While the stress of finances during retirement is often researched and discussed, one of the most pressing concerns among Americans rarely gets enough attention, and it’s an important one.

A new study found that as many as 54 percent of adults 50-years-old or older have a significant amount of stress about paying taxes during their retirement years. Transitioning from a steady paycheck to a fixed income without a clear idea of expenses can be unnerving to many and paying taxes on top of that can add an additional layer of uncertainty and source of stress.

When it comes to controllable concerns in retirement, nearly half of the survey respondents, including current and future retirees, reported being concerned with maintaining their lifestyle in addition to understanding how taxes impacted them. The majority of future retirees surveyed also reported significant worry over possible unexpected health care issues and the costs associated with them.

Both current and future retiree groups reported equally high levels of concern with unknown health care costs, long-term health, health insurance and taxes. Other areas of concern included in the report were social security, retirement readiness, having an emergency savings and budgeting, among others.

A HECM loan allows qualifying homeowners to tap into their home’s equity in the form of cash and can be an unexpected, but welcomed cushion during retirement years for those who need one due to lack of savings, unexpected health care costs or even other expenses like home repairs or traveling. Homeowners who are at the retirement age and occupy their home as their primary residence are eligible to apply for this unique type of loan, which doesn’t require payments until the home is sold.

If you think this is a solution you may want to explore, either in preparation for or during your retirement years, I’d like to talk about your options. Contact me today and let’s talk about your future.

*(1) at the conclusion of a reverse mortgage, the borrower must repay the loan and may have to sell the home or repay the loan from other proceeds; (2) charges will be assessed with the loan, including an origination fee, closing costs, mortgage insurance premiums and servicing fees; (3) the loan balance grows over time and interest is charged on the outstanding balance; (4) the borrower remains responsible for property taxes, hazard insurance and home maintenance, and failure to pay these amounts may result in the loss of the home; and (5) interest on a reverse mortgage is not tax-deductible until the borrower makes partial or full re-payment. This material is not from HUD or FHA and has not been approved by HUD or any government agency.