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business Tuesday 29 March 2022
3 tasks for new retirees that will pay off later

By LIZ WESTON of NerdWal- often become more com- from these payments, you
let plex. may need to file and pay
After a working lifetime of "There's a lot more that estimated quarterly taxes
alarm clocks and meet- goes into the distribution to avoid penalties.
ings, you might be looking phase of retirement than TEND TO YOUR HEALTH
forward to a lot more un- the accumulation phase," Too often, preventable
structured time once you Azeles says. diseases cut lives short or
retire. But taking care of After your plan is in place, limit what people can do
one more to-do list early on here's what to do after you in retirement. Consider in-
can set you up for a better actually retire. vesting some of your newly
retirement. TWEAK YOUR SPENDING free hours in maintaining
The following assumes PLAN or improving your physical
you've already done some Inflation and volatile mar- health.
basic financial planning. kets can be problematic A medical checkup with
Ideally, before you retire, for anyone, but they are your doctor can help you
you'll create a budget, de- particularly dangerous to identify any conditions that
cide when to claim Social retirees. If you're not earn- need treatment, get up to
Security, settle on a sustain- ing an income, you can't date on immunizations and
able withdrawal rate from ask for a raise to compen- determine what screen-
your retirement funds and sate for rising prices. Mean- This undated file photo provided by NerdWallet shows Liz Weston, ings you should schedule.
figure out how you'll cover while, bad markets early in a columnist for personal finance website NerdWallet.com. You also can discuss how
health care expenses. If retirement can dramatical- Associated Press to start or increase an ex-
any of those topics are still ly increase the chances of ercise plan. The Centers for
a mystery, consider talking running short of money. ary increase when markets if conversions are a good Disease Control and Pre-
to a fee-only financial ad- One way to cope is to iden- return less than 5% in a year, idea, and if so, how much vention recommends 150
visor. If money's tight, you tify discretionary spending Roy says. to convert each year to minutes of moderate exer-
may qualify for free or low that you can cut. Trimming GET GOOD TAX ADVICE avoid triggering a higher cise — such as brisk walking
cost consultations through expenses can help you off- Many people's tax situa- tax bracket or Medicare — every week, plus at least
the Foundation for Finan- set inflation, but it can also tions change when they surcharges. two weekly sessions of mus-
cial Planning, National As- help you ride out bad mar- transition into retirement, Another way to reduce cle-strengthening activities
sociation of Personal Finan- kets, says Katherine Roy, and they may have unique your tax bill if you have for all adults. People ages
cial Advisors or the Associa- chief retirement strategist opportunities to manage more money than you 65 and older should add
tion for Financial Counsel- for J.P. Morgan Asset Man- their tax bills, Azeles says. need is to donate to chari- balance exercises (you
ing & Planning Education, agement. Good savers, for example, ties directly from your IRA. can find them online), such
among other organizations. Traditionally, retirees were could find themselves in a So-called qualified chari- as standing on one foot.
Even longtime do-it-your- encouraged to withdraw higher tax bracket at age table distributions can start Your mental and emotion-
selfers should consider a certain percentage of 72, when required mini- at age 70 ½. al health are important,
getting expert retirement their investments the first mum withdrawals from re- Even if you're not awash in as well. The people who
planning advice, says year — 4% was a popular tirement accounts typically cash, your taxes may be struggle the most in retire-
Catherine Azeles, a certi- figure — and increase the start. In some cases, it can higher than you expect. ment are often the ones
fied financial planner and withdrawal by the amount make sense to do partial Most retirement income — who don't have a plan for
investment consultant in of inflation each year. J.P. Roth conversions in your 60s including Social Security, replacing some of the re-
Harrisburg, Pennsylvania. Morgan research, howev- to spread out and reduce pension payouts and retire- warding aspects of work,
Although your days may be er, shows people are less that tax bill, Azeles says. A ment fund withdrawals — is including a sense of pur-
simpler without workplace likely to run short of money tax pro or financial planner potentially taxable. If you pose, structure and social
demands, your finances if they forgo that inflation- can help you determine don't have taxes withheld interaction, Roy says. q

Walmart to end cigarette sales in some stores

By ANNE D'INNOCENZIO store chain CVS Health did cigarettes at Walmart will
NEW YORK (AP) — Walmart the same in 2014. be made on a store-by-
will no longer sell cigarettes CVS Health sales in areas store basis according to
in some of its stores though outside the pharmacy fell the business and particular
tobacco sales can be a sig- for a few quarters after it market, the company said
nificant revenue generator. pulled tobacco products, Monday.
Wall Street Journal was the and the company had "We are always looking at
first to report the develop- predicted that missing to- ways to meet our custom-
ment Monday. It noted bacco products would hurt ers' needs while still operat-
some stores in California, annual earnings by 7 to 8 ing an efficient business,"
Florida, Arkansas and New cents per share. Walmart said in a prepared
Mexico were on the list, Overall revenue has grown statement.
citing anonymous sources every year at CVS, how- Health officials say that
and store visits. ever, after a number of cigarette smoking causes In this Sept. 3, 2019, file photo, a Walmart logo forms part of a
Walmart is not the first na- acquisitions and changes about one of every five sign outside a Walmart store, in Walpole, Mass.
tional retail chain to cut off to its stores bolstered the deaths in the U.S. each Associated Press
cigarette sales even on a company's health care of- year.
trial basis, but it is the larg- ferings. CVS Health bought Walmart Inc., based in business and would stop the time the decision was
est. the health insurer Aetna in Bentonville, Arkansas, an- selling electronic ciga- based on "growing federal,
Target ended cigarette 2017. nounced in 2019 that it was rettes at its stores and also state and local regulatory
sales in 1996 and the drug- Decisions about removing getting out of the vaping at Sam's Clubs. It said at complexity."q