Living Longer in Retirement – Are You Prepared?
Most of us hope to live to age 100 or more. But keep in mind that when it comes to preparing for retirement, a long life could have an effect on the amount you need to set aside to help be financially comfortable throughout your retirement years.
Why longevity matters
Today’s retirees can expect to spend more years in retirement than the entire lifetime of people living a few centuries ago.1 With a longer life comes a greater risk of outliving your retirement savings, so it’s important to plan ahead for more years in retirement.
Investing involves market risk, including possible loss of the money invested.
As of 2007, a 65-year-old man living in the U.S. was expected to have 17.2 more years of life. American women of the same age were expected to live 19.9 more years2 – that’s 13.9% and 5.3% longer than men and women of that age would have lived in 1990. Those numbers translate into more retirement years that you should plan for now.
To see the big picture of how much income you may need to fund more years in retirement, use the My Interactive Retirement PlannerSM
Get the help you need
Consider what you need to do now to enter retirement with financial confidence. Consult your employer or one of our Retirement Specialists for more information.
1NAVA, Understanding Annuities, Retire on Your Own Terms (2003).
2Centers for Disease Control and Prevention, Health, United States, 2010: With Special Feature on Death and Dying, Table 22. Life expectancy at birth, at 65 years of age, and at 75 years of age, by race and sex: United States, selected years 1900-2007 (accessed 9/22/11).