Facts About Retiring In The United States

There are tens of millions of people at, or approaching, retirement age. With the economic conditions in the United States, combined with the high cost of living in both Canada and the US, more and more people are looking at other countries in which to spend their golden years and make their hard earned dollars stretch further. A very popular choice is Mexico. The weather, the mountains and beaches, the lower cost of living, and the proximity to the US make it a natural for this country to be seriously considered. So, what makes this book different? Unlike everything we have read, or seen, on Mexico previously, it takes a good hard look at what life in this country is really like and what we have personally experienced in our seven years since retiring. While other authors talk about Mexico being nothing short of The Garden of Eden, I have not sugar coated anything. Mexico is anything but the Garden of Eden or paradise. It can be a fantastic place in which to live or retire, but it can also be your worst nightmare if you are not made aware of the problems that exist here as well. Too many people have moved down, basing their decision on what they have read in books, not having friends or relatives here that can hopefully give them actual facts, and had their retirement dreams completely shattered. I want to try and prevent this from happening to you. This book is divided into six sections. The first talks about how I first found out about the Lake Chapala area, a day by day account of Sarah and I first visiting here, buying a house, and everything we did and went through until we closed on our new home. It is important as many people, like us, come down and think it is such a wonderful place and full of wonderful people and find out afterwards that may not be the case. Section 2 covers the time period between closing on our home and actually moving here. It goes over getting our visas and what was required, the drive from the border to San Juan Cosala, remodeling our home, and our first introduction to the lack of consumer protection in this country. Section 3 goes over our lives in Mexico as we first found it. Living here was certainly different than in the United States and was really good. It was not until later that we started discovering another side of Mexican life. Section 4 is entitled The Good. There are a lot of terrific things about living in Mexico. It is what we ourselves have found to be the attributes of this country and why so many have, and are continuing to, retire here. Section 5, I have called The Bad. No matter where one lives, there is always the good about an area and there are always some things to complain about. If you have never lived in a foreign country, this is an important section as it discusses a lot of different aspects of life, costs that people are often not aware of until after they have moved, and a lot of pertinent facts that could impact your decision to move to Mexico, or your lives after you get here. One thing you will find of importance is a very realistic look at the monthly expenditures and not the ones that leave so many items out to deceive you. Section 6, The Ugly, is one you should pay particular attention to. It is probably the main reason for writing this book as you need to be aware of what not only happened to my wife and I but to so many of the other Americans and Canadians that live here. This is a country of crime and corruption and foreigners are the targets of choice. This section covers most of the things you should definitely know about because, without it, you can easily lose a few pesos to your entire life savings. Its intent is to safeguard your money so you can truly enjoy your retirement years.

If you were to read much of the financial literature that is published for those nearing retirement age, you would be hard-pressed not to believe that most Americans are retiring at age 60 with multi-million dollar investment portfolios earning 10 percent annual returns. However, the facts present a much more depressing picture for the majority of Americans nearing retirement. From 2007 to 2010, U.S. median household net worth fell by a staggering 38 percent. And as of 2012, more than 67 percent of Americans 65 and older have less than $50,000 in savings, aside from the value of their residence. With an average personal savings rate at a historical low of only 3.6 percent and median annual income of only $37,625, American's are currently saving less than $1,340 per year. And with the average Social Security retirement payment at only $1,233 per month, it becomes apparent that most Americans today have grossly inadequate investments and income-producing assets necessary to afford a retirement beyond mere subsistence. In other words, most people in the United States have no other options except to retire into poverty. A common bit of advice given by financial planners to soon-to-be retirees is to postpone retirement, to keep working, or if separated from your profession, to take a low-wage job. Statistical evidence suggests that people should never quit working at something – if they're interested in a long life. However, working at menial jobs for minimum wage is far different than working for yourself at something that holds your interest and provides personal satisfaction. In planning for your retirement, you should keep in mind also that retiring at an age that is too old to physically enjoy the activities of your interests will not be a very happy scenario. Nevertheless, the only reason why this advice is so often and so glibly served up is because financial planners generally have no other solutions to offer. The truth is, the last thing someone at age 60 wants to be doing is working at a low-wage job or wasting away in substandard living conditions. At the same time, the prospect of life without an income other than perhaps rapidly-diminishing Social Security income is nothing more than depressing. Yet, this is the reality for most Americans – not seven-figure investment portfolios. There is no question that the economy presents a very difficult and sometimes even hostile environment in which to retire. And statistical evidence suggests that this environment will continue to deteriorate for a period lasting well into the foreseeable future. Even if your financial condition is relatively affluent and your retirement income is to include a life-long pension, your financial security in retirement is subject to unprecedented and potentially-destructive conditions. Such conditions as high inflation, price controls, commodity shortages and increased taxes could devastate even the healthiest portfolios. These conditions will not simply go away and it is unlikely that any meaningful solution is politically possible. The official course of action is to do what the federal government has been doing somewhat successfully for decades – ignore the problem. The consequences of this, however, will lead to a devestated economic environment. The U.S. and the world are far into unchartered territory with such conditions, so it is impossible to know exactly how events will unfold. But in planning for your retirement, you would be wise to consider these facts and the potential risks that they pose to your physical and financial security. The good news is that there are steps that you can take to protect yourself from the intensifying hardships. The solutions presented here are available to anyone, rich or poor, who is willing to create value through dedication and hard work.

The definitive guide for anyone dreaming of living in paradise when they retire. Whether motivated by a desire for adventure, or the need to make the most of a diminished nest egg, more and more Americans are considering an overseas retirement. Drawing on her more than three decades of experience helping people relocate happily and successfully, Kathleen Peddicord shows how living in an unconventional retirement destination can cost less than a traditional home in Florida or Arizona. Peddicord addresses all of the essential issues, including: • Finding a home to own or rent • Researching and understanding your tax liability • Obtaining health insurance and medical care • Avoiding common mistakes and pitfalls • Opening a bank account Whether readers are interested in relatively unknown havens like Nicaragua, well-traveled areas in Italy, or need some help deciding, How to Retire Overseas is the ultimate guide to making retirement dreams come true.