What happens if you live longer than you expect? How do you make sure your funds last as long as you do? Do you invest in stocks? Bonds? Keep your money in the bank? Increased life expectancy is extending the time needed for our retirement funding, making sure our money lasts as long as we do has become the new “mantra” of the Baby Boomers.
The devastating effects or living too long (the longevity crisis) and not having enough funds to maintain an anticipated quality of retirement is a real concern. LIMRA reports: The average life expectancy for a person who reaches the age of 65 is 83 for males, 86 for females. LIMRA purports that the proper way to interpret these statistics is to assume half of all males who reach age 65 will live past 83 and half of the females who reach that age will live past 86. Half of all couples who reach age 65 will have one partner hit 90.
How long have annuities been in existence? Who created them? I was asked the other day about the origin of annuities. Were they created since WWII? The fact is, annuities have a long history dating back to the Roman Era when they were used as a form of gratification for loyal soldiers. Sometimes the emperor [...]