 | |  | |  | |  | |  |
Copy Rights 2007, Ask Robert Ruiz & Latin SocietyFoundation[Disclaimer] [Privacy Policy]Another Website Created & Hosted By www.securewebsource.com
Retirement Planning, Have Hispanics Missed the Importance of
it all?
By Robert Ruiz
Retirement, we will all go through it, but a majority of us won’t be successful at it. A majority
of us don’t have a plan. For some reason, Hispanics are leading the nation when it comes to
failing to plan for a financial future. If you sit down and listen to some of the conversations
that are held between two elderly Hispanics, you’ll endure in some of the greatest retirement
plans I’ve ever heard. They will discuss every single activity that they will participate in after
retirement down to the last detail. It sounds so realistically planned out. They sound like they
were ready to retire, but in reality, they have no idea.
Karen and Julio had every intention to retire in three years. But when asked about their
financial plan they looked dazed and confused. They were all but packed to go live in Florida.
They had the plan! They knew where they were going to live, where they were going to go,
they knew where they were going to visit. However, they had no idea on how they were going
to pay for it. Julio had managed through the years to save $25,000, but had no pension, no
assets, no investments and was still to young to collect Social Security Benefits. Karen had
managed to save no money, worked most of her life off the books, had no pension, no
assets, no investments, to young to collect Social Security (if she was old enough, would not
be collecting much), and thought that Julio’s money in the bank would be sufficient enough to
carry them through life!
These thoughts or should I say fantasies are very common within the Hispanic community.
The sad thing is, it’s not only the Hispanic elderly that are fantasing. Young Hispanics are
always talking up a storm about their retirement. When asked what type of retirement plan
they participate in, they also show signs of bewilderment. Why do Hispanics find it hard to
plan for retirement? Why is Hispanic awareness of financial stability low? Why do
Hispanics rely heavily on Social Security?
Financially Hispanics carry a now attitude. Spend now, buy now, splurge now, save later!
Majority of Hispanics live day by day; leaving tomorrow for tomorrow. Hispanics are also very
materialistic, if there is nothing to show for what they are saving for, they will not save. They
will save for a car, clothing, jewelry, and maybe a computer. When it comes to saving for
retirement or long- term investment such as stocks, mutual funds or pensions, they feel
awkward doing so, because the return is long term.
In reference the National Council of La Raza went on to write “Hispanics under age 65 are
less likely than whites or blacks to receive income from interest on savings and investments.
In 1998, of all persons reporting interest income, only 5.3% were Hispanic, while 88.9%
White and 6.5% Black. Moreover, of all Hispanics 65 and under with income in 1998, 27.4%
reported receiving income from interest payments. In comparison, more than half of all white
and more than one-quarter of all Black persons under age 65 with income in 1998 reported
income from interest payments”.
Most Hispanics when asked about a pension fund either don’t know what one is or never
knew that their employer offered such a plan. Another reason why Hispanics are aren’t
aware of pension plans are the jobs that they perform, or should I say their employers taking
advantage of the Money now attitude. Many employers get away with not giving Hispanic
employees benefits; instead of medical coverage, 401K plans and overtime pay, they offer
cash off the books wages. This is ideal for those Hispanics who are illegal immigrants;
which also paves the way for low wages and employee abuses. Financial Stability in the
Hispanic mind is not in the future but only in the present.
Though, times are changing as the immigrant mind frame of the American born Hispanic
mutates to the more popular investment mode, instead of the now mode, Hispanics are still
uninformed of their investment options or employment offered retirement plans. A major
reason why Hispanics do not invest their hard earned money for future use is due to the lack
of information available to them. The government goes out of their way to inform them in
Spanish and English about Welfare, Medicaid, and other public resources; however, when it
comes to the betterment of their financial future, information is not as accessible. Though
George Bush is now trying to make a change, so that Hispanics are not only given the
information needed to properly invest their money, but they are also being informed about the
benefits of investing their hard earned money for retirement. Don’t let George Bush and his
cronies fool you. There is an ulterior motive for this sudden urge of kindness, George Bush
is actually trying to push his social security reform plan. Without successfully marketing the
meaning of investment, Hispanics would never willfully agree to something that is not known
to them.
Even though more Hispanics are utilizing pension plans, the majority still have no access.
