Plan on Living Past Your “Past Due Date”[1]
Thankfully none of us know the day we will die or our “Past Due Date.”
Do you know the difference between “life expectancy” and “longevity”? Why does this matter? No one wants to run out of money before they die.
“Life expectancy” refers to the average number of years someone will live from a given age.
“Longevity” refers to how long a person might live if there are no serious problems. Longevity is often expressed as the probability of living beyond a specific age, 80 or 90.
If Sam and Sally are 65, recently retired and in great health, there is a 46% chance at least one of them will still be alive at age 95. The life expectancy of a 65-year-old woman is 19 years (84) and a man 16 years (81). Fast forward ten years when they are both age 75, the tables state Sam is to live an additional 10 years (85) and Sally 12 more years (87). [2]
Again, why does this matter? No one wants to run out of money before they die. Before retiring, many people check with their accountant or financial advisor to calculate how much money they need to live a comfortable retirement. You may want to plan on a longer life than the official tables predict in order to have the financially worry-free retirement you planned for.
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Do you have a written estate plan that protects your future and your loved ones? Call to schedule a meeting with me to give you peace of mind that your affairs are in order (phone 208-344-0375 or Contact Us on our website).
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[1] Plan on Living Past Your Life Expectancy, by Josh Zumbrun, February 11-12, 2023, The Wall Street Journal
[2] Health.ny.gov
