As the cost of living is on the rise, many baby boomers find themselves working longer than they expected and putting off their retirement because they have been unable to save enough for an easy retirement. The cost of healthcare is on the rise, and these services may be required more by baby boomers than by younger Arizona residents. Many people use their credit cards to pay these bills and do not pay off their credit card bill, therefore accruing interest and facing even more financial difficulty.
People facing financial difficulties may have considered packing their lunch, cutting coupons or cutting down on driving, but some baby boomers have taken to the internet to get extra cash. A recent study by MGM Advantage shows that one in five baby boomers has taken to selling their belongings on the internet in order to get extra cash. Though the trend of selling items is not new, what is new is the number of baby boomers employing the tactic.
Though the cash gathered may be enough to cover minor finances, there may come a point where it is not enough to sustain daily expenses and rising bills. For these situations, Arizona residents should consider availing the federal and state protection offered by personal bankruptcy, whether it is Chapter 7 or 13. Filing bankruptcy wipes out most bills, while Chapter 13 bankruptcy allows debtors to pay off their debt at a much more manageable rate than what it may have been previously. The money in an individual retirement account is usually exempt from bankruptcy proceedings.
Filing for bankruptcy is one way Arizona residents may be able to regain control of their financial life while retaining possession of some of their household assets, including the residential home itself, up to a certain value.
Source: Local12.com, "Family 411: Using Online Selling to Supplement Income," April 18, 2014