National Council of La Raza went on to write, “Hispanics typically do not have access to
private pension coverage. According to the department of labor, in 1995, of the 12.3 million
Hispanics in the U.S. workforce, only one-third (32%) had employee pension plans,
compared to one-half (51%) of whites and more than two-fifths (44%) of other minorities”.
Though some of you might think that the numbers are a little out dated, the numbers to date
have not change much.
Most Hispanics will spend in an average 30 years in retirement, so planning carefully is a
must. When most Hispanics reach retirement age, they will likely have two sources of
income. Those who are lucky will have some sort of pension and social security. Those who
are not as lucky will just collect social security. The big question is will that be enough?
Enough for those who might migrate back to their country and come back every six months to
keep their American status. For those who stay in the states, that income will not come close
to enough.
The time to start preparing for your retirement is now, for those of you who are still young and
haven’t started contributing to your retirement, start right now. For those who aren’t spring
chickens and haven’t started contributing towards your retirement start today. Something is
better than nothing.
Don’t wait until it’s too late! Go over your pension plan or 401(K) at work. Contribute to it as
much as possible. If you don’t already have a pension plan or 401(K) at work; visit your
human resource office and investigate their plans. As soon as possible start investing a
percentage of you pay towards your retirement. There are many ways to invest your money.
Some investments to ponder are, IRAs, mutual funds, stocks, bonds, money market or visit a
broker.
There is no secret way to this, (unless of course, you hit the lottery) make it a habit and invest
regularly, a well thought out plan put to work will never fail you.
About The Author:
Robert Ruiz is an editorial writer who writes for many publications. He is also the founder
and senior editor for Latin Society;silent voices www.latinsociety.com. He also has a monthly
column in The New Tomorrow. Also writes for the web magazine Did You Really Believe
www.didyoureallybelieve.com.
it all?
By Robert Ruiz
Retirement, we will all go through it, but a majority of us won’t be successful at it. A majority
of us don’t have a plan. For some reason, Hispanics are leading the nation when it comes to
failing to plan for a financial future. If you sit down and listen to some of the conversations
that are held between two elderly Hispanics, you’ll endure in some of the greatest retirement
plans I’ve ever heard. They will discuss every single activity that they will participate in after
retirement down to the last detail. It sounds so realistically planned out. They sound like they
were ready to retire, but in reality, they have no idea.
Karen and Julio had every intention to retire in three years. But when asked about their
financial plan they looked dazed and confused. They were all but packed to go live in Florida.
They had the plan! They knew where they were going to live, where they were going to go,
they knew where they were going to visit. However, they had no idea on how they were going
to pay for it. Julio had managed through the years to save $25,000, but had no pension, no
assets, no investments and was still to young to collect Social Security Benefits. Karen had
managed to save no money, worked most of her life off the books, had no pension, no
assets, no investments, to young to collect Social Security (if she was old enough, would not
be collecting much), and thought that Julio’s money in the bank would be sufficient enough to
carry them through life!
These thoughts or should I say fantasies are very common within the Hispanic community.
The sad thing is, it’s not only the Hispanic elderly that are fantasing. Young Hispanics are
always talking up a storm about their retirement. When asked what type of retirement plan
they participate in, they also show signs of bewilderment. Why do Hispanics find it hard to
plan for retirement? Why is Hispanic awareness of financial stability low? Why do
Hispanics rely heavily on Social Security?
Financially Hispanics carry a now attitude. Spend now, buy now, splurge now, save later!
Majority of Hispanics live day by day; leaving tomorrow for tomorrow. Hispanics are also very
materialistic, if there is nothing to show for what they are saving for, they will not save. They
will save for a car, clothing, jewelry, and maybe a computer. When it comes to saving for
retirement or long- term investment such as stocks, mutual funds or pensions, they feel
awkward doing so, because the return is long term.
In reference the National Council of La Raza went on to write “Hispanics under age 65 are
less likely than whites or blacks to receive income from interest on savings and investments.
In 1998, of all persons reporting interest income, only 5.3% were Hispanic, while 88.9%
White and 6.5% Black. Moreover, of all Hispanics 65 and under with income in 1998, 27.4%
reported receiving income from interest payments. In comparison, more than half of all white
and more than one-quarter of all Black persons under age 65 with income in 1998 reported
income from interest payments”.
