Hello Reddit world,
I am 23 years old and currently working my first job out of college. I will be marrying my fiancé in October 2019. I consider myself to be financially intelligent but unfortunately the family that I am marrying into is the complete opposite. My main issue I bring to you today is that my fiances mother (who never actually married her father but they still live together) has still not started saving for retirement. The mother only stays there because it is free housing for her, other than that the mother and father do not get along and the mother will hopefully be moving out in a couple years. Details about the mother:
• 50 year old female • Works for herself as a commercial cleaning lady and I am assuming that a good portion of that income is under the table • She plans on using social security once she retires and has NO retirement account (yikes)
So as I get closer to the marriage I am trying to make sure that I address issues like these asap. What I do not want to happen is that she is going to probably try to work till she is 70, run out of money and then try to live off of my future wife and I. As of right now I have setup a lunch date this Friday to discuss this topic with my fiancé and her mother. I am going to show her the numbers I have run based on the average social security payment of $1200/month vs her expenses and how there is no way she can survive on just social security alone. I am going to inform her of what an IRA is and how its very important that she gets started asap. I will explain to her that the money that goes into your retirement account is pretax money aka it lowers your taxable income. If you put in $5k a year to your account then it only really costs you $3500 since you are paying less in taxes.
Any help would be great! Thank you
Submitted November 21, 2017 at 10:46AM by throwaway92jj http://ift.tt/2A1bpqO
