Bankruptcy Late In Life

Hitting bankruptcy late in life doesn't mean that you can't get back on track and retire with dignity.

QUESTION: Doug and his wife are both 60 and coming out of bankruptcy. He’s not sure how to get his life back on track and save for retirement.

ANSWER: Some things that help you are to admit that you’ve been through a lot and you’ve got scars from that. That doesn’t make you anything but human. It’s not all right to stay in your funk, but you have been through a lot. The next step is to learn the lessons that were there. Do an autopsy on your situation and figure out what put you there, so you don’t do it again. Walking around with no budget, no savings and borrowing money doesn’t work.

Don’t worry about retirement. The way to lay the foundation for retirement is to become debt free and save an emergency fund. The retirement will come naturally after that. When you are in the dumps, 60 feels old. When you get a breath of fresh air and some hope, 60 is starting again. You probably won’t retire like Bill Gates in the next 10 years, but you can retire with dignity.