05.02.25

Americans' Longevity Illiteracy Puts Retirement at Risk

by: Leo Almazora

The number of Americans living to 100 is projected to quadruple by mid-century, but the financial planning required to support such long lives is lacking, according to new joint research from Nationwide and the American College of Financial Services (ACFS). The research found that extending retirement by just five years, from 30 to 35 years, increases the risk of retirement savings depletion by 41% based on historical returns. The study suggests that learning about longer lifespans prompts many people to change behavior. “We consistently see that those who plan for longevity feel more confident about retirement,” said study co-author Michael Finke, professor of wealth management at ACFS. “The key drivers of that confidence? Working with an advisor, having access to guaranteed income and building a plan that’s designed to last.”

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