How Living Longer Will Impact Your Retirement

A 65-year-old can expect to live another 19 to 21 years, on average, according to the Social Security Administration. What's more, the government agency says a quarter of 65-year-olds will hit age 90, and one in 10 will live beyond age 95.

Those numbers show a significant improvement in life expectancy over time. In 1960, for instance, a 65-year-old man was only expected to live an average of 13 more years, while a 65-year-old woman had an average remaining life expectancy of 17 years.

Financial planners have taken note of the trend and adjusted their guidance and saving plan accordingly. "When we plan for clients nowadays, we take our time frame out longer to 95 or 100 [years old]," says Dave Totah, a certified financial planner with Exencial Wealth Advisors in Frisco, Texas.

Adjusting investment strategies is just one way in which longevity is changing the face of retirement. Living longer has also translated to seniors having more time to do the things they want and added opportunity for expensive health care expenses to emerge. However, to prepare for all the following ways in which a long life will impact retirement, workers need to start saving early.

A longer retirement means more time to fill. The prospect of a 20-year retirement has changed how some people approach their senior years. Rather than quit the workforce at age 65, many Americans continue to work either to supplement their retirement income or because they miss the routine of the workplace.

Comments

Privacy Policy

How Living Longer Will Impact Your Retirement is dedicated to protecting consumer privacy on the Internet. Our practices are consistent with privacy guidelines established by eTrust.com.

How Living Longer Will Impact Your Retirement does not require any personal information to obtain access to our website.

How Living Longer Will Impact Your Retirement does require limited personal information including name and mailing address from individuals wishing to join as members. Additional information such as e-mail address and phone number may also be requested in order that we may contact members in a timely manner on issues related to our mission.

You will only receive e-mail from us if you request to be added to our e-mail list. You may revise or remove your e-mail address from our files at any time.

How Living Longer Will Impact Your Retirement uses "cookie" technology to obtain non-personal information from our online visitors, such as browser/computer type, number of visitors, and site usage. We do not use cookies to extract personal information.

Our website contains links to other sites, but How Living Longer Will Impact Your Retirement does not necessarily advocate, support or condone the privacy practices or content of these websites.

How Living Longer Will Impact Your Retirement makes all information received from our online visitors as secure as possible against unauthorized access and use. All information is protected by state-of-the-art security technology.

How Living Longer Will Impact Your Retirement respects the individual privacy rights and concerns of visitors to our website. We support meaningful self-regulation of the Internet to ensure that responsible organizations maintain the right to use all communications media to interact with the public.