Retirement Living News

December, 2007

HEADLINES  (Click on headline to read story)

• Five Organizations Recognized for Creating 
  User-Friendly Homes and Developments
• FTC Releases Survey of Identity Theft in the U.S.
• Placing a Security Freeze Tool May Be Best Way 
  to Protect Yourself from Identity Theft
• New Report Focuses on How to Leverage the Aging Workforce
• New Eligibility Requirements for CSA Designation to be Implemented in January
• Survey Finds Many Retirees Underestimate Drug Costs

Archive of Past Issues                          New Retirement Communities

NEWS STORIES

Five Organizations Recognized for Creating 
User-Friendly Homes and Developments 

AARP and the National Association of Home Builders (NAHB) announced last month that two builders, two developers and one remodeler will receive the groups' 2007 Livable Communities Award for forward thinking in the field of home and community design. The Livable Communities Award honors builders, developers and remodelers that create attractive, well-designed homes and communities, which are safe, comfortable and accessible for people of all ages and abilities.

The winning projects include an affordable, co-housing complex that preserves open space and community gardens; a mixed-use, pedestrian-friendly college town community in an evolving urban setting; an "Easy Living" home featuring built-in user-friendly design elements; a state-of-the-art energy efficient home designed for all ages with the architectural details of its adjoining historic neighborhood; and a house remodeled with function and fashion in mind to be a "home for a lifetime." 

"This award celebrates the ingenuity of the winners in meeting the growing need and demand for user-friendly homes and communities designed to meet the needs and abilities of all residents," says Elinor Ginzler, AARP's Director of Livable Communities. 

"These builders, remodelers and developers are being recognized as leaders in the effort to meet the needs of the nation's 50-plus consumers and their families," said NAHB President Brian Catalde, a home builder from El Segundo, Calif." This fast-growing market is very important to our industry, and these award-winning projects provide great examples of design innovations that promote more safe and comfortable living." 

The 2007 Livable Communities awards recognize five companies in five categories. 

Builder up to 2,500 square feet: John Wesley Miller Companies (for Armory Park del Sol in Tucson, Ariz. -- http://www.armoryparkdelsol.com/) . This user-friendly home design features state-of-the-art energy efficient technology, including solar panels and solar water heating systems, to reduce energy usage by 56 percent. The house also includes a well-designed kitchen, bathroom, entryways, and architectural details of the surrounding historic neighborhood. 

Builder with more than 2,500 square feet: Wendt Builders Inc. (for Olde Town Grayson, Lot 13B in Grayson, Ga. -- http://www.oldetowngrayson.com/). Besides a step-free entrance, a full bedroom and bath on the main floor and broad doorways, the design upgrades in this builder's "Easy Living" house include barrier-free showers, Jacuzzi tubs with large ledges, deep pull-out kitchen cabinet drawers, and recessed and rope lighting throughout the house. 

Developer up to 250 units: Madison Area Community Land Trust (for Troy Gardens in Madison, Wis. -- http://www.troygardens.org/). This 30-unit, mixed-income, co-housing community now protects 26 acres of open space for environmental preservation -- currently used as an organic farm, community gardens, a prairie and a wildlife habitat. It meets the highest standards for individual accessibility and is an easy public transit or bike ride to downtown Madison. 

Developer with more than 250 units: The Integral Group (for CollegeTown at West End in Atlanta, Ga. -- http://www.collegetownwe.com/home.htm). This mixed-income, mixed-use college town community -- which will eventually include multi-family apartments and units designed for those 50+, retail and commercial space, town houses, single-family homes, and an inn -- is a pedestrian-friendly community in an evolving urban setting close to cultural attractions in the greater Atlanta area. 

Remodeler spending more than $25,000: Quality, Design & Construction, Inc. (for "Ann's Ridge Road Dream" in Raleigh, N.C.) This remodeled home was designed to accommodate the owner's current and future needs in an already existing structure. Subtle elements promoting safety, comfort and accessibility include, a step-free entry, the absence of hallways on the first floor, zoned, recessed lighting and task lighting throughout the house, easy- to-use kitchen cabinets, a roomy bath with a curbless shower, and multi-level countertops.
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FTC Releases Survey of Identity Theft in the U.S.

