How Healthy Is Your Retirement Plan in the Midst of the COVID Crisis?
Give yourself a financial checkup today to see if you’re doing all that you can to have a healthy and happy retirement. Here are eight tactics to help boost your bottom line.


As the world moves into yet another year of dealing with the persistent coronavirus pandemic, we’re all still struggling to wrap our minds around the many challenges we face.
First and foremost are ongoing concerns regarding the health of our families, friends, colleagues and others. But, of course, this isn’t just a medical crisis. For many, the pandemic is also taking a toll on their financial well-being. And the longer it drags on, the more it could threaten their ability to retire when and how they planned.
How can those workers avoid falling victim to a failing retirement?
For those who are out of work, the advice is fairly straightforward: Find good work as quickly as you can, and fight to remain extremely valuable to your employer.
For those who are still among the ranks of the employed, your financial outlook may be stronger. But if you’re worried about the health of your retirement plan, here are some remedies to consider:
The appearances in Kiplinger were obtained through a PR program. The columnist received assistance from a public relations firm in preparing this piece for submission to Kiplinger.com. Kiplinger was not compensated in any way.

Plan to work longer
This may be a bitter pill to swallow if you planned to retire soon. But it’s just a matter of doing some math. The longer you can keep working, the more you should be able to save for retirement — and you won’t have to spread the money you’ve saved over as many years. (For an eye-opening look at how long you might have to make your retirement income last, check out the Social Security Administration’s life expectancy calculator.)

Spend less and save more
Have you reworked your budget to reflect the changes in your expenses since the pandemic started? If you’re spending less on things like clothing, transportation and entertainment, can you set aside a bit more toward your savings and investments? Even a small increase in savings each month — or each paycheck — could result in a big improvement in your lifestyle down the road. And if you can keep expenses low, you’ll be able to draw less from your savings in retirement, which means your nest egg will last longer.

Invest with a long-term approach
The longer you can put off withdrawing money from your retirement accounts, the longer you may feel comfortable with a more moderate or even aggressive portfolio mix that could help keep your money growing. Even in retirement, you may wish to keep a segment of your portfolio invested in equities to mitigate inflation risk.

Utilize income-focused investments
All investments are not created equally when it comes to providing retirement income. With dividend-paying stocks, for example, even if the value doesn’t rise, the stock will pay you just for owning it, which makes this a dependable income source. And reliable income is key to a successful retirement.


If you’re already retired, get a part-time job
Nothing takes the pressure off a fragile nest egg like a new source of income. Working part time after retirement could:
- Help you maximize your Social Security benefits by allowing you to delay claiming until you reach your full retirement age.
- Help you hold on to your savings longer.
- Provide an opportunity to face new challenges and make new friends (which could be good for your health).

Insure against health care catastrophes
A costly stay at a nursing home can drain a nest egg faster than pretty much any other event. According to Genworth’s annual Cost of Care Survey, the median monthly cost of a private room in a U.S. nursing home in 2020 was $8,821. And Medicare generally doesn’t cover long-term custodial care. So now is the time to make a plan for how you’ll pay for long-term health costs should you or your spouse require this type of care in the future.

Employ tax-sensitive strategies
If you’re over 59½ and expect to earn less because of COVID-19, or you want to take advantage of lower tax rates that are scheduled to sunset at the end of 2025, you may want to consider moving money from a tax-deferred retirement plan (a 401(k), 403(b) or traditional IRA) to a Roth IRA or some other tax-free investment vehicle. You’ll have to pay income taxes now on the money you convert to a Roth, but if you expect tax rates to go up in the future (and many experts do), you may benefit from this strategy when you retire. While you’re at it, speak to your financial adviser about creating a sound withdrawal strategy that could further minimize the taxes you owe in retirement.
While none of these remedies on its own is a sure cure for frail finances, combined they may provide the shot in the arm your retirement plan needs right now. That’s why most financial professionals suggest developing a proactive income and investment plan, followed by regular checkups to review and make adjustments each year.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

As Founder of Elevated Retirement Group, Inc., Scott Dougan has built a comprehensive retirement planning company focused on helping clients grow and preserve their wealth. Under Scott’s leadership, a team of experienced financial advisers, Certified Financial Planners (CFP®) and CPAs use tax-efficient strategies, professional investment management, income planning and proactive health care planning to help clients feel confident in their financial future — and the legacy they leave behind. Scott has also written a book titled “Exceptional Retirement: Tools and Strategies for Retiring on Your Terms” (click here to request a free copy). You can find Scott on YouTube by clicking here, where he creates educational videos for those near retirement. If you would like to talk to Scott’s team, you can schedule a call by clicking here.
-
4 Career Moves to Make Now if You're Worried About a Recession
Worried about a recession? These steps to protect your job prospects will help you professionally whether a downturn develops or not.
-
How StoryCorps Works and How You Can Tell Your Story
StoryCorps has recorded conversations between thousands of people, and anyone can participate. National facilitator Alan Jinich explains how to share your story.
-
I'm a Retirement Psychologist: Here's Why Doing What You 'Ought' in Retirement Beats Doing Whatever You Want
True retirement freedom isn't about simply doing whatever you want, but about finding purpose and direction through commitments that align with your deepest values and allow you to contribute meaningfully.
-
Tactical Roth Conversions: Why 2025-2028 Is a Critical Window for Retirees
The One Big Beautiful Bill (OBBB) extended today's low tax brackets, but they may not last. Here's how smart planning now can prevent costly tax surprises later.
-
Ready to Retire? It's Not Too Late to Convert to a Roth IRA
Millions of Americans are turning 65 this year. If you're retiring soon, don't dismiss the idea of a Roth conversion — it could still be a smart move even now.
-
I'm a Financial Adviser: Three Things You Will Wish You Did Before the Fed Cuts Interest Rates
With potential interest rate cuts on the horizon, you might want to lock in today's higher yields and consider adjusting your asset allocation.
-
Simple Ways to Save on Back-to-School Shopping This Year
Set a budget and stick to it, scour the house for what you already have, decorate backpacks and lunch boxes with your kids and consider buying some items during holiday sales.
-
The Seven-Day Financial Reset: A Simple Plan to Get Control of Your Money, From an Expert
Sometimes, getting unstuck requires a reset. These practical steps can help you tackle your money issues and feel less overwhelmed by it all.
-
Three Pros (and Four Cons) of Hiring Multiple Financial Advisers: The View From a Financial Adviser
There's nothing to stop you from working with several financial advisers instead of just one. But take a balanced view of the risks and rewards first.
-
I'm an Annuities Expert: Here Are Two Ways to Use Annuities to Benefit From the OBBB
To qualify for a new tax break included in the One Big Beautiful Bill Act, some older adults need to lower their taxable income. Annuities can make that happen.