Why Even Millionaire Retirees Are Outliving Their Savings These Days

Most people think that if they have $1 million saved, then they would be set for life. But they would be wrong. A GOBankingRates survey shows that even millionaire retirees are outliving their savings.

The average lifespan today is 85 years. That means most Americans will spend 20 years or more in retirement. The survey found that there are “five states where single retirees with $1 million in savings plus Social Security will burn through these funds in 20 years or less.” Those states are Hawaii, Massachusetts, California, Alaska, and New York.  

That $1 million would last about 30 years in North Carolina, South Carolina, and Georgia. So, with longevity increasing as it is, it’s quite possible that most retirees in those states would also outlive their money. Retirees in Oklahoma will stretch their savings the furthest, with $1 million lasting 39 years for singles.

The Seniors Trust is committed to improving the financial well-being of older Americans through the passage of the Social Security Expansion Act. It will give retirees an immediate benefits increase of about $200 a month, a fair annual COLA, increased minimum benefits, and ensure the long-term solvency of the Social Security program.