Reverse mortgage for senior citizens

With improved health care, the average lifespan of a person has greatly increased over the last few decades. However, senior citizens who are not working may not find their savings and retirement income from their last job sufficient to cover their daily expenses, especially if they need additional medical attention or have dependent. By researching the reverse mortgage information online, seniors who own and stay in their own home can access a new source of funding.

Most reverse mortgage programs are available to citizens who are more than 62 years old, though a  few programs are available to individuals less than 60 years also. The payment is made in the form of cash, monthly income or financial equivalent and the amount received is tax free. A home owner can use a reverse mortgage calculator to estimate the amount he or she will get if they apply for a reverse mortgage. The date of birth of home owner, estimated value of the house, zip code of the location of the house and mortgages and liens against the house (if any ) should be entered to get the approximate reverse mortgage values.

Most of the reverse mortgage loans today are insured by the Federal Housing Authority, a division of the Department of housing and development (HUD) and are called Home Equity Conversion Mortgage (HECM). An additional insurance of 2% is charged on each loan, and this ensures that the payments are always received, irrespective of the financial status of the lender.

Life insurance

While it is not necessary for a single person with no dependents to purchase a life insurance policy, the family of an individual who is the sole bread winner is adversely affected in the event of his or her death. This is especially important when the family consists of children, disabled and elderly persons,  who are unable to get a conventional job. By purchasing a  life insurance policy , an individual can ensure that the lifestyle of his or her dependents is not adversely affected in future.

If the children in the family are growing up, the parents will have to support them, but as they grow older and get jobs, they become financial independent. So depending on how much premium he or she is willing to pay, an individual can purchase either a term life insurance policy or a permanent life insurance policy. The premium to be paid for a term life insurance policy is much lower for a short term policy, since the probability of an insurance claim being filed are lower. The health, weight, lifestyle, work and hobbies also determine the insurance premium to be paid.

Since life insurance premium payments are a significant amount which have to be paid every year, it is advisable to get life insurance quotes from multiple insurance companies before selecting the best option. In addition to considering the premium amount to be paid annually, it is also important to check the financial stability of the company in the current economic conditions. To get a quote, basic information like date of birth, gender,height and weight have to be provided.

Post retirement work

Though most people holding a conventional office job look forward to retirement when they can get a break from their hectic schedule, they usually feel bored after a few months as they have a lot of time on their hands and little to do. Earlier getting a job after retirement was difficult,  but with improvements in health care and medical systems, retired people remain physically fit and able to continue working productively.

With the current financial crisis, the savings of most people have been eroded and many are evaluating various retirement ideas to find one that best fits their daily schedule and lifestyle requirements. Most retired people prefer a job or work which offers flexible timings , so that they can find time for their personal work and hobbies. The work should also not be very physically demanding due to their advanced age.  A number of companies also hire mystery shoppers, who visit retailers and theaters to report on the conditions there.

Home based work or business seem to be the preferred option for retired people. If an individual is good at marketing , there are a number of products and services available which can be sold both online and offline. However, some home based businesses may need some investment, so it is important to verify the history of the business before making any payment. Most genuine home based work assignments do not need any kind of investment. They pay according to the amount of work done.

Social security benefits for retired persons

The social security benefits for a retired person are calculated on the basis of the the income for the last 35 years when the wages were the highest. The yearly statement only is an approximation of the social security benefits a person could receive and assumes that the salary of the person will not change from year to year.

It is often incorrectly assumed that retirement benefits depend only on the wages drawn in the last year. The wages in the earlier years are indexed by assigning a multiplier based on the cost of living.

You can estimate your retirement benefits directly using the website
http://www.socialsecurity.gov/planners/calculators.htm
It also a person to find out how earnings, pensions and different retirement dates can affect the benefits they receive.