Working with Seniors: Health, Financial, and Social Issues

Chapter 16: Financial Choices and Challenges for Seniors

Today's seniors posssess a great diversity of financial needs. Many face new and complex family responsibilities and financial decisions that affect their attitudes about retirement and their ability to generate retirement income. In addition, traditional finanical planning doesn't serve seniors who haven't accumulated a large amount of wealth, because they no longer have the length of life expectancy necessary to build wealth over the long-term. Instead, it makes more sense to talk about seniors' financial concerns and the strategies they can use to make the best use of their current resources.

At the same time seniors have different financial needs, they share certain financial concerns, such as making the best use of their income and assets. This chapter looks at the effects of increased longevity on financial planning and retirement income, including new views on retirement and investment strategies for high net worth, middle income and low income seniors. It also discusses the Decision Decade, the six-step financial planning process, risk and tax management, primary sources of income for seniors, and investment pitfalls that particularly pertain to seniors.