I receive full social insurance (USD 3,57) and I bought a house that I rented for 12 years earlier. My 61 -year -old wife does not work due to health problems. It also has a pension of approximately USD 53,000 and 401 (K) in the amount of USD 47,000. She worked for the same two companies like me.

My wife has not worked for the last 15 years. We do not have a significant debt except for the mortgage in our home. What do you think is the best way to continue the repair of damage caused in the past?

He has not retired yet

Related: – Why am I so afraid to retire? I am 60 years elderly and I lost $ 1.2 million in divorce. Can I rebuild my life?

Dear not yet,

Can we take a moment to focus on what you did, right? You did so much.

You continued to work because you knew that you had to build your retirement and purchasing plan. You waited to apply for social insurance to get full benefits. You are married and it seems so happily. You bought a house and made progress in paying a mortgage.

And let’s not skip the greatest achievement of all. You came to 69. Congratulations! This is a gift and we should never treat aging for something obvious, despite the fact that it involves complications. Given that you are still working, I assume you are in relatively good health.

Considering that you do not have a huge 401 (K) on which you can abandon, waiting for the claim that your social insurance was a huge plus and something that you should assign yourself. For example, if you won 62, you would only receive 70% of your full amount.

You did so much that it’s true.

Many people make mistakes with their 401 (K). They do not pay enough, they will not benefit from annual catching up in the amount of $ 7,500 each, do not supervise your investment strategy or distinguishing between Roth 401 (K) and established 401 (K).

Or they have financial problems elsewhere, such as a credit card or personal debt. Or they can withdraw money from their 401 (K) early – before 59 ½ century – which means, in addition to paying tax on these payments, they have to pay a 10%penalty. They get from future growth.

You may not be where you want to be with your 401 (K), but you do not have a significant personal debt and I hope you will have a house that will be repaid on time. In addition, you do not do it badly compared to the average American with account 401 (K).

Average balance 401 (K)

The average balance of $ 401 (K) floats at around USD 242,200 for the demographic boom (born in 1946–1964) and USD 182 $ 100 for generation X (born in 1965–1980), According to FidelitaAnd the average retirement balance 401 (K) in all age groups is USD 127,100.

“Sometimes retirement savings can also act as a source of emergency funds for non -resignations who are in the face of economic difficulties,” is Federal reserve report he said. “Some people who are not resigned who may need a reserve fund for” weather “may not have retirement savings.”

He added that about 75% of unrepined adults had at least some retirement savings, but 25% did not have retirement savings. “Among people with retirement savings, these savings were most often in specific contributions, such as 401 (K) or 403 (b),” he said.

Pay off the mortgage and stay away from debts.

Citi Wealth C asked this question: what do you do if you only have about $ 100,000 to retire? “In fact, $ 100,000 for retirement savings is probably not enough to supplement social insurance throughout your life,” he said.

“It can be sufficient to serve as emergency funds for various larger expenses of households, such as car repairs, household conservation, property taxes, etc., but there is no place for mistakes,” added a bank property management arm.

“It will probably not remain much monthly for entertainment, travel, gifts or many other simple pleasures of life,” he said, citing the revival of inflation, especially in the field of food, electricity, heating, household goods and television streaming services, such as Netflix NFLX and Hulu DIS.

Simple pleasures of life

I appreciate the general message of caution, but I do not necessarily agree that you have to give up elementary pleasures of life, which in my opinion include cooking at home, enjoying books from the library, long walks, exercises and time with family and friends.

Citi Wealth recommends that a pension with savings worth $ 100,000 will have to protect money on secure staff, such as high -performance savings accounts, cash markets, tiny -term CDS Banking CDs and US tax accounts.

“These are low risk, liquid and earn a reasonable interest rate today,” added the bank. “The interest received, perhaps up to 4000 to USD 5000 per year, can be used to supplement monthly expenses.” He does not recommend investing money in investment funds or shares.

You can’t undo the past.

What are you doing? Enjoy life, repayment of a mortgage, stay away from debts, try to put away the money on the emergency fund, stay up to date with the doctor and pay Copay, instead of saying: “It’s probably nothing” if something appears.

You can’t undo the past, and not divide your hair, we spend too much energy, trying to fix errors from the past. We have no luck without Delorean and the line tied to the clock tower. However, you can build a possible pension by doing what you do.

You are financially stable and you have a secure position to have a modest, cheerful pension when time comes. During the pandemic I lived with two suitcases for four months and realized how little I needed in my life. It was the biggest amount of time.

Among the whole looking back and planning for the future, don’t forget to enjoy the gift.

Related: “My pension will be a disaster”: I am 59 years elderly and I have $ 45,000 in my 401 (K). I earn $ 72,000. Am I convicted?

You can send a message to Moneyist with all financial and ethical questions at qfottrell@marketwatch.com.

Check out Private Facebook Moneyist A group in which we are looking for answers to the most challenging problems of money. Publish your questions, tell me what you want to know more about or attention to the latest Moneyist columns.

By sending your questions to Moneyist or by publishing dilemmas in the Moneyist group on Facebook, you agree to publish anonymously to the market.

By sending your story to Dow Jones & Co., Publisher of Marketwatch, you understand and agree that we can employ your history or its version in all media and platforms, including through third pages.

Moneyist regrets that he cannot answer questions individually.

Previous Quentin Fottrell columns:

“Is it ethical?” I want to leave the house to my children from the first marriage – and not to my second husband.

I am 50 years elderly, I earn 172 thousand USD and my wife a year, but I still live with payments. My family wants me to come home. What should I do?

“I have nothing to retire”: my husband and I have 9 children and $ 70,000 student debt. How will we pay off?