X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Most people assume they will retire at a certain age, but it turns out many retire earlier than expected because of job loss or illness, according to Time Magazine’s Moneyland. The flip side is retiring too early when they could have remained working. Social Security benefits increase 8 percent every year a person delays retiring. Taking early distributions, such as changing a job, is a mistake that can trigger penalties and set back the long-term growth of assets. People forget to account for medical expenses – out-of-pocket expenses for people in retirement have jumped 50 percent the past decade. Retirees don’t convert savings to a reliable income stream that can cover fixed expenses for life. Drawing down retirement savings too rapidly is obviously a problem. Withdrawals of 4 percent of savings starting at age 65 will provide income to age 95. American’s underestimate their longevity. Mid-80s is average, high 90s is very possible. 

BenefitsPRO

Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join BenefitsPRO.com now!

  • Unlimited access to BenefitsPRO.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
  • Exclusive discounts on BenefitsPRO.com and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2019 ALM Media Properties, LLC. All Rights Reserved.