Ensuring enough money if live to be super old

[IBC_FriendOfNelsons]

How are people continuing to grow their principal (after retirement) to accommodate for longer life than expected? I heard recently that an American born baby “today” is expected to have an average lifespan of 140 years. My concern is the lack of certainty (syn: risk) there is with all this investing in stocks when the job of the market is to take the most amount of money from the most amount of people in the least amount of time. Is all this risk being taken into account?

 

[aaronc879]

I would like to see the article on that. I call BS.

 

[Alexi]

I early retired over a decade ago and my conservatively invested assets continue to grow. Because I am frugal by nature and prefer a simple but comfortable lifestyle, I'm not worried about out-spending or out-living my nest egg.

 

[Car-Guy]

I would like to see the article on that. I call BS.

That's worth a +1 or maybe even a +2

 

[RunningBum]

Average life span of 140? Sorry, but I call BS as well. But I was born over 58 years ago, not today, so that doesn't matter. There was a recent thread where people were asked what age they planned for, just in case, and a number of us said 100 or longer (but not 40 years longer).

Stocks are volatile. Long term, I don't think that necessarily equates with risk.

Other things I'll do for longevity insurance is to optimize social security for it, and perhaps buy an annuity (SPIA).

 

[pb4uski]

How are people continuing to grow their principal (after retirement) to accommodate for longer life than expected? ....

Pretty easy... this historical average rate of return for a 60/40 portfolio is a little over 8%.... a prudent withdrawal rate is 4%.... so it is more likley than not that the portfolio will grow rather than decline.

 

[Winemaker]

If I live to be 140, or even 110, I don't know if I'll remember all of it. When DW's grandmother passed at 94, all her friends, relatives and kids, were dead except for DW.

 

[pb4uski]

....the job of the market is to take the most amount of money from the most amount of people in the least amount of time...

Huh? Rubbish. You have no idea what you are talking about.

I think we may have a troll who may be gone traveling soon.

 

[Jerry1]

I wasn't born today, therefore, I'm only planning on 100 and I think that's very conservative. In general though, I expect that the average return on my portfolio should be higher than my withdraw rate and accordingly, the expectation is that the portfolio will grow as I age. Of course there are many unknowns, with inflation being the biggest right next to a major health event, but that's the risk one takes when retiring early. Oh wait, you take that risk even if you don't retire early. So, I guess we all take on risk.

You just do the best you can. Plan, save, live frugal or, make a ton of money.

 

[REWahoo]

How are people continuing to grow their principal (after retirement) to accommodate for longer life than expected? I heard recently that an American born baby “today” is expected to have an average lifespan of 140 years. My concern is the lack of certainty (syn: risk) there is with all this investing in stocks when the job of the market is to take the most amount of money from the most amount of people in the least amount of time. Is all this risk being taken into account?

You can always sell life insurance and spam websites like this one.

 

[jazz4cash]

Infinite banking, naturally

 

[IBC_FriendOfNelsons]

Ok, no need for expletives, Aaron. I said I “heard”, though there are many articles that reference the investments, research, discoveries and advancements in the anti-aging field. I should have been more careful with the hearsay, though you will find experts in this field of study, like Dr. David Sinclair, that state the first human to live to 150 yrs is alive today. None of us know all the answers so it betters us all if we stay open-minded and less combative.

 

[IBC_FriendOfNelsons]

@pb4uski I thought this was suppose to be a friendly group (per the terms I agreed to)

 

[harley]

I've also read articles that talk about the possibility of living to 150 or thereabouts. But I'm not worried about the finances of it, because along with the technology that will allow the longer lifespans will come technology that enables unlimited free energy, food production, and possibly even the holy grail of flying cars. So assuming the one happens, it will be evened out by the others. And by owning the entire market through my index funds I'll ride the golden wave of prosperity for however long I last.

 

[IBC_FriendOfNelsons]

@REWahoo ...how did I SPAM this site? Also, I’m not selling anything. I came here to learn what I don’t know and share what I do know with people that are asking questions where I can provide some possible insight..

 

[harley]

It's considered good manners to give links to the references you quote in comments. Such as https://www.cbsnews.com/news/could-babies-born-today-live-to-150/ just as an example. And the comment about the market being a scam is inflammatory, so crying foul about the responses is disingenuous.

 

[aja8888]

I've also read articles that talk about the possibility of living to 150 or thereabouts. But I'm not worried about the finances of it, because along with the technology that will allow the longer lifespans will come technology that enables unlimited free energy, food production, and possibly even the holy grail of flying cars. So assuming the one happens, it will be evened out by the others. And by owning the entire market through my index funds I'll ride the golden wave of prosperity for however long I last.

I knew the flying cars were going to come.....

 

[davebarnes]

“Average lifespan of 140” means some will live to 180.
So, buy AAPL and hold.
Or, put part of your portfolio into ammo and MREs.

 

[Aerides]

“Average lifespan of 140” means some will live to 180.
So, buy AAPL and hold.
Or, put part of your portfolio into ammo and MREs.

120 makes the news now as the oldest alive types. Avg of 140? pfft. not in the next 70 years. 180? not this species.

 

[travelover]

If I find myself aged 140 and out of cash, I'll just become a porn star.

 

[IBC_FriendOfNelsons]

@jazz4cash ...your comment sounds like the sarcasm they asked us not to express on this site. If you want to put down the Infinite Banking Concept which is designed to assist folks reaching their goals of Financial Independence, you need to be able to convey the FULL benefits of it and then explain to everyone why those things are not important. Otherwise, you are not serving this community with unbiased support and advice.

 

[like2]

I figure I'm good until 115. By then I should have all of my projects done and gone just about everywhere I want to go. So I'll probably go back to work for another 25 years. Besides I'm pretty sure DW will be sick of me by then...

 

[REWahoo]

...and share what I do know with people that are asking questions where I can provide some possible insight..

That's what all the spammers say. Infinite bunk.

 

[travelover]

New posters that get in pizzing contests while their post number is still single digits, don't tend to stick around long. Just sayin'.

 

[MuirWannabe]

Don’t know what infinite banking is. But I don’t like limited banking or banks. So having an infinite amount of it sounds horrible.

But I am looking forward to qualifying for the Boston marathon over 130 age group at some point.