Americans Embracing Possibility of Living to 100, Many Expecting Over Three Decades of Retirement
New research from
Despite wanting to celebrate a 100th birthday, many do not expect to delay their retirement to fund longer lives, as a plurality still plan to retire between ages 65-69 (40%), possibly enjoying three-plus decades in retirement. While 26% believe they will need to work past 70, a smaller number (22%) expect to retire between ages 62-64, and only 12% between 50-61. When it comes to retiring early (ages 50-61), Generation Z is the most optimistic, with 17% seeing this as a possibility.
“A longer life presents exciting new opportunities but will require thoughtful planning and purposeful action,” said
Financial Concerns Tied to Longer Lives
Today’s and tomorrow’s retirees could spend more than 30 years in retirement, but the prospect of living a long life is tempered by financial worries. Two-thirds of Americans (66%) fear running out of money more than death, and these concerns appear to be rooted in assessments of and expectations for their retirement savings. Related findings include:
- Only 24% think their current retirement investments will provide them with retirement income that lasts more than 30 years, or as long as they need
- Only 27% are very confident or extremely confident that they won’t outlive their retirement savings
- Only 36% are very confident or extremely confident in their ability to manage their retirement savings to provide income for as long as they live
“Living to 100 is an incredible milestone, but getting there should be cause for celebration rather than a source of financial stress,” said Pinsky. “One of the best ways to take action is to work with a financial professional to help prepare for the future you are envisioning. That professional guidance, along with financial education and lifetime income solutions, can help you plan for and enjoy your retirement.”
Individuals who work with financial professionals are much more likely to say their retirement readiness has increased from three years ago, with 40% for individuals who have a financial professional, compared to just 22% for those without. Further, those who work with a financial professional are more likely to say they expect to be able to retire at an earlier age.
Nearly three in four respondents (72%) say having a source of guaranteed monthly income beyond
Employers Can Play a Key Role
The “Funding Longer Lives” white paper from
“Regardless of how long an individual decides to work, they should take full advantage of the financial planning opportunities available through their employer,” said
Helping People Take Action
Last summer, Corebridge launched its Action Planner Series for individuals and financial professionals. The ongoing series provides educational resources, tools and insights to help people take action in specific areas of their financial lives. Topics include longevity, retirement income,
Corebridge is also the corporate sponsor of Season 5 of the Stanford Center of Longevity’s award-winning longevity podcast, “Century Lives.” This season, “The Retirement Ladder,” tells the stories of eight employees from the same workplace and their very different views on how and when they will retire.
The 2023
This material is general in nature, was developed for educational use only, and is not intended to provide financial, legal, fiduciary, accounting or tax advice, nor is it intended to make any recommendations. Applicable laws and regulations are complex and subject to change. Please consult with a financial professional regarding your situation. For legal, accounting or tax advice, consult the appropriate professional.
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Işıl Müderrisoğlu (Investors): investorrelations@corebridgefinancial.com
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