020, more than 85 million Americans were enrolled in defined contribution plans like 401(k)s. By contrast, only 12 million were in traditional definition benefit pension programs. That makes it harder to replace working income after retirement.

    Researchers from the Georgetown Center for Retirement Initiatives found that today’s retirees are spending their savings faster than previous generations. The culprits? Rising costs of living, high health care expenses and increased longevity.

    Inflation is also a major factor. Consumer Affairs reports that the consumer price index jumped 586% between 1973 and 2023. Combined with wage stagnation, and saving for retirement becomes even more difficult

    In 2024, the Government Accountability Office reported that a third of households with a worker 55 or older had no employer-sponsored retirement plan at all. Half of all households had no retirement savings whatsoever.

    Trouble ahead for Social security

    Another looming concern is Social Security. It is projected to deplete its trust fund by 2034, at which point it would only be able to pay about 77% of scheduled benefits through incoming payroll taxes.

    “Far too many people are one crisis away from economic insecurity," said Ramsey Alwin, president and chief executive of the National Council on Aging. A 2022 University of Massachusetts study supports that view, showing that half of single older adults and one in five couples struggle to meet their basic needs.

    The Pension Research Council at Wharton has suggested reforms to help both current and future retirees. A key issue is access: almost 57 million Americans don’t have a workplace retirement savings plan. Workers of color and lower-income workers are disproportionately affected — over-represented in this group, with 53% of Blacks and 64% of Hispanics without access, compared to 42% of White workers. For low-income workers, those numbers jump to between 64 and 79%.

    Wharton researchers recommend expanding access to retirement plans, as well as improved portability of 401(k) and IRA plans, to encourage people to keep saving as they change careers. They also recommend government programs to match contributions for low-income workers, allowing for more equal access to retirement, letting America’s golden years be ones of leisure and not full-time work.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • This Minnesota woman stole $360K from Social Security by pretending to be her dead mother for ‘literal decades’ — does this prove Elon Musk is correct about widespread fraud in the system?

    This Minnesota woman stole $360K from Social Security by pretending to be her dead mother for ‘literal decades’ — does this prove Elon Musk is correct about widespread fraud in the system?

    Mavious Redmond of Austin, Minnesota, has pleaded guilty to theft of government funds after more than 25 years of fraudulently collecting Social Security retirement benefits after her mother’s death in 1999.

    Redmond collected more than $360,000 in payments, and allegedly impersonated her mother on several occasions, including forging her signature.

    Don’t miss

    Acting U.S. Attorney Lisa D. Kirkpatrick said in a statement, “Redmond stole well more than a quarter-million dollars in taxpayer funds. She scammed social security for literal decades. No more. My office will continue to aggressively pursue the federal programs fraud that plagues Minnesota.”

    Redmond will be sentenced at a later date. But is this an isolated case of daring theft, or an example of a larger trend of Social Security fraud?

    Social Security scams

    According to think tank Brookings, before the DOGE cost-cutting team made a target out of Social Security fraud, fraudulent payouts were an extremely small problem for the SSA.

    “Claims of widespread fraud in Social Security were misleading, with fraud representing just 0.00625% of the annual budget, far less than what private companies like Mastercard or Visa would accept,” said the report dated March 26 of this year.

    DOGE, or the Department of Government Efficiency, run by Elon Musk, is responsible for finding “fraud and waste” across government programs, but with Social Security, he may be looking in the wrong place. The inspector general found in 2021 that over the previous two decades, about $300 million in benefits was paid to Social Security recipients after their deaths. Of that, about one-third was recovered.

    Musk claimed on Feb. 16 of this year that the SSA was still paying benefits to millions of deceased Amercians, using a chart from the SSA’s Numident database. Fact checkers responded immediately to clarify that the table Musk posted on his social media did not provide evidence that payments were going to beneficiaries who were long dead — or to those impersonating them.

    Acting Social Security Commissioner Leland Dudek released a statement following Musk’s post. “The reported data are people in our records with a Social Security number who do not have a date of death associated with their record. These individuals are not necessarily receiving benefits.”

    DOGE and the White House continued to muddy the waters, however, with the president repeating Musk’s false claim two weeks later.

