Friday, April 19, 2019
According to a survey conducted by AIG Life & Retirement of those between the ages of 40 to 74 and had at least $50,000 in their retirement accounts, 53% of Americans now have their eyes set on reaching 100 years of age. But of those that seek longevity, half of them are worried their savings will not last, and almost 60% fear running out of that money more than they fear death itself.
Todd Solash, president of Individual Retirement, AIG, is excited that people want to live beyond the century mark. "We all know that life’s a journey, not a destination. We will do anything we can to help them along.’’
Though the respondents are excited at the prospect of leading such a long like, they are also anxious about the struggles they potentially will face. Generating lasting retirement income and the rising cost of health care tied as the most significant financial challenge they said they would face when planning for retirement, coming in at 23%. Only 16% said they were extremely confident that their partner would be able to manage his or her spending from retirement savings if they were to die first.
But respondents also credited financial advisors with allaying their financial fears about growing older and being secure in their retirement. 45% of those with advisors were very to extremely confident that their current retirement savings plan will sustain them to become centenarians. A mere 8% of those surveyed that admitted they did not have financial advisors felt the same level of confidence. Solash said in a prepared statement that "We must fundamentally change how we talk about retirement and replace what has been more of a singular focus on savings with a broader perspective that also includes protected lifetime income sources like annuities as part of an overall retirement plan."
See Jaqueline Sergeant, More Than Half of Americans Want to Live to 100, Financial Advisor, April 10, 2019.
Special thanks to Jim Hillhouse (Professional Legal Marketing (PLM, Inc.) for bringing this article to my attention.