Issue Date: August 5, 2007
Play catch-up on retirement savings
Nancy D'Angelo, of Berwyn, Pa., didn't get serious about retirement savings until her 40s. The divorced mom of three says she was spending more than she realized, and "retirement took a back seat." Now 58, the medical software consultant is playing catch-up by contributing as much as she can to her company's 401(k) plan and taking out a long-term care insurance policy.
D'Angelo doesn't plan to retire anytime soon. And she has plenty of company among fellow baby boomers, who may be more motivated to save now but have to amass a lot to retire comfortably. Where to start?
Add money to your IRA. Those who are 50 or older can contribute up to $5,000 a year to a traditional or Roth IRA. If you have enough time before you have to start making withdrawals, a Roth IRA is probably the better option, says Patti Brennan, of Key Financial Inc. in West Chester, Pa. But you can compare plans using the Roth 401(k) Estimator at smartmoney.com/retirement.
Contribute the max to your 401(k). Workers age 50 or older can invest up to $20,500 this year -- that's the maximum contribution of $15,500, plus a so-called "catch-up" of up to $5,000.
Consider starting a side business to carry you into retirement. A recent American Express survey found that 26% of baby boomers began their own business because they were financially unable to retire. Three years ago, Connie Betts, 54, and husband Thomas, 53, of Hood River, Ore., started raising alpacas to fund their retirement. "We're making more money sooner than we anticipated," Connie says. "We could do this for another 10 to 15 years."
CNBC correspondent Sharon Epperson's new book is "The Big Payoff: 8 Steps Couples Can Take to Make the Most of Their Money -- And Live Richly Ever After" (Collins, $22.95).
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Build bones with strength training
Everyone knows strength training builds muscles, but did you know it also can help strengthen your bones? Researchers from the University of Arkansas analyzed a six-year, nationwide study that compared the effect of different activities on women's bone density. The results revealed that "weight-bearing activities" like strength training and yardwork were linked to bone health, while activities such as swimming and jogging were found to have little effect on bone density.
"Weight-bearing exercises exert force on the bones," says lead researcher Lori Turner. "Like muscles, bone responds to force by growing. Muscles get larger, and bones become more dense."
People start to lose bone density between ages 30 and 40, so maintaining bone strength is beneficial for all. Of course, getting the recommended amount of calcium for your age is crucial. But also try picking up some dumbbells or spending a little time working in your garden to improve bone strength.
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Cinnamon is sensational
Want a healthier dessert? Add cinnamon.
A Swedish study says adding cinnamon to rice pudding slows digestion and steadies blood sugar. Rapidly digested foods are more likely to spike blood sugar and insulin, factors that promote diabetes and overeating.
In the study, healthy people who added 2 1/2 teaspoons of cinnamon to a 10 1/2-ounce bowl of rice pudding had blood glucose levels about half as high after 90 minutes as those who ate plain rice pudding.
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African-American travel clubs
Clubs fostering camaraderie outdoors often provide training.
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African-American travelers looking for camaraderie in the outdoors can seek out a handful of specialized travel clubs throughout the country. These organizations usually are focused on a sport, like hiking, sailing or skiing. They put together group trips, often at affordable prices, thanks to the power of group rates. And they offer training for novices in a given sport.
The Denver-based James P. Beckwourth Mountain Club plans hikes, backpacking and camping trips, and whitewater rafting and kayaking excursions. Water Babies is a group of African-American sailing enthusiasts that organizes sailing trips. And then there's the Black Boaters Summit, which takes place each August in Tortola, British Virgin Islands. For those who prefer to explore the deep blue sea, there's the National Association of Black Scuba Divers, which was established in 1991.
But arguably the largest African-American travel club is the National Brotherhood of Skiers, with 84 separate ski clubs in the United States and Canada. The group's annual meeting brings together upwards of 5,000 skiers and will convene next January in Breckenridge, Colo.
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