Do You Qualify for the Government Retiree Credit?

You may have heard about the Government Retiree Credit and wondered if all retirees qualify. The name sounds like it could be a credit FROM the government FOR retirees, right? Wrong. It’s actually a credit specifically for certain folks who are retired from government service. And not just any government service qualifies – it has to be service that was NOT covered by social security.

The one-time, $250 credit per eligible retiree is part of the American Recovery and Reinvestment Act of 2009. In order to take the credit, a retiree must:

• Have received during 2009, a government pension or annuity for service not covered by social security.
• Have a valid social security number.
• Attach a completed Schedule M to the 1040 or 1040A tax return for 2009.

Please note that this credit is refundable. This means that you may get the money even if you didn’t pay tax in during the year or owe taxes now. You can’t take the credit, however, if you got the $250 economic recovery payment during 2009. And if you also receive the Making Work Pay Credit, the amount will be reduced by the amount of your Government Retiree Credit. Are you confused yet?

For more information, check out the IRS website. The easiest thing to do, however, may be to just fill out a copy of Schedule M, following the instructions for each question, and see what it says at the end. Doing so should clearly show whether or not you qualify.

Be a Quitter! Stop Finishing Books

Stop wasting precious time finishing books that don’t grab you in the first few chapters. Life is just plain too short – you can’t possibly read every book there is anyway so be choosy!

It took me a long time to come to this conclusion but I’m so glad I did. In fact, it’s one of my New Year’s goals. So far so good – I have at least four books that I’ve quit reading after only wasting an hour or two on them. Think how much extra time I’ll have at my disposable over the course of a full year!

If you’re like I was and have a relentless compulsion to finish books once started, give yourself permission to stop this counterproductive behavior starting now. Resolve that you are not going to continue reading books that are boring, offensive or stupid. It doesn’t matter what the critics say – the only thing that is important is how you feel about the book. It is your time being spent, after all.

If necessary, gain some first hand experience with quitting. Get a book or two (or three) that you KNOW you don’t want to read and practice quitting during the first few chapters – or even the first few pages. Imagine how much more enjoyable your reading time will be when you only read those books that are worthwhile!

Is It Ever Too Late To Reinvent Yourself?

This is a question that was posed recently in a query looking for stories and advice from people who have started a business after 50. As I was drafting my response, I realized it should be a post to this blog. Duh. So here it is –

Too late? Never! Just after 50 I started a custom memorial quilt service. Drawing upon my life-long sewing experience, my relatively new interest in quilting and my tendency to re-purpose clothing, I began taking orders for custom memorial quilts and have created several keepsakes from clothing is the past year and a half. Then this past summer I began taking on some freelance writing and in the past few weeks I’ve opened an Etsy shop. So that’s actually three small businesses I’ve started after 50.

My advice to other retirees contemplating starting a business?

• Think about what you know and what you love to find a good fit for you.
• Stay alert – opportunity often knocks softly.
• Focus on developing several small income streams rather than relying on just one or two larger ones.
• Start slow and test the waters but give each idea a fair shot.
• Set parameters on how much time, money and other resources are to be committed to each endeavor and stay within those parameters.
• Have a clear definition of success for each venture and a set date on which it will end if goals are not being met. NOTE: This isn’t about giving up but rather about realistically assessing whether or not something is working.
• Regularly reevaluate, remain flexible and make appropriate changes when warranted.

As stated in the side bar of this blog, I really do believe that the best years are yet to come!

Supplement Retirement Income with Freelance Writing

Many retirees are interested in making extra money. Some need to supplement their income just to get by. One viable income producing option is freelance writing. Thanks to the Internet, most anyone can find a variety of opportunities from the comfort of home.

I began my freelance writing journey quite by accident. Last summer I stumbled upon the No Job For Mom (NJFM) blog and found out about Textbroker and eHow. Once I knew what to look for, I found endless opportunities online just waiting to be explored. I'm a firm believer, however, in using my time wisely by learning from others and this is where various blogs are so valuable.

To that end, I track the NJFM blog daily as Felicia always has good, relevant info to share. I also keep my eyes peeled for other blogs of interest. Today, through a comment on Felicia's blog, I found a great post that could save a newbie a ton of time. Master Dayton has generously shared 50 Things Beginning Writers Should Know. Makes me glad I'm still a beginner!

If you're a retiree who would like to make some money from home, consider whether freelance writing may be right for you. Do your research to zero in on the legitimate opportunities and to avoid those that are a waste of time or worse yet, a scam. There's a wealth of information available based on the personal experiences of those further along the path. Seek the wisdom of these pioneers and when the time comes, share your knowledge and experience, as well.

Quilt for a Cure – My Small Contribution

My local quilt shop is coordinating a challenge to help the American Cancer Society and Relay for Life. Participants are given a packet of fabrics from which to create a 12½” block. The blocks will then be sewn together to create a sampler quilt to be raffled as a fundraiser for Relay for Life. What a great idea!

I'd like to share my block. I chose Hand of Friendship for the center, with the Quilt for a Cure logo from the fabric in the middle, and then bordered it out to the correct size.

As the printing on the fabric was faint, I darkened it with a pigma pen. As usual, I didn’t manage to think to do this BEFORE I sewed the block together. Oh no – I waited until it was completely done so the pressure was on! Had I messed up my tracing, it would have been back to the beginning. But luck was with me and I stayed on the lines.

I actually have enough fabric left to make another block so may get that done before the deadline in Feb. If so, I’ll be sharing again!

Declutter Your Clothes

Week 3 of the AARP Clutter Challenge focuses on clothing. How many items do you have taking up valuable space that you won’t, don’t or can’t wear? Time to clear out the excess and release those items! Clutter Challenge leader, Ciji Ware, recommends “getting rid of anything that doesn’t suit your present age, stage, lifestyle, or size.” Does that sound like half of your clothes? Well, there are many options for moving clothing along.

If you have items that you just can’t part with but that are no longer usable as is, consider whether they can be upcycled. Think throw pillows or quilts, such as the one pictured here. Check out my Custom Memorial Quilts blog for ideas. Just click on the specific project pages on the right. And if you’d like a quilt made from your clothing, I’d be happy to help – see details on my website, CustomMemorialQuilts.com.

Do Your Family a Favor – Declutter Before It’s Too Late!

AARP is having an 8-week Clutter Challenge lead by decluttering expert Ciji Ware, author of Rightsizing Your Life: Simplifying Your Surroundings While Keeping What Matters Most. Although the second week has just ended, you can still join in. All you’ve missed so far is Paper, Part 1 and Dead Electronics, so it shouldn’t be too difficult to catch up.

An interesting thread was recently started by one of the challenge members – "Consider decluttering by giving things away to family/friends before you expire." Have you thought about this? It actually makes a lot of sense and would be oh so appreciated by those left behind.

Do you have items that you’d like to pass along to specific people? Why not now? How much simpler would life be if you could shed yourself of excess possessions? Start freeing yourself and your space today! What are you waiting for?

If you're interested in Ms. Ware's book, I've included an Amazon link. I have an Amazon Affiliate account so if you buy one by clicking on this link, I’ll get a little kickback. But if you'd just like to read it rather than own it, check your local library or ask around - a friend or family member may already have copy that you could borrow.

Live Each Day to the Fullest -

"It's only when we truly know and understand that we have limited time on earth - and that we have no way of knowing when our time is up - that we will begin to live each day to the fullest, as if it was the only one we had."


Elisabeth Kubler-Ross