Claiming Social Security at 62 Cuts Benefits 30% Permanently

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[1] If you haven't done this calculation, you're not ready to claim Social Security (https://www.msn.com/en-us/money/other/if-you- ...)[2] 📊 Claiming Social Security at 62 with a full retirement age ... (https://www.facebook.com/thewaystowealth/post ...)

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Aug 30 2026, 13:48

After $15,000 Debt Payoff, Staying Debt-Free Is the Harder Half

**Paying off a credit card balance is only half the job — the harder part is keeping the balance from coming back once the monthly payment disappears from the budget.** Peter, a 40-year-old who spent years working down a $15,000 credit card balance, finally made his last payment. The relief was immediate: no more monthly bill, no more interest charges eating into his progress. But the transition that follows a payoff carries its own risk. When a fixed payment vanishes from a budget, that money can quietly dissolve into everyday spending — a few extra purchases here, a higher monthly bill there — until the balance quietly rebuilds itself. "Getting out of debt is only half the job," said Bruce McClary, senior vice president of communications at the National Foundation for Credit Counseling. "The harder part is staying out." The stakes are broad. Americans collectively owe more than $1 trillion in credit card debt, according to the Federal Reserve Bank of New York, and for many households there is little room between a normal month and a financial setback. Unlike a loan with a fixed payoff date, credit card debt is revolving: once a balance is paid down, the available credit opens back up, and for someone who spent years feeling restricted, that open line can feel like a safety net — even when relying on it is what created the problem in the first place. For Peter, the challenge is deciding what role credit cards will play going forward. The goal is not to avoid them forever, but to make sure they do not become the default answer when the budget comes up short. That requires giving the money that once went to debt a new purpose before it gets absorbed into spending. ## Why Balances Come Back McClary said people generally fall back into debt for one of two reasons. The first is behavioral. "Once the intensity of paying off debt fades, so does the discipline that came with it," he said. "Old spending habits creep back in." During the years of repayment, every dollar had a purpose and a clear goal sat in front of the borrower. Once the balance reaches zero, that sense of urgency disappears. The second reason has nothing to do with willpower. "A job loss, a medical emergency, a sudden drop in income… each of these can outrun even a well-run budget," McClary said. "When that happens, credit card debt isn't a lapse in judgment. It's just what's left when the cash runs out." Federal Reserve research shows many Americans do not have enough savings to cover a major unexpected expense, which can make credit cards the first option when a broken appliance, a medical bill, or a sudden income drop arrives. High interest rates make the climb back out steeper — a borrower who only makes minimum payments can spend years paying off purchases long after forgetting what they originally bought. ## Redirecting the Former Payment The first step is giving the former debt payment a new job before it disappears into routine spending. Redirecting that money toward an emergency fund gives a household another option besides reaching for a credit card when something goes wrong. "Savings aren't a nice extra here; they're what keeps the whole system from falling apart the first time life gets messy," McClary said. Even a small starting amount helps. Peter can also use the fresh start to reset spending habits. Small expenses are easy to overlook one at a time — an unused subscription, a few extra takeout meals a week, convenience purchases that have become routine. The point is not to cut out everything enjoyable, but to make sure spending reflects current priorities. Deciding in advance where the former debt payment will go each month — some to savings, some to retirement, some to guilt-free spending — makes it less likely the money vanishes unnoticed. As for the credit cards themselves, Peter does not necessarily need to stop using them. Used carefully, they can build credit, offer rewards, and provide convenience. The difference is that he now has experience with what happens when a balance carries over month to month. Paying the statement balance in full each month, removing saved payment information from online shopping accounts, waiting before larger purchases, and setting spending limits all create a pause between wanting something and buying it. Paying off $15,000 in credit card debt took discipline, but staying debt-free requires a different approach. Peter no longer needs to focus on digging himself out; he can focus on building a financial cushion that keeps him from needing to. The money that once went to a credit card company can start working for him instead — provided he gives it a purpose before it gets spent. This article is for informational purposes only and does not constitute investment advice. Figures cited reflect the source material and should be verified against the latest official announcements before making financial decisions.

