Are you aware that pension funding is in jeopardy? According to a recent report on NPR, many state and local governments are having trouble fulfilling their promise to retired workers. Included on the regular All Things Considered radio broadcast, reporter Andrew Schneider announced,
“There’s a growing fiscal crisis hitting cities, counties and states across the U.S. It’s all about generous retiree health benefits that historically haven’t been fully funded.”
All the more reason to be sure you have several options in retirement for income. Don’t get caught short if a pension monthly payment is reduced or even eliminated. Pension funding around the country is coming up short to make their obligations to retirees. What would you do or where would you make up the shortage should your pension be effected and lowered? Set up a line of credit on a reverse mortgage, let it grow over time until such time when additional monthly income is needed. Remember money coming out of a reverse mortgage is tax free *
*check with your tax professional.