Retirement Risks: What you should know about Longevity Risk
We all dream of a long and healthy life. Seeing our grandkids graduate from college, marrying, and having children of their own. Ahh, the family legacy is passed on…longevity.
In our last blog we discussed inflation risk but what about longevity risk? Longevity risk is the possibility of outliving retirement assets. The reality is that people are living longer lives, and placing more demands on our assets to produce a sustained retirement income.
According to the Society of Actuaries’ 2000 Mortality Table, a couple retiring at age 65 has a 97% chance of at least one of them living to age 75. Additionally, the same couple has a 63% chance that one of them will live to age 90.
Will your retirement assets provide for a retirement income to meet your longevity needs?
What type of retirement planning have you done? Maybe we should sit down for a consultation?
Hopefully this information about longevity risk has helped you make smart choices with your money.