Redefining the Fear of Ending Up Old and Alone: Geber provides far too much valuable information to summarise here, but building a strong social network is an important strategy. In addition to combating social isolation and loneliness, which are as harmful to your health as smoking, these individuals can also watch out for you and you for them.
Consider activities that bring you in contact with others, such as volunteering, taking classes, or joining an exercise group, if you have a small social circle or are out of the habit of making new friends. Check out also the Village to Village Network, a non-profit that encourages groups of neighbours to assist one another with transportation, services and activities in order to help people age in place.
Living in close proximity to others and in areas with robust social services can also make a significant difference for elderly individuals living alone. If you have the financial means, you could also contemplate a continuing care retirement community that allows independent living to begin with assisted living and nursing home care as needed.
Every adult requires a healthcare directive, such as the ones available for free at Prepare for Your Care. These documents allow a trusted individual to make medical decisions on your behalf if you become incapacitated. It is acceptable to identify your spouse, but you should also have at least one and ideally two or more backups. Filling one out can help you reflect on the individuals in your life whom you can currently entrust with this responsibility, and may encourage you to expand those ranks if they have become too thin.
Rules for Roth IRA withdrawals
At any time and at any age, you may withdraw the amount equal to your Roth IRA contributions. If you have contributed $5,000 per year for four years to a Roth account, you can withdraw $20,000 tax- and penalty-free.
The five-year rule applies when earnings are withdrawn. If the account was opened at least five years ago and you’re at least 5912 years old, you can avoid paying taxes and penalties on these withdrawals. If the account is less than five years old, you must pay taxes on the proceeds withdrawn but are exempt from the 10% early withdrawal penalty if you are 59 12 or older.
Additionally, a five-year rule applies to Roth conversions. There is a discrete five-year waiting period for each conversion or rollover.
Taxes on property sales
Someone was in error. The pro-rata calculation applies to individuals who have not owned and resided in the residence for at least two years, but who satisfy the other criteria for a partial exemption. The percentage of gains that can be excluded from your income is proportional to the percentage of the two-year requirement that you met.
Let’s suppose that after a year, you were forced to sell your home because your job moved at least 50 miles away. You could exclude from your income capital gains of up to 50 percent of the exemption amount — $125,000 if single or $250,000 if married.
