Retirement Tips – You Will Live Longer
65 is Soon to Be the New Middle Age! How Do You Prepare for 20-30 Years of Retirement?
With lifespans ever increasing, 65 is soon to be the new middle age.
The Centers for Disease Control’s National Center for Health Statistics reported earlier this year that that life expectancy reached 77.9 years in 2007 – an all time high and represents a 1.4 year increase over the last 10 years.
And, new research by the MacArthur Research Network reported that by 2050 life expectancy for women will rise to between 89.2 and 93.3 years and from 83.2 to 85.9 for men.
And what about your children and grandchildren? The medical journal, The Lancet, recently reported that babies born today are likely to live well past 100 years, till 104. If these children were to retire at age 65, they would be living in retirement for 39 years. That is a very long time.
Can You Fund a Long Retirement?
Most retirees today are finding that funding just 20 or 30 years of retirement is difficult. One cannot adequately fund 30 years of retirement with only 40 or so years of work – unless you are very handsomely compensated and save lots or you win the lottery.
With lifespans increasing, it will likely be impossible for people under 50 to stop working at 65. Most experts believe that the retirement age will continue to rise as longevity lengthens.
These findings have serious economic implications for Medicare, Social Security and an individual’s own retirement plans.
Worried about funding a long life in retirement? Find out how long your retirement savings lasts with the Retirement Calculator.