The Federal Trade Commission has released a survey showing that 8.3 million American adults, or 3.7 percent of all American adults, were victims of identity theft in 2005. Of the victims, 3.2 million, or 1.4 percent of all adults, experienced misuse of their existing credit card accounts; 3.3 million, or 1.5 percent, experienced misuse of non-credit card accounts; and 1.8 million victims, or 0.8 percent, found that new accounts were opened or other frauds were committed using their personal identifying information. 

The survey found that the costs associated with identity theft varied widely. The survey first looked at the value of the goods or services that the thieves obtained using the victims' personal information. In at least half of all incidents, thieves obtained goods or services worth $500 or less. In 10 percent of cases, however, thieves got at least $6,000 worth of goods or services. 

The survey also gathered information about victims' out-of-pocket expenses resulting from the theft of their identities. In more than half of the incidents, victims incurred no out-of-pocket expenses. Some victims, however, incurred substantial out-of-pocket expenses - 10 percent of all victims reported out-of-pocket expenses of $1,200 or more. 

In addition, the survey asked victims to estimate the amount of time they spent resolving problems caused by the theft. The median time spent resolving problems by all victims was four hours. Ten percent of victims, however, spent at least 55 hours resolving their problems, and half of those spent at least 130 hours. 

The survey found that thieves obtained more goods and services - and victims spent more time and money recovering in cases where the thief opened new accounts rather than only hijacking existing accounts. Where the theft was limited to the misuse of existing accounts, the median value of goods and services obtained by the thieves was less than $500. Where the thieves opened new accounts or committed other frauds, the median value of goods and services they obtained was $1,350. 

The FTC has issued a comprehensive booklet "Take Charge: Fighting Back Against Identity Theft " which can be viewed online at http://www.ftc.gov/bcp/edu/pubs/consumer/idtheft/idt04.shtm
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Placing a Security Freeze Tool May Be Best Way to 
Protect Yourself from Identity Theft 

The beginning of the holiday shopping season has raised concerns about identity theft and the role of security freezes, an important tool for protecting critical personal information. A recent report by AARP's Public Policy Institute found that older consumers are largely unaware of the existence of this protection, and would be more likely to take advantage of security freezes if the process of placing and using the freeze were easier and less costly. 

A security freeze requires the three consumer reporting agencies (Equifax, Experian and TransUnion) to block access to a consumer's credit information and score without the consumer's express consent or authorization. Security freezes, when placed at all three consumer reporting agencies, can stop identity thieves from fraudulently opening new lines of credit and bank accounts. 

The study found that 81 percent of older consumers are concerned about becoming a victim of identity theft, but only 31 percent had ever read or heard about a security freeze and only 2 percent could identify the name of this service.

While more than half of those surveyed felt that it would not be easy to place a security freeze, the benefits and peace of mind far outweigh the costs or inconvenience associated with placing a security freeze. AARP continues to work at the state and federal levels to make security freezes more accessible to all Americans. 

"Numerous states have taken action to require that security freezes be made available. We appreciate the initial steps taken by the credit reporting agencies to respond to these laws, but clearly, more action is needed. We firmly believe this is something all consumers should know about and have the option to use," said Susan Reinhard, Senior Managing Director of Public Policy. 

AARP has developed a dedicated web page about security freezes -- visit http://www.aarp.org/securityfreeze.
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New Report Focuses on How to Leverage the Aging Workforce

One of the most anticipated workplace trends of the 21st Century is the huge retirement wave that will hit most industrialized countries, including the United States, in the next few years. But surveys consistently report that most companies are unprepared to respond to the seismic shifts that are expected to appear in the workforce. 

"Searching for the Silver Bullet: Leading Edge Solutions for Leveraging an Aging Workforce" is a new study conducted by the MetLife Mature Market Institute in Westport, Conn. Developed in collaboration with David DeLong & Associates, it explores what proactive organizations are doing to creatively meet the challenges presented by an aging workforce. The study included in-depth case studies about four companies that have successfully implemented programs to address the changing workforce demographics: Boston Scientific, First Horizon Corporation, The Aerospace Corporation and Weyerhaeuser. 

Drawing on the experiences of employers that have put innovative initiatives in place to address the changing demographics, the study provides insight for HR managers on such topics as: implementing effective flexible work arrangements, helping older workers successfully transfer knowledge and devising creative strategies for rehiring retirees. 

The U.S. Bureau of Labor Statistics indicates that between 2004 and 2014 the growth in the percentage of older workers will far outpace that of younger workers. In that period, the percentage of individuals in the workforce ages 55-64 is expected to grow 42 percent, compared to a 5 percent increase in workers age 45-54 and an 8 percent decline in workers age 35-44. 

