Stretch your retirement dollar

null Having some money in the bank is a necessity when you're in retirement. You never know if an emergency is going to arise, especially with your health. So you want to have some cash at the ready. But making money last can be quite difficult.

One word of advice from financial experts is to determine your annual budget before retirement.

"You want to take into account not only regular expenses -- food and housing -- but also unexpected expenses like medical insurance," said Michelle Price, /*Edward Jones*/ financial advisor.

Experts say you should also plan for inflation.

"Inside your portfolio you need to make sure that you have a mix of not only income-oriented investments -- like CDs and bonds -- but also growth-oriented investments," said Price.

You should also really evaluate tapping into your savings and spend wisely.

"You also want to take your money from the taxable accounts first. So take your money out of your brokerage account and your savings account, then take your money out of the tax-deferred accounts and then finally the tax-free accounts," said Price.

Those with a fixed income are advised to strategize to ensure you don't outlive your savings.

"Talk to your advisor about a variable annuity or fixed annuity, if it's appropriate. That's a way to turn your /*401(k)*/, or your traditional /*IRA*/ assets into your own personal pension plan," said Price.

Finally, experts say you should decide when you will start taking /*Social Security*/.

"Perhaps you want to take your money out of your taxable accounts and other savings accounts first before you tap into Social Security so that once you start taking Social Security, your check will be bigger," said Price. "If you start at 62 it may be a $1,000, or if you wait until 65 or 67, it could very well be $2,000 or more."

If you do decide to get an annuity, don't put all of your savings into it. Also, make sure you read the fine print before you sign anything.


MORE L.A. BREAKING NEWS, WEATHER, TRAFFIC, SPORTS

USEFUL LINKS:
SEND TIP || REPORT TYPO || TWEET @abc7 ||  WIDGET

Copyright © 2019 KABC-TV. All Rights Reserved.