conversation: User (RetireMum): "My mom(48) is getting older and recently we have been discussing what to do as she gets older including her plan for retiring which at this moment is almost non-existent. We are a pretty low income family living in nyc but I am aware at school for most of the year. \n\nShe doesn't have much debt. Just a few credit cards that she makes sure to pay off as we use them. While she likes shopping just like everyone else, we really don't live out of our means, no extravagant purchases or bad money hogging habits.\n\nShe brings in ~$40,000/yr but with bills and other things it's very hard to establish a savings that has much longevity. My question is at this late in the game, what are our options? She is contacting her union from her job to see if their are any retirement options through them and there is always social security. However, it's almost impossible to live even as we do off of what she would probably get. \n\nIn a perfect world, she would like to retire to a house and have some place to be comfortable but right now we are just trying figure out her next moves. \n\nAny help is appreciated! "
  Self: "I would contact a financial planner in her area to discuss options and also check with her employer to see if they have a 401K - if they do and they match, she should put away a minimum of what they match because that is free money.  Take it.  \n\nLook over her paperwork from her employer and educate yourself on her retirement benefits/pension anything if they have it. Or just talk to HR\n\nI understand living paycheck to paycheck so I know that putting away even 3% can sound intimidating but if it's a 401k the money comes out before taxes so it's not quite as noticeable as it sounds. \n\nBrass tax: she has to save something.  It's hard to make hardly any money and put some away but it's necessary unless she wants to work her whole life. Does she have anything of value she can sell? If she can get a nice lump sum to add to an account right now she will earn more interest over the next 20 years than if she slowly accumulated the same amount. \n\nI also would suggest finding a question/answer Social Security Seminar in her area and to talk to someone to help her figure out her options as far as what she will be getting and how soon.  There are things in social security that people don't realize - such as if she has been married before or widowed she may be entitled to a portion of his social security also - military benefits - if she works until 69 1/2 instead of retiring at 65 she may be entitled to more per month - I strongly recommend finding a seminar to attend or visiting a financial advisor (who is also usually who would put on a seminar...) to find out how much she will be able to bring in from that because it'll give you a better idea of how much she will need to save in order to supplement the rest.  \n\nLong term care is a life saving tool and once you find an advisor you should talk about that as it will provide a means to pay for nursing care if and when she needs it.  My grandmother is currently staying in a place that is somewhere between 5-10k a MONTH and it was all possible by having long term care.  They pay for EVERYTHING.  It has saved our asses because she is still young but has a long life expectancy and developed demensia in her mid 60s - her home is paid for for the rest of her life and her mother lived to 98...so..."
  takeandbake (takeandbake): "&gt; I would contact a financial planner in her area to discuss options \n\nA fee only financial planner would be a substantial cost for a situation that is not complicated.You can use an online social security calculator for free and learn about employer sponsor programs such as 401k for free.\n\nLTCI has major downfalls for someone who is looking to buy a policy now. There's a reaosn why everyone is getting out of the boat (insurers and policyholders) because the model is now unsustainable.  In short, someone of modest middle class income is going to spend down quickly to become eligible for Medicaid longterm care.  LTCI at this present time *maybe* works to protect a high asset individual to preserve their estate.\n\nTake a look at what's happening to CalPERS members who bought LTCI.\n\nhttps://www.google.com/search?q=calpers+longterm+care&amp;ie=utf-8&amp;oe=utf-8"
  Self: "She should actually talk to her employer about 401K."
  