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Is there a secret to multiplying your clients’ savings?

More than half of millennials have started to cut back on their spending to save for retirement, according to Bankrate report.

Welcome to Retirement Scan, our daily roundup of retirement news your clients may be talking about.

Here’s the secret to multiplying your clients’ savings
Financial advisors may consider automating their clients’ transfers of funds from their paychecks to dedicated savings accounts to supercharge their retirement, according to this CNBC article. Clients are advised to also move their savings to various locations that offer better savings rates and returns, according to the article. Workers may also consider increasing their 401(k) contributions, especially if the raise will qualify them for a match from their employers. “These are free dollars,” an expert says. “The employer match is one of the only ways you can get a guaranteed return on your investment.”

Are retirees spending too much?
Seven in 10 seniors polled by the American College of Financial Services claimed they were unaware of the 4% withdrawal rule, with 16% of the participants saying that 6% to 8% would be a sustainable rate, writes Morningstar's Christine Benz. "That's a problem. Because setting a sustainable withdrawal rate … is such an important part of retirement planning," she writes. "At a bare minimum, anyone embarking on retirement should understand the basics of spending rates: how to calculate them, how to make sure their spending passes the sniff test of sustainability given their time horizon and asset allocation, and why it can be valuable to adjust spending rates over time."

10 tips for retirees who want to start a business
Seniors who want to run their own business in retirement should ensure that they have a clear goal in mind and prepare as early as possible, says an expert in this MarketWatch. They should also learn the basics of business, develop a social network, stay in touch with positive people and nurture a supportive stable of friends and acquaintances, he says. Retirees who want to start a business should promote their brand, be open to customers' feedback, stay motivated and develop a social

Why the Social Security widow's benefit is higher if clients wait to file past FRA
A senior can expect their spouse to collect a bigger Social Security widow's benefit if they opt to file for retirement past their full retirement age, according to this Forbes article. The widow's benefit will be based on their late loved one’s full benefit amount plus delayed retirement credits. "[I]f you wait until 70 to start drawing your Social Security retirement benefits and you then die prior to your wife, as a widow she would get the higher of a) her own benefit rate or b) your full age 70 rate assuming that she's at least FRA when she claims widow's benefits."

Double-digit gains produced by the mutual funds and ETFs with the most AUM were not enough to best the broader market.
November 20

Why retirement saving makes more sense now than ever before
Clients will be better off saving more money in 401(k) retirement plans, as more of these vehicles offer various advantages, such as automatic withdrawals, employer's matching contributions and Roth options, a Forbes contributor writes. "While I would like to see all employers offer and contribute to retirement plans — remember 401(k)-type plans are voluntary — [the retirement] numbers are a step in the right direction," the expert writes. "Automatic savings at higher contribution rates is the key to building a bigger savings over time."

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