How to Prevent Running Out of Money in Retirement

Rawpixel.com/ShutterStock

Lifespans continue to increase due to better nourishment and medical care. For most Americans, it means that they need to save more for retirement than their parents did because they will live longer. If they do not, they will likely be among those seniors who outlive their money.

People today are living longer than they did just 15 years ago. A chart by MacroTrends reveals that in 1990 the average lifespan in the United States was 75.19 years. In 2005, it was 77.58 years, and in 2024, it is 79.25 years. According to USNews, predictions are that people turning 70 today will live to an average age of 85.

Estimate What You Need for Retirement

Get a good idea of what you will need during retirement. Instead of guessing, you can use a retirement calculator at Bankrate to estimate retirement savings you need and get a more accurate picture. While no one can predict the future of taxes and investments, it will help you understand where to direct your aim.

Calculate Social Security

Before deciding when you want to retire, get a good idea of your potential Social Security benefits. If you are depending on it for income during your retirement, there are some things you need to know before retiring.