Are You Prepared For Retirement Without Social Security?

More than 66 million Americans haven't saved as much as a nickel for their retirement. With baby boomers set to retire in droves in the next few years, people are going to have to start facing up to reality. A recent "Baby Boom Retirement Savings Index" published by Merrill Lynch shows baby boomers are saving only 38.2 percent of what they need to maintain growth-adjusted living standards in retirement. The time to for boomers to aggressively plan for retirement is now.

(PRWEB) May 5, 2005 -- At some point in your life, you are going to have to think about it. Sooner or later, you will have to face it. Can you honestly say that you are prepared for retirement? If not, you are not alone.

More than 66 million Americans haven't saved as much as a nickel for their retirement. With baby boomers set to retire in droves in the next few years, people are going to have to start facing up to reality. A recent "Baby Boom Retirement Savings Index" published by Merrill Lynch shows baby boomers are saving only 38.2 percent of what they need to maintain growth-adjusted living standards in retirement. The time to for boomers to aggressively plan for retirement is now.

With the future of Social Security uncertain, it is not only boomers that should concern themselves with retirement. Social Security was a hot topic in the 2004 election. While the election is over, the problems remain. The system needs a change or a growing bulge of baby boomers will find the cupboard empty. Most Gen Xers have little faith that the Social Security benefits will even be there when it is time for them to collect.

To make matters even worse, company-provided private retirement plans are vastly under-funded and some are shutting down and transferring the burden to the Pension Guaranty Agency. Recently, it came to light that a United Airlines default could force a crisis in that agency. It is becoming clear that many people will be receiving far less than they counted on. Both baby boomers and Gen Xers are in need of a wake-up call. So, how do average people protect themselves?

A disciplined savings and investment plan would be a good idea but few have the disposable dollars to accomplish this goal. "A better answer can be found in the booming real estate market," suggests Suzanne Caplan, best-selling author of business and financial books, including her most recent title, Building Big Profits in Real Estate, A Guide for the New Investor.

"Lots of people are rushing in to real estate to make spend-able dollars now and forgetting about the long term value of this type of investment," says Caplan. "Gurus teach that the money earned from rental units is cash flow when it is really operating capital, money to use to pay for repairs and overhead if a unit goes vacant." While this reckless approach may appeal to some, Caplan and her partner Wade Timmerson teach a much more conservative approach to new investors.

"I see the real possibility that investors could build a portfolio of rental units that will be there to supplement their retirement when the time comes," says Caplan. "Properties can be purchased with little money down, rented with positive cash to operate the business, the mortgages are being paid off and the appreciation in their value is the silent profit." So, how soon before these real estate investments start turning a profit?

"Over a decade, it is very possible to acquire a six figure portfolio and when the mortgages are paid, the cash is clearly available as income," Caplan explains. "Then, the retiree is assured of a check coming in each month and no longer has to rely on political decisions to determine the quality of their golden years."

While some view real estate as a means to "get rich quick," experts are starting to realize that real estate is a legitimate vehicle for retirement income. If you still want to receive money in the mail every month and not depend on getting it from Social Security, real estate may be your answer. Interest rates are low and values continue to rise at record rates. There has never been a better time to get into Real Estate.

For more information, please contact Jay Wilke at 727-443-7115, ext. 223. Books and photos available.

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Source :  http://www.prweb.com/releases/2005/5/prweb236303.htm