The American retirement dream is to trade the stress of the workaday world for a new life of relaxation and leisure. But for seniors on a fixed income, the retirement reality can be a nightmare of constant worries about stretching limited dollars.

"Money is a big issue for today's seniors. Many people work long after they really want to because they can't afford to retire," says Janet Warren, branch manager of Consumer Credit Counseling Service (CCCS). "In addition, at CCCS we're seeing a significant number of older adults who have gotten into trouble using credit to make ends meet."

To help older Americans enjoy their retirement years free from financial worries, CCCS has put together this money guide for seniors.

* Set up a budget. Divide your expenses into categories such as housing, food, insurance, car, and the like. Use old receipts and cancelled checks to figure out how much you typically spend in each category. If you are unsure, track your spending for a month and then categorize your expenses. Add up the amount you spend in each division and derive the grand total. Next, compare your expenses to your income sources. Tally income from all sources Social Security (www.ssa.gov), pensions, 401 (k) plans, IRAs and other investments. If your expenses exceed your income, you'll have to look for places to cut back.

* Check income sources. If you need additional income to make ends meet, there are several ways to try and generate it. Contact old employers to see if you are vested in a pension of which you were unaware. Furthermore, contact the federal and state government to see if you qualify for any additional benefits. If you want a part-time job to help make ends meet, you may qualify for government training to learn a new skill. However, know the impact that your wages earning might have on your Social Security benefits before you begin working. Finally, you may consider selling your home or using a reverse mortgage to tap into your home equity as an income source.

* Be wary of debt. Servicing a large amount of credit card debt can eat into a limited budget. And if interest rates should rise, you'll find that a greater percentage of your fixed income must be allocated toward this debt.

* Know your insurance needs. Health insurance, life insurance or long-term care insurance the sheer array of insurance products can be confusing, even for the most financially savvy of us. Depending on your age and physical condition, premiums will vary widely. Before agreeing to any of these products, make sure to shop around and consider whether you will really derive benefit from them.

* Be an alert consumer. The news reports are full of senior citizens who have been victimized by telemarketing or other fraud. The basic rule to remember is that if something sounds too good to be true, it probably is. Be particularly wary of companies claiming you've won a prize. Never buy something over the phone unless you've initiated the transaction and always check provided references and with the Better Business Bureau before doing business with someone. Finally, never give someone money for hot investment tip if its really a good investment it still will be after you've done your research.

* Plan your estate. Visit a lawyer or estate planning specialist to assist you in devising a will and a distribution plan for your assets. These professional can help you understand the tax consequences for your heirs and beneficiaries. If you plan to leave money to a charity, consider donating while you're still alive in particular, giving appreciated stock can be a good write-off and help you avoid capital gains tax. Furthermore, you have the pleasure of seeing your money put to good use.

CCCS can assist in establishing a workable budget and, if necessary, setting up a debt repayment plan.

Consumer Credit Counseling Service was established in 1964 as a nonprofit, community service organization that provides free budget counseling, regardless of income or amount of debt owed, and debt repayment plans for consumers who are overextended.

Headquartered in Atlanta, CCCS has offices in Athens, Carrollton, Decatur, Douglasville, Fayetteville, Gainesville, Marietta, Norcross, Rome, Toccoa, and throughout the metropolitan Atlanta area. Telephone counseling is also available. To schedule an appointment for counseling, call 404-527-7630 in Atlanta. Outside Atlanta, call 1-800-251-2227. Consumers can also visit the organization's web site at <http://www.cccsatl.org>. The agency's TTY number for the hearing impaired is 770-716-9666.

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