What's new
April 2012
Will my money last as long as I do?
Did you know that 50 percent of women who are in good health at age 65 can expect to live until age 88, and that 25 percent will live to age 94? Furthermore, healthy men at age 65 have a 50 percent chance to live to age 85 and 25 percent will live to age 92. These statistics indicate some long retirements are in store.1
At Securian Financial Group, Minnesota Life’s parent, we watch these trends because they affect our clients. Finding ways to bring the statistics to life is part of how we help clients with their financial planning.
Securian's new video, "Counting the Years – Seeing the Possibility of a Long Retirement," features trends in life spans, an interactive quiz, and discusses how living longer affects retirement planning.
"With Americans living longer, the years they spend in retirement increase," says Kerry Geurkink, director, Securian Retirement Marketing. "We created the video to illuminate the financial concerns of longer life to help our clients make the most of their retirement years."
Dr. George Battis, vice president and Securian's chief medical director, addresses the changing trends in aging. As Securian's resident expert on aging, he brings a wealth of expertise to the project, drawing on his many years in geriatric care, and paints an optimistic picture for aging well.
The video is divided into five sections including a quiz for the viewer to test their knowledge about what it means to live a long life. The video can be viewed in its entirety (approximately 10 minutes) or by individual section. Topics included are:
- How long can you expect to live?
- Factors affecting life span and quality of life
- Making the most of retirement years
- Financial concerns about living longer
Staying connected
The video draws on several research studies to present characteristics of aging that might surprise you. For example, did you know that the strongest predictor of a long life span is not exercising, weight control or even genetics, but social engagement? Having a strong social network and staying engaged gives your emotional well-being a boost and stimulates mental activity.2
While aging brings its aches and pains, the good news is older people report feeling younger than their years, enjoying more time with family in retirement and feeling less stress than when they were younger. More seniors are enjoying active, independent and rewarding lives.3"Living longer affects every aspect of your retirement income strategy," says Dr. Battis. "It affects how you invest, how you protect your savings from inflation, and how much you can safely withdraw from your retirement savings."
Most people underestimate their life span by about 10 years,4 yet about a third of middle income workers will likely run out of money after 20 years of retirement.5 Americans should plan to spend 30 years in retirement.
Take advantage of this resource by introducing the video to your employees. Additional retirement tools and resources can also be found on Securian’s Retirement GPS website.
Resources:
12000 Mortality Table, Society of Actuaries.
2The Longevity Project – Surprising Discoveries for Health and Long Life from the Landmark Eight Decade Study, Howard S. Friedman and Leslie P. Martin, 2001.
3Pew Research Center, Growing old in America; expectations vs. reality, 2009.
42008 Study by Ernst and Young.
52010 Retirement Readiness Survey, Employee Benefit Research Institute (EBRI).
» February 2012
Minnesota Life reports outstanding year-end results
» January 2012
The key to controlling health care costs: more transparent than you think
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