Reevaluating Retirement Plans due to Covid-19

COVID-19 Has Many Americans Reevaluating Retirement Plans

Roughly two in five Americans (38%) say the COVID-19 pandemic has impacted their retirement plans by having to retire later than planned, now not being able to retire at all or being forced into retirement. Plus, 41% are currently reevaluating their retirement plans to assess the financial impact of COVID-19. These are among the findings revealed by a new COVID-19 Tax Survey conducted online in May 2020 by The Harris Poll on behalf of The Nationwide Retirement Institute® among U.S. adults 18+.  Heightened uncertainty and complexity are driving a need for greater financial protection. Roughly half of Americans agree that the COVID-19 pandemic has made them recognize the need for annuities to protect their investments against market risk (47%) and to protect their retirement income (48%). More than half of all U.S. adults (57%) and investors (60%) also say the pandemic has made them recognize the need for life insurance.

More survey results can be found in the full article at the link above.

The heightened uncertainty and complexity have definitely affected my own retirement plans.

The massive number of people out of work have definitely affected my own thoughts and feelings about work.

Retirement = work.

As long as my health holds up and as long as there’s someone out there willing to pay me to do what I do I plan on working.

Carnival Cruises Posts 2Q $4.4 Billion Loss

I’ve been on several cruises in my life.  As an excessive weight challenged individual cruises have always been problematic for me.  Too much food.  Too much alcohol.  The last opportunity to join relatives on a cruise was a few years ago.  I declined to participate.  I just don’t like cruises.

But I also don’t like witnessing businesses crash and burn.  Stunning number.

Source article link.

Cruising

Scary Charts 05.06.20 — Auto Loans

Subprime Auto Loans Blow Up, Get Very Messy

US-auto-loan-deliquencies-dollars-2020-q1

Delinquencies of auto loans to borrowers with prime credit ratings were near historic lows (0.27% in March), according to Fitch data. In the pre-Virus Good Times, it was the subprime loans – with credit scores below 620 – that were blowing up…

In mid-March, the world changed for subprime lenders. Delinquencies were already exploding in the Good Times, and now they’re in utter turmoil.

In addition, it is likely that prime loans are becoming delinquent as well, as many of these people too have lost their jobs – this includes dentists and other professionals with high incomes and big debts and lots of expenses and no savings, who’d suddenly had to close their operations, and their cash flow disappeared. If they fall behind on their debts, they’ll be subprime in a hurry.

 

Nationwide Moves To Permanent Work-From-Home Strategy

“We’ve been investing in our technological capabilities for years, and those investments really paid off when we needed to transition quickly to a 98 percent work-from-home model,” said Nationwide CEO Kirt Walker.

I’ve been working from home for nearly 14 years.  Social distancing comes naturally to me at this point in time.  It’s interesting to me a virus will be remembered as the Gladwell tipping point for showing the corporate world  a better way of working.

98% permanent WFH!

FREE Life Insurance (MA and CT only, other restrictions may apply)

Massachusetts Mutual Life Insurance Company (MassMutual) today announced the launch of MassMutual HealthBridge, which will provide free term life insurance to the brave and resilient frontline healthcare workers across Massachusetts and Connecticut risking their lives during the COVID-19 pandemic.

MassMutual Donates $3B Of Free Life Insurance To Healthcare Workers

Even if you’re a big insurance company hater you have to admit this is pretty awesome.