First Baby Boomers Reach IRS Retirement Age July 1, 2005; InFRE Announces July 1st as Retirement Readiness Day
First Baby Boomers turn 59&1/2 today, gain access to retirement accounts without IRS penalty. InFRE urges restraint, and establishes Retirement Readiness Day to highlight need for retirement education.
While much attention has been directed to Baby Boomers' eligibility for
Social Security in 2008, another important milestone has been largely
overlooked. On July 1st, 2005, the first Baby Boomers reach retirement age-- as
defined by the Internal Revenue Service. Those born January 1, 1946 turn age
59&1/2 today, and may withdraw from retirement accounts without the stiff
tax penalties levied on early withdrawals.
To raise awareness of this
event, InFRE has designated July 1 as Retirement Readiness Day. Instead of
simply focusing on this new withdrawal opportunity, InFRE urges individuals to
plan for ongoing retirement income that will help them reach their life goals.
www.infre.org
“The
emphasis has been on accumulating money for retirement. Today is important
because it spotlights the need for managing retirement income,” notes Betty
Meredith, CFA, CFP, CRC, Director of Research and Education for InFRE. “If
retirees take distributions from their retirement accounts too early or too
fast, they may run out of money later when they're unable to
work.”
Unlike Social Security or defined benefit pensions, most personal
account plans—401(k), 403(b), SIMPLE plans and IRA’s- don’t provide a guaranteed
income for life. “To make sure their money lasts as long as they do, individuals
and their advisors need new approaches,” according to Kevin Siebert, CFP, CRC,
Managing Director of InFRE. “About 10,000 Baby Boomers will reach IRS retirement
age today—and every day for the next 19 years. Today symbolizes a new era for
retirement education— the era of retirement income management.”
About
InFRE
InFRE is The International Foundation for Retirement Education. Founded
in 1997, InFRE is affiliated with the Center for Financial Responsibility at
Texas Tech University. In addition to research and education activities, InFRE
offers the Certified Retirement Counselor® and Certified Retirement
Administrator® designations. Other than the CERTIFIED FINANCIAL PLANNERTM, these
are the only financial certifications which can be earned through university
coursework as well as self study and examination.
CERTIFIED FINANCIAL
PLANNERTM is a trademark of the CFP Board, which is not affiliated with
InFRE.
Contact:
Kevin Seibert, (847) 756-7350 x132
Or
John
Nelson, (608) 217-1493
www.infre.org
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Source : http://www.prweb.com/releases/2005/7/prweb257612.htm