Housing costs and taxes may go down, but travel and health care costs can rise. You need anywhere from four to 10 times your annual income in life insurance. No one agrees on the precise ratio. For example, two people may have the same annual income, but if one has three kids in school and a spouse who doesn't work, he or she may will need more insurance than someone who has no children. 100 minus your age is the percentage of your investments that should be in stocks.
Financial advisers say that as a rule most people are too conservative.
Those retiring often get completely out of the stock market when they should be leaving some in to see them through 20 or more years of retirement. Refinance your home mortgage only if the new rate is two percentage points less than your old one. The decision to refinance will depend on how long you plan to live in the house, the cost of refinancing, your tax bracket, the number of years on the loan and what you do with the money. Don't try to time the market. Studies show that the market rewards time in the market, not in and out.