Dr. Ed - Former SSA Manager

The 4% rule says you can withdraw 4% of your retirement savings in year one, then adjust for inflation each year. The idea: your money should last 30 years.

But here's what most people miss: it was built on historical market returns and a specific bond/stock mix. If you retire into a bear market, or your health costs spike early, 4% may drain your account faster than planned.

Better approach: review your withdrawal rate every year. Consider your actual spending, required minimum distributions starting at 73, and whether you have income sources like Social Security or a pension to reduce pressure on your portfolio.

Are you using the 4% rule, or do you have a more flexible plan?

Inflation doesn't stop when you retire — but most people plan as if it does.

A retirement budget that feels comfortable today can become painfully tight in just 10 years. At the 2026 Social Security COLA of 2.8%, your benefit grows — but that's based on last year's inflation, not what's ahead. And if prices rise faster than your income adjustments, you lose ground every single year.

Here's what to do: Build a retirement income plan with at least one source that can grow — whether that's delayed Social Security (which increases 8% per year from your full retirement age to 70), a portfolio with inflation-sensitive assets, or part-time work in your early retirement years. Don't lock yourself into a fixed income and hope inflation stays low.

The retirees who struggle most aren't the ones who saved too little — they're the ones who assumed their costs would stay flat.

Did you build inflation protection into your retirement plan, or are you adjusting year by year?

7,500 Social Security employees cut since January—13% of the entire workforce gone. That's the fewest administrative law judges in two decades, and it shows: wait times for disability appeals now stretch past 600 days in some offices, phone lines ring unanswered for hours, and field offices operate with skeleton crews.

If you're planning to file for benefits in the next 12 months—retirement, survivor, or disability—expect delays at every step. The infrastructure that processes 70 million monthly payments is running on fumes.

Here's what to do: File online at ssa.gov whenever possible to avoid phone/office backlogs. Create your my Social Security account NOW before you need it. And if you're within 4 months of your planned claim date, file early—processing delays could push your first check back by months.

Have you experienced longer wait times with Social Security this year?

Medicare Open Enrollment ends December 7—and if you miss it, you're locked into your current plan for 2026, even if premiums go up or your drugs aren't covered.

Here's what to do: Compare Part D plans at Medicare.gov this week—the 2026 Part D out-of-pocket cap drops to $2,100, but only if you're enrolled in a plan that takes advantage of it. If your current plan doesn't, you could leave thousands on the table.

Don't assume your plan is still your best option. Formularies change every year.

Did you review your Medicare coverage this fall, or are you sticking with what you have?

Converting a traditional IRA to a Roth IRA can save your heirs from a massive tax bill — but timing the conversion is everything.

When you convert, you pay income tax now on the full amount. That can push you into a higher bracket, or even trigger Medicare IRMAA surcharges if your income crosses $109,000 (single) or $218,000 (joint). But after the conversion, the Roth grows tax-free forever, and your heirs inherit it tax-free.

Here's what to do: Consider converting in years when your income is temporarily lower — between retirement and age 73 (when RMDs begin), or in a year with deductible medical expenses that offset the tax hit. Run the numbers with a tax professional before you move a dollar.

The sweet spot? Converting just enough each year to stay below the next bracket or the IRMAA threshold. Small conversions over several years often beat one large conversion.

Have you done a Roth conversion, or are you waiting until RMDs force your hand?

$4,152 a month is the maximum Social Security benefit at full retirement age in 2026—but almost no one qualifies.

To hit that number, you need 35 years of work history at the maximum taxable wage every single year. That's $184,500 or more in earnings, year after year, with no gaps. Most retirees receive far less—around $2,071 per month on average.

If you're planning on the maximum benefit without checking your earnings record, you could be setting yourself up for a painful surprise at retirement. Your actual benefit is based on your highest 35 years of earnings, indexed for inflation.

Have you checked your Social Security earnings history lately to see where you actually stand?

$24,480 is all you can earn in 2026 before Social Security starts taking money back.

If you're collecting benefits before your full retirement age, the earnings limit just went up—but most people still don't realize they're crossing it until it's too late. Once you earn more than $24,480, Social Security withholds $1 in benefits for every $2 you earn above the limit.

If you're planning to work part-time in retirement or started claiming early, this number matters. A lot.

Here's what to do: If you're earning income while collecting benefits, check your total wages now. If you're close to the limit, talk to a benefits counselor before you lose thousands in withheld checks.

Are you working while collecting Social Security, or do you know someone who is?

Medicare's Part D out-of-pocket drug costs just got a historic cap for 2026.

Starting January 1, your annual prescription spending maxes out at $2,100 — no matter how many medications you take. Once you hit that limit, Medicare covers 100% of your drug costs for the rest of the year.

Here's what to do: Review your current Part D plan before December 7 to make sure it covers your medications under the new rules. Some plans restructured their formularies when the cap took effect.

This is the biggest change to Medicare drug coverage in 20 years, but many beneficiaries still don't know it exists.

Did your pharmacist or plan administrator tell you about the $2,100 cap?

77% of Americans 65+ now own a smartphone—but most use less than half its features (Pew Research Center 2024). Your phone can protect your money, your health, and your independence if you know which tools to turn on. Here are the 4 settings every retiree should activate this week: emergency contacts, fraud alerts, medication reminders, and location sharing with a trusted family member. These aren't luxuries—they're safeguards that protect what you've earned and help you stay independent longer.

Which of these 4 features have you already set up on your phone?

$2,100 — that's the absolute maximum you'll pay out-of-pocket for Medicare Part D prescription drugs in 2026.

This is the new hard cap that replaces the old "donut hole" coverage gap that used to leave thousands of seniors scrambling to afford their medications mid-year. Once you hit $2,100 in total drug costs, Medicare covers 100% of your prescriptions for the rest of the year — no exceptions, no gaps.

But here's what many people miss: not every Part D plan counts costs the same way, and if you're taking expensive medications, you could hit that cap faster than you think.

Here's what to do: Review your current Part D plan during the next enrollment period (October 15–December 7). Compare how each plan covers YOUR specific prescriptions — the lowest premium doesn't always mean the lowest total cost.

Are you on track to hit the $2,100 cap this year, or did your plan keep you well below it?