A scary question isn’t it. I meet quite a number of people who don’t want to even think about retiring let alone thinking if they will have enough money when they finally do want to retire.
The answer to the question was the subject of a presentation at a network breakfast I attended. A certified financial planner used a case study to illustrate the point.
We probably all know this. We are living longer. But maybe we hadn’t quite connected the dots in terms of having enough money to retire on. It wasn’t that long ago that the life expectancy after retirement at age 65 was only 9 years. Now it can easily be 20 to 30 years, so the number of people potentially outliving their capital is going to be quite significant.
The website My Longevity has gathered data to help you work out your life expectancy based on your lifestyle rather than actuarial data. It is worth spending a few minutes to complete the questionnaire to see what your life expectancy could possibly be. I did mine and unless I get hit by a bus, I potentially will need my capital to last until I am 106!! I certainly don’t have enough to last that long. Continue reading →