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How long does your “nest egg” need to last?

It’s a frightening question to many, especially those who have a pretty good idea that their accumulated retirement savings just might not be sufficient. It’s also a question that by its very nature is unanswerable. It’s sort of like “how high is up?” Still, the question of longevity is something anyone looking to solidify their retirement plans needs to consider.

As noted in an article posted on by  Scott Page, it seems that many folks tend to underestimate their life expectancy, and correspondingly shorten the number of years they’ll need to have their financial resources meet. Life expectancy is really only an estimate, but not considering it in the context of one’s own financial situation can be a serious mistake. So. Page’s article advises planners to consider “unbiased sources like the Social Security Administration” when answering the question of what their planning horizon should be.

Read Mr. Page’s post here…


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