As a young child, living to retirement age may have only been a distant thought. And living to the age of 100 might have seemed even more impossible to achieve. But that isn’t the case anymore!
According to the Office for National Statistics, roughly one in three of today’s babies will live to see their 100th birthday. That being said, it is essential that you carefully plan how you will receive income to pay your living expenses, as well as health care and other potential costs.
Will You Live to Age 100?
So, will you live to age 100?
Two of the biggest factors that will determine whether or not you celebrate your 100th birthday are your gender and your current age. For instance, females typically live longer than males – and, if you have reached certain milestones in your age, then your probability of getting to 100 go up even further.
As an example, based on data from the Office for National Statistics, 52,000 men who are age 40 today are anticipated to survive to age 100. And 46,000 women age 60 right now are expected to live 100 years or more. But remember, these are just averages.
Similarly, according to the U.S. Social Security Administration, a man who has reached age 65 today can expect to live, on average, until age 84.3. A woman who is turning age 65 today can expect to live, on average, until almost age 87. Further, roughly one out of every four 65-year-olds today will live page age 90, and one out of ten will live beyond age 95.
Although nobody has a crystal ball, the reality is that people are living much longer today than they did in the past. In fact, in the year 1900, the average life expectancy in the United States was just a mere 41 years.
But, due in large part to updates in medical technology, along with a more fitness-conscious population, reaching age 100 no longer seems like an impossible feat. Rather, it may one day become the rule rather the exception.
How You Can Ensure that Income Continues to Flow In
As you approach retirement, there are several factors that need to be considered in order to determine how much income you may require. As an example, how will you fare if health issues prevent you from working – and in turn, earning – for as long as you had originally planned?
For instance, even though some people may plan to work past age 65, there will eventually come a time for all of us to reduce physical activity due to health or other similar issues. But when that happens, your living expenses are likely to continue. So, a continuing income is imperative.
Other key factors to plan for – particularly if you are to live for many years – include:
- Rising Inflation. As the prices of the goods and services you need continue to rise, it is important that you have an income stream that also increases over time.
- Health and Long-Term Care Needs. Although nobody likes to think about it, the chances of needing at least some type of care in the future go up. Given the vast increase in health care costs, this is an area that cannot be overlooked when it comes to planning financially for the future.
Taking the Next Step for Generating an Income You Can’t Outlive
While you can’t eliminate all potential risks that you’re exposed to, you can definitely prepare for them financially. One such risk is living “too long.” With that in mind, the sooner you plan for this, the better.
In order to ensure that you’ll have a set amount of income to rely on down the road, an annuity can provide a viable solution. Annuities are designed to pay out an income for either a set amount of time, or even for the remainder of your lifetime (no matter how long that turns out to be).
At Annuity Gator, we specialize in providing in-depth annuity information, which includes comparing different annuities in order to determine which may best fit various scenarios and financial needs.
If you’d like to see what life would look like if you had an ongoing income to count on for the rest of your days, feel free to contact us via our secure contact form and set up a time to chat with one of our annuity experts.