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    The success rate of SSA scams

    As reported in The Hill, the SSA receives 80 million calls a year from citizens on its 1-800 number. JD Vance and Musk have both claimed that 40% of those calls, which would total 32 million, are from “fraudsters who steal your direct deposits.”

    The Washington Post reports that only one in every 3,100 calls succeeds — briefly — in direct deposit fraud, accounting for 0.032% of all calls to the 1-800 number.

    They further found that for every successful attempt at direct deposit fraud, five attempts were prevented by SSA staff. However, 7,000 SSA workers were laid off in early April, and more cuts are planned. Critics of DOGE and the administration note that this will mean SSA offices will be severely understaffed, and many will have to close. For seniors with limited mobility issues, or who already face economic barriers, they may have to travel hundreds of miles to visit a Social Security office in the future.

    Current stats on Social Security

    About 69 million people in the US currently receive Social Security benefits. The Old Age, Survivors, and Disability Insurance program reports a payment accuracy rate of 99.7%.

    The SSA further reports that the majority of improper payments paid out actually go to eligible beneficiaries, but are incidents of mistakes or delays, resulting in incorrect payment amounts.

    Their data also show that, contrary to claims from Musk, only 0.1% of Social Security benefits are paid to those over 100 years old. The SSA already has dedicated processes in place to prevent benefits from going to those who have died. They use data from state agencies, funeral home directors, and financial institutions to keep their records up-to-date, as well as comparing whether beneficiaries are using other programs like Medicare.

    So while fraud happens, stories like Mavious Redmond’s are newsworthy precisely because they’re so rare. The millions of Americans who rely on Social Security should not face cuts to their services to prevent a few clever fraudsters from collecting illegal payments.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • Eighty-year-old Nevada woman pleads guilty to role in fake lottery scam that defrauded ‘vulnerable’ community members of more than $15 million over 6 years

    An 80-year-old Nevada woman, Barbara Trickle, pled guilty on April 28 to running a years-long lottery scam in federal court that defrauded victims of more than $15 million, according to the U.S. Office of Public Affairs (PAO).

    Trickle and two others stand accused of one count of conspiracy to commit mail and wire fraud, a crime which 8 News Now says carries a maximum sentence of 20 years in prison, plus a minimum fine of $250,000.

    Don’t miss

    Trickle and her accomplices allegedly mailed millions of fake prize notices to potential victims from 2012 to 2018. Recipients were told that they would receive a large cash prize if they paid a fee between $20 and $50, according to court documents.

    The three scammers were accused of their crime in 2023 as a result of an investigation by the U.S. Postal Inspection Service (USPIS).

    “The defendant and her co-conspirators used the promise of sweepstakes winnings to defraud the most vulnerable members in our communities,” said Inspector in Charge Eric Shen of the service’s Criminal Investigations Group during the case, according to PAO.

    “[We] will continue to aggressively investigate mass-mailing schemes and other types of fraud to protect older Americans from financial exploitation and bring criminals to justice.”

    Targeting older adults and those more vulnerable

    While Trickle’s scheme targeted individuals of all ages and backgrounds, prosecutors say that many of the victims were older adults.

    Trickle was the owner of a printing and mailing business, and supervised the lasering, printing and mailing of the fraudulent prize notices — even directing her employees to collect and analyze data to improve the response rate of victims.

    Once a victim replied to the scheme with the $20 to $50 fee, they received a “report” describing sweepstakes opportunities, or what the PAO report described as “a trinket of minimal value.” Any respondents were “inundated” with additional mailers in the hopes of extracting more money. But none of the victims were ever paid the prize that was promised.

    In 2018, the USPIS executed multiple search warrants and the Department of Justice (DOJ) obtained a court order to shut down Trickle’s fraudulent operations.

    “The Department of Justice’s Consumer Protection Branch is committed to protecting elderly consumers from fraudulent mass-mailing schemes,” said Acting Assistant Attorney General Yaakov Roth of the Justice Department’s Civil Division, according to the PAO press release. “We are grateful to the Postal Inspection Service for their thorough investigation in this matter.”

