For years, many retirees believed that careful saving and following traditional retirement advice would be enough to make their money last comfortably through retirement. Unfortunately, a growing number of older Americans are discovering that their retirement accounts are shrinking much faster than expected. Rising healthcare expenses, stubborn inflation, higher insurance premiums, and unexpected withdrawals are all putting pressure on savings that were originally designed to last decades. Recent retirement surveys show nearly half of retirees say their expenses are higher than they expected, while many admit they are unsure how long their savings will actually last.
The problem is not always reckless spending or poor planning. In many cases, retirees are facing economic realities that look very different from the assumptions used when they originally built their retirement plans.
