Four ways to generate cash in a down economy

Latest economic fallout creates a new "Senior Squeeze," further limiting finance options As the economy continues to worsen, many senior citizens find themselves caught in a new "Senior Squeeze" that is stressing their budgets while at the same time limiting their financing options. Many can no longer access credit or even sell their homes, leaving them with few ways to find money to augment their retirement budgets or avoid financial crises. Golden Gateway Financial, the Web's most comprehensive financial resource for seniors and retirees, recently shared four ways senior citizens can generate capital in today's increasingly challenging economy. "As banks and credit card companies are tightening their lending requirements, and the real estate market has greatly eroded home values or even eliminated the possibility of downsizing, seniors are finding fewer ways to make ends meet," said Eric Bachman, founder and CEO of Golden Gateway Financial. "Our goal as an unbiased online resource is to help seniors realistically assess their nest egg and to help them find smart, meaningful ways to generate income." Four fixes for failing budgets Revisit retirement budgets: Many seniors built retirement budgets based on income and economic conditions prior to today's challenging environment. The easiest and most cost-effective way to find additional dollars is often to start by updating an outdated budget. By trimming expenditures or expectations, seniors can often find unexpected funds. Golden Gateway Financial's Budget Reality Check is an easy way to double-check retirement planning and to find some extra cash for that rainy day. Secure a reverse mortgage: Many senior citizens have spent a lifetime building up equity in their homes. Through a government-insured reverse mortgage, they can now extract that equity. A reverse mortgage allows individuals 62years or older who own their homes to secure up-front cash, ongoing monthly payouts, or a combination of the two from a lender. The only stipulation is that the owner remains in their home and that they maintain the property. No credit evaluation is required. A monthly payout from a reverse mortgage can substantially augment social security payments, and because a borrower will never owe more than the current market value of their home, it protects heirs from debt. Golden Gateway Financial's online reverse mortgage calculator allows seniors to quickly and easily determine how much cash they are eligible for from a reverse mortgage. Explore life settlements: Most life insurance policies are originally purchased to protect families and loved ones, but nearly 85 percent of these policies never pay a benefit or pay less than they should. Life settlement allows a policyholder to sell their policy in exchange for a lump sum cash payment that is greater than the policy's cash surrender value. Previously used predominantly by the wealthy and those with financial planners, life settlement offers a compelling way to generate cash independent of physical access or a credit history. To learn more about life settlement visit www.ggflifesettlement.com/ls/. Consider buying out social security: A little-known strategy for those in need of extra cash is to cancel and repay existing social security benefits in order to reapply for new benefits at a later age. By doing this, individuals are gaining larger monthly payments. Funds from a reverse mortgage or a life settlement can even be used to pay this outstanding social security benefit. . For more information about Golden Gateway Financial's industry leading suite of online retirement assessment tools and resources, please visit www.goldengateway.com