Aug 30 2026, 13:45

Idaho tops retirement-friendly states ranking as Florida slips to 7th

Idaho scored a perfect 100 in Polaris Home Care's 50-state retirement ranking, while Florida — the most famous retirement destination — landed seventh at 83.77. The study's methodology weighed healthcare costs, housing expenses, property taxes, utilities, food costs, crime rates and average earnings across all 50 states, according to Polaris Home Care's published findings. The results show that even popular retirement destinations can fall short when everyday costs are factored in. Arizona ranked second at 90.67 with a property tax rate of just 0.41 percent — among the lowest in the country — and average monthly utility costs near $524. North Dakota took third at 90.48, with food and beverage costs around $3,810 per person annually, more than $500 below the national average. Virginia, Alabama, Wyoming, Florida, Mississippi, Minnesota and Michigan rounded out the top 10. The stakes are significant. The average retired household spends more than $61,000 per year, according to the U.S. Bureau of Labor Statistics, while the average retired worker receives about $2,000 per month in Social Security benefits — roughly $24,000 annually, per the Social Security Administration. With Fidelity estimating a 65-year-old retiring in 2025 may need approximately $172,000 for healthcare costs alone, state selection can materially affect retirement savings longevity. Idaho's top ranking reflects annual medical expenses of $8,148 per person, above-average earnings of $63,894 and a crime rate about 41 percent below the national average. The state's combination of affordability, safety and relatively low healthcare costs produced the only perfect score in the study. ## Alaska Ranks Last as Living Costs Outpace Earnings Alaska was named the least retirement-friendly state, scoring just 41.44. Although Alaska residents earn some of the highest average wages in the country at about $70,196 annually, those earnings are offset by high living costs. The state recorded some of the highest expenses for utilities, healthcare and food, including average monthly utility costs of $658 and annual medical spending of more than $13,600 per person. Alaska also had the highest violent crime rate among states analyzed. Missouri, Texas, Nebraska and Louisiana also landed in the bottom five. Texas, which has no state income tax, ranked third-worst in the study because higher property taxes, above-average crime rates and high utility costs dragged down its overall score. The rankings suggest that taxes alone don't determine retirement affordability. Florida's lack of state income tax and warm weather keep it attractive for retirees, but the study's composite scoring shows everyday costs matter more than tax policy alone. ## Six Factors to Weigh Before Relocating For retirees considering a move, the study's findings point to six key considerations: 1. **Total cost of living** — A state with no income tax may still have higher housing, insurance or healthcare costs that can drain retirement savings faster. 2. **Healthcare access and affordability** — Affordable medical care is only useful if quality providers and hospitals are accessible when needed. 3. **Housing costs and insurance** — Property taxes, homeowners insurance and climate-related costs such as flood or hurricane coverage can make a significant difference to a retirement budget. 4. **Safety and community amenities** — Crime rates, access to recreation, transportation and social activities all play a role in quality of life during retirement. 5. **Proximity to family and support networks** — A lower-cost state may not be the best choice if relocating means losing access to family, friends or caregiving support. 6. **Long-term affordability** — Consider whether a location will remain affordable as expenses rise over time. Retirement planning isn't about finding the cheapest place to live. It's about finding a place where money, health needs and lifestyle goals can work together — and the data shows that the best balance often isn't where retirees traditionally flock. *This article is for informational purposes only and does not constitute investment advice. Figures cited are from the sources noted and may change; readers should verify against the latest official announcements.*

Aug 30 2026, 13:19

Treasury Doubles Long-Bond Buybacks to $4B, Boosting Muni Duration Case

**Treasury's decision to at least double 10- to 30-year buybacks gives duration buyers their first clear green light in months — and the November midterms may add a second leg.** The US Treasury's decision to at least double its quarterly purchases of 10- to 30-year Treasuries to $4 billion per operation marks a policy pivot that strategists say could compress long-end yields and strengthen the case for extending duration in municipal bond portfolios. "The buyback expansion represents a meaningful reduction in net long-end supply and a strong signal of concern around market liquidity," said Erik Nelson, a strategist at Wells Fargo. "But it is unlikely to drive a sustained decline in long-end yields without another driver." The Treasury plans to conduct buybacks of 10- to 30-year securities worth at least $4 billion per operation during the coming quarter, up from up to $2 billion previously. The first larger operations for 10- and 20-year bonds begin September 10. The 10-year yield traded around 4.69 percent to 4.71 percent Monday, while the 30-year edged back to roughly 5.19 percent to 5.25 percent. The program comes as the US government's outstanding debt surpassed $40 trillion and the CBO projects a $1.9 trillion federal budget deficit for fiscal year 2026, with net interest costs exceeding $1 trillion. For muni investors, the buyback signal could drive inflows into long-duration funds, with the November midterms potentially adding further tailwinds. Wall Street strategists remain divided on whether the buybacks will meaningfully reset rate levels. Goldman Sachs strategists including George Cole and William Marshall wrote in an Aug. 21 research note that "the buybacks themselves are unlikely to meaningfully reset rate levels even if scaled up." They cited cyclical resilience, Fed policy reassessment, fiscal pressures, energy risks, and AI capital expenditures as the main drivers of the long-end selloff. Citi strategists led by Jason Williams see gains for 20-year Treasuries after the buyback announcement, arguing the long end "now has better asymmetric risk-reward with the new Treasury 'put' combined with attractive valuations, potential pension fund demand, and upcoming softer data." The 20-year "may benefit the most from future actions as Treasury is likely to reduce the size of its auctions, given how poor it trades relative to 10s and 30s." Deutsche Bank strategists led by Matthew Raskin said the announcement "highlights Treasury's more activist approach with a willingness to deploy tools more creatively and using communication tactically to keep long-end yields contained," though they still expect a steeper curve with long-end yields rising higher. Societe Generale's Subadra Rajappa and Shakeeb Hulikatti wrote that the buyback announcement is "unlikely to alter broader forces pushing yields higher," while Scotiabank's Boris Sender and Rachel Zheng said "despite Treasury Secretary Bessent's characterization, the move higher in long yields is justified by fundamentals." ### TGA Funding and the Cash Question The Treasury has yet to disclose precisely how it intends to fund the larger buybacks. One potential source is the Treasury General Account, the federal government's cash account at the Federal Reserve, which held roughly $940 billion as of last Wednesday. Using existing cash would allow the Treasury to conduct the purchases without issuing additional short-term debt, though it would reduce the government's available reserves. The TGA balance has been built up in part to accommodate about $166 billion in refunds owed to importers following a Supreme Court ruling that invalidated a significant portion of President Donald Trump's tariffs. If the Treasury opts to replenish cash used for buybacks through borrowing, the additional issuance would likely need to be concentrated in shorter maturities — preserving the objective of improving liquidity in the longer-dated market rather than increasing supply in the very sector the department is seeking to support. For municipal bond investors, the buyback expansion arrives at a moment when long-duration muni funds have been under pressure from elevated yields. The policy shift — combined with the potential for the November midterms to shift fiscal priorities — could provide the specific event needed to extend duration. The next key milestone is the Quarterly Refunding on November 4, when the Treasury may update how it balances buybacks, new debt issuance, and maintaining its cash balance. This article is for informational purposes only and does not constitute investment advice.