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Protecting yourself from elder fraud

    Believe it or not, scams like this are common, with the Federal Bureau of Investigation (FBI) reporting that seniors are losing more than $3 billion annually to elder fraud.

    But there are a number of government supports in place to help seniors who have been victims of scams. The Office for Victims of Crime manages a National Elder Fraud Hotline at 1-833-FRAUD-11, open to all Americans aged 60 and older who have been a victim of financial fraud.

    Case managers will help victims by recommending appropriate reporting agencies, providing information to victims that will assist them in reporting and connect them directly with appropriate agencies. The service is also available in multiple languages.

    The DOJ also maintains an Elder Justice Initiative, and complaints may also be filed online.

    Finally, be sure to educate yourself about the types of scams that fraudsters use to target older adults, and check in with friends and family before you reply to any mail-based or online messages that look too good to be true.

    If the offer is high-pressure or time-sensitive, that’s often a sign that it’s a scam you’ll want to avoid.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

  • The Texas senate has passed an anti-squatter bill — but critics call it ‘pro-eviction’ legislation that will increase homelessness. Who do you think is right?

    The Texas senate has passed an anti-squatter bill — but critics call it ‘pro-eviction’ legislation that will increase homelessness. Who do you think is right?

    A bill that aims to crack down on squatting in Texas has passed the state senate.

    Bill 38 provides property owners with a faster legal process to evict squatters from their dwellings and reclaim their properties.

    “The current process is so broken that it punishes the rightful property owners while rewarding trespassers who know how to game the system,” State Sen. Paul Bettencourt, who authored the bill, said in a press release on April 10.

    Don’t miss

    The bill would give landlords the right to file for an eviction notice if they have given a tenant at least three days’ prior notice, unless there’s an existing lease or agreement with a different timeframe spelled out. In addition, the courts would be required to act between 10 and 21 days of the landlord’s filing.

    “You can’t stay in the home because we have the ability to do a quick eviction process,” Bettencourt told Fox 7 Austin.

    But critics of the bill believe it could lead to further problems.

    The extent of the Texas squatting crisis

    There’s limited data available to estimate how many squatters are currently holding property illegally in Texas.

    Cpt. Jim Sharmon, Harris County Constable Pct. 4, testified that there are hundreds of cases each year in a single Harris County Constable Precinct, according to a May 2024 press release from Bettencourt.

    Bettencourt also cited a third-party survey that reported 475 cases of squatting in the Dallas-Fort Worth area. He estimated there were thousands of cases across the state.

    In the April 10 press release, Bettencourt emphasized the problem by recounting victims’ stories: “A homeowner testified a squatter broke into her Mesquite home, sold her belongings for pennies on the dollar, and then a JP in Garland, Texas, ruled to keep the squatter in her home over the holidays, denying her the right to come home for Christmas!”

    Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

    Local Texas news station KHOU 11 reported a representative from the Texas Apartment Association testified that a group in San Antonio illegally seized more than 250 apartment units. The apartments were marketed as an immigration services center, but the group kept the rent money they collected for themselves.

    “These stories are outrageous, but they’re real — and they’re happening statewide,” Bettencourt said in the release.

    Opposition to the bill

    State Sen. Molly Cook was among those who opposed the bill.

    “[Bill] 38 is very clearly a pro-eviction piece of legislation,” she wrote in a social media post. “This bill would streamline evictions, erode due process and increase homelessness in a time where rent prices are increasing faster than peoples’ wages. Housing insecurity is a public health crisis.”

    The Texas Tribune reported on the state’s housing affordability crisis in January. Rising home prices have vastly outpaced incomes, according to the publication. Meanwhile, housing policy group Up for Growth estimates there’s a shortage of hundreds of thousands of homes.

    Proponents of the bill argue that the proposed legislation works for both landlords and tenants with valid leases.

    “I think we’ve struck the right balance between property rights of the owners and the needs of the of the renters, but to drive out the squatters that are really taking advantage of the fact that that they think they don’t have to pay anything or they have no penalty of occupying what they don’t own,” Bettencourt told Fox 7 Austin.

    The bill must pass the House before the governor can sign it into law.

    What to read next

    This article provides information only and should not be construed as advice. It is provided without warranty of any kind.