"As the wave of baby boomers approach retirement, companies are searching for a silver bullet - a one size fits all approach for addressing the needs of a aging workforce, " said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute. "However, what we learned from this new study is that there is no panacea for addressing the needs of a mature workforce. What's needed, instead, is a portfolio of strategies and solutions that balance the need to retain older workers while also transferring knowledge to younger workers, so that business performance can be sustained." To download a copy of the 32-page report, click here. 
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New Eligibility Requirements for CSA Designation 
to be Implemented in January

In the wake of criticism and scrutiny by Congress this past summer about various financial designations, the Society of Certified Senior Advisors has announced that beginning January 1, 2008 it will implement new eligibility requirements to become a Certified Senior Advisor (CSA). The goal is to tighten requirements in order to meet the accreditation standards of the National Commission for Certifying Agencies. 

Under the new plan CSA candidates must pass the CSA examination, submit to a background check, and sign the CSA Code of Professional Responsibility. In addition they must meet one of the following new education and/or experience eligibility requirements before they can earn the CSA designation: 

• Complete the CSA course or its equivalent and one year of paid work experience working with seniors, or 50 hours of volunteer experience with seniors within the last three years; 
• Complete two years of paid work experience working with seniors or 100 hours of volunteer experience with seniors within the last three years; 
• Complete a certificate or degree program in a field related to working with seniors from an accredited college or university. 

The Certified Senior Advisor (CSA) designation is the leading professional credential for persons seeking to work more effectively with their senior clients. The CSA designation signifies that a certificant has attained the broad-based knowledge of the health, social and financial issues that are important to seniors, and the dynamics of how these factors work together in seniors' lives.

Professionals from many walks of life have added the CSA designation to their credentials. They've learned how gratifying it is to help seniors achieve their goals, and the seniors they've helped have learned how important it is to work with someone who truly understands their age-related circumstances. 

The Society of Certified Senior Advisors was founded in 1997 by a group of forward-thinking geriatric MD's, gerontologists, elder law attorneys, CPA's, financial planners and other qualified professionals. Senior citizens prefer to use professionals who are well trained and specifically educated in the issues that are most important to seniors. For more information about the organization, click here. 
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Survey Finds Many Retirees Underestimate Drug Costs

Medical and drug expenses threaten to shatter the retirement nest egg of many seniors, according to a new nationwide survey of retirees, many of whom concede that their under-estimation of the impact of escalating health care costs has significantly compromised their "golden years" lifestyle. 

One in three retirees claim that they are spending far more on their health care and prescription drugs than they expected. And 55 percent admit completely overlooking their health care and prescription drug needs when they were planning for retirement expenses, according to new research released last month by Medco Health Solutions, Inc. 

Not only did a sizeable proportion of retirees fail to properly plan for health care and prescription drug costs, but nearly half of all retirees (49 percent) indicate they never assess the impact health care costs are having on their retirement savings or lifestyle. 

The research was culled from "America's Unhealthy Nest Egg," a national survey of 1,000 Americans over age 65 conducted for Medco by Directive Analytics.

"Retirees have planned for food, shelter, taxes and entertainment, but too many neglect drug and medical costs - which are rising far faster than the inflation rate - jeopardizing the quality of life they expect to enjoy during retirement," said Sally Greenberg, Executive Director, National Consumers League. "The fact that many seniors have not planned for increased health expenses, and the fact that many aren't aware of ways they may be able to save on their medications, shows a real need for education about how to build a healthy nest egg." 

The Medco research revealed that for one in four middle-income retirees, $1 out of every $10 of their monthly retirement income goes to pay for medications alone. Furthermore, fewer than half of retirees (48 percent) indicate that they use all of the tools at their disposal to save money on their medications; and approximately one in four (24 percent) claims to use very few to no cost savings tools available to cut their medication expenses. 

Medco has launched a national push to educate retirees on hidden drug savings. The effort includes a consumer guide titled "Prescription for a Healthy Nest Egg: Half a Dozen Ways to Lower Your Drug Costs and Stretch Your Retirement Dollar." The free guide presents easy-to-understand information on savings tools that are largely unknown or underutilized by retirees including generic alternatives, optimizing dosages, and eliminating overlapping medications from different doctors. The guide is available free and can be downloaded by clicking here. 
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