Most Hispanics when asked about a pension fund either don’t know what one is or never
knew that their employer offered such a plan. Another reason why Hispanics are aren’t
aware of pension plans are the jobs that they perform, or should I say their employers taking
advantage of the Money now attitude. Many employers get away with not giving Hispanic
employees benefits; instead of medical coverage, 401K plans and overtime pay, they offer
cash off the books wages. This is ideal for those Hispanics who are illegal immigrants;
which also paves the way for low wages and employee abuses. Financial Stability in the
Hispanic mind is not in the future but only in the present.
Though, times are changing as the immigrant mind frame of the American born Hispanic
mutates to the more popular investment mode, instead of the now mode, Hispanics are still
uninformed of their investment options or employment offered retirement plans. A major
reason why Hispanics do not invest their hard earned money for future use is due to the lack
of information available to them. The government goes out of their way to inform them in
Spanish and English about Welfare, Medicaid, and other public resources; however, when it
comes to the betterment of their financial future, information is not as accessible. Though
George Bush is now trying to make a change, so that Hispanics are not only given the
information needed to properly invest their money, but they are also being informed about the
benefits of investing their hard earned money for retirement. Don’t let George Bush and his
cronies fool you. There is an ulterior motive for this sudden urge of kindness, George Bush
is actually trying to push his social security reform plan. Without successfully marketing the
meaning of investment, Hispanics would never willfully agree to something that is not known
to them.
Even though more Hispanics are utilizing pension plans, the majority still have no access.
National Council of La Raza went on to write, “Hispanics typically do not have access to
private pension coverage. According to the department of labor, in 1995, of the 12.3 million
Hispanics in the U.S. workforce, only one-third (32%) had employee pension plans,
compared to one-half (51%) of whites and more than two-fifths (44%) of other minorities”.
Though some of you might think that the numbers are a little out dated, the numbers to date
have not change much.
Most Hispanics will spend in an average 30 years in retirement, so planning carefully is a
must. When most Hispanics reach retirement age, they will likely have two sources of
income. Those who are lucky will have some sort of pension and social security. Those who
are not as lucky will just collect social security. The big question is will that be enough?
Enough for those who might migrate back to their country and come back every six months to
keep their American status. For those who stay in the states, that income will not come close
to enough.
The time to start preparing for your retirement is now, for those of you who are still young and
haven’t started contributing to your retirement, start right now. For those who aren’t spring
chickens and haven’t started contributing towards your retirement start today. Something is
better than nothing.
Don’t wait until it’s too late! Go over your pension plan or 401(K) at work. Contribute to it as
much as possible. If you don’t already have a pension plan or 401(K) at work; visit your
human resource office and investigate their plans. As soon as possible start investing a
percentage of you pay towards your retirement. There are many ways to invest your money.
Some investments to ponder are, IRAs, mutual funds, stocks, bonds, money market or visit a
broker.
There is no secret way to this, (unless of course, you hit the lottery) make it a habit and invest
regularly, a well thought out plan put to work will never fail you.
About The Author:
Robert Ruiz is an editorial writer who writes for many publications. He is also the founder
and senior editor for Latin Society;silent voices www.latinsociety.com. He also has a monthly
column in The New Tomorrow. Also writes for the web magazine Did You Really Believe
www.didyoureallybelieve.com.
| Articles Written By Robert Ruiz |
- How Does The New
Bankruptcy Laws Affect
Minorities? - Whatever You Do,Don't Co-
sign! - Retirement Planning, Have
Hispanics Missed the
Importance of it all. - Can Buying Your Dream
House, Become a
Nightmare? - College Years and Your
Credit. - Think Smart!
Other Articles By Robert Ruiz
(click here)
| Sponsors |
| Sponsors |
| Sponsors |
| The Gate keeper For Those Small Businesses That Can't Afford A Full Time Secretary However, Want A Full Time Answering Service www.gatekeeperansweringservice.com |
| Secure Web Source 4 Page Website $199 www.securewebsource.com |
| Hand Design Everyone does their own thing. Our thing happens to be designing your thing. Check it out. www.hangdesign.com |
| Hand Design Everyone does their own thing. Our thing happens to be designing your thing. Check it out. www.hangdesign.com |
| Vicky's Childcare Providing Allentown, P.A. With all of it Childcare Needs www.vickyschildcare.com |
| Expedient Investments Investing Is Not Only For The Rich! www.expedientinvestments.com |