{"id":120264,"date":"2025-10-13T23:29:14","date_gmt":"2025-10-13T23:29:14","guid":{"rendered":"https:\/\/www.europesays.com\/ie\/120264\/"},"modified":"2025-10-13T23:29:14","modified_gmt":"2025-10-13T23:29:14","slug":"how-middle-class-retirees-can-make-their-money-last-25-years-or-longer","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ie\/120264\/","title":{"rendered":"How Middle-Class Retirees Can Make Their Money Last 25 Years or Longer"},"content":{"rendered":"\n

The average retired American will likely live longer than their parents did, and thus, has a longer retirement to plan for<\/a>, which means saving more money. Some people may be looking at as much as 25 or more years in retirement.<\/p>\n

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To help set yourself up for a successful retirement, financial advisors explained how middle-class retirees can\u00a0make their retirement savings last 25 or more years<\/a>.<\/p>\n

The first thing for those near retirement to do is to calculate their financial needs so they can ensure their savings last 25 or more years, according to Steven Conners, CEP, founder and president of Conners Wealth Management<\/a>.<\/p>\n

Start by figuring out how much income you think will be coming in during retirement. \u201cThis should include any pensions, 401(k)s, real estate and other assets besides your Social Security to determine whether you\u2019re on track,\u201d he said.<\/p>\n

Most importantly, make \u201cconservative projections\u201d so that you don\u2019t find yourself running short.<\/p>\n

\u201cIf you do not believe you have enough money to retire after doing calculations, then you need to potentially make some changes now,\u201d Conners said.<\/p>\n

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Next, create a detailed retirement spending plan, according to Christopher Stroup, CFP and owner of Silicon Beach Financial.<\/a><\/p>\n

\u201cKnow your essential vs. discretionary expenses, then align them with reliable income sources,\u201d he said. This clarity helps you anticipate future needs, set safe withdrawal rates and adjust proactively rather than reacting when money starts to run low, he explained.<\/p>\n

While a widely cited guideline is the 4% rule<\/a>, Stroup pointed out that today\u2019s longer retirements and market uncertainty often call for more flexibility. He suggested planning for a lower withdrawal rate of between 3% to 3.5% annually, adjusting spending as markets shift. \u201cThe key is sustainability as it\u2019s important to withdraw enough to enjoy life, but not so much that your savings evaporate,\u201d he said.<\/p>\n

Delaying Social Security can significantly boost lifetime income, Stroup noted. \u201cEach year you wait past full retirement age increases benefits<\/a> by roughly 8% until age 70,\u201d when the payout reaches its maximum. This higher, guaranteed income stream can reduce pressure on your portfolio, help your investments last longer and offer more stability during market downturns.<\/p>\n

Story Continues <\/p>\n

The closer you get to retirement, the more you should reduce investment risks. Stroup pointed out that while retirees still need their portfolio growth to outpace inflation, \u201ctoo much risk can jeopardize stability.\u201d He recommended a balanced investing strategy,<\/a> with around 40% to 60% stocks and the rest in bonds and cash.<\/p>\n

Healthcare and long-term care costs can dramatically increase in retirement, and without good planning, can derail a retirement budget, Stroup warned. \u201cBuild dedicated savings buckets, consider supplemental insurance and explore hybrid life\/long-term care policies,\u201d he said.<\/p>\n

Conners also recommended considering a long-term care policy if it fits your needs. While Medicare Part A covers short-term inpatient hospital care and Part B covers outpatient medical services, Medicare does not cover long-term care<\/a>.<\/p>\n

If a long-term care policy isn\u2019t quite right for you, newer products, such as asset-based annuities, allow your money to grow and, if needed, pay out \u2014 which you could then use for long-term care costs. If you put $100,000 into a long-term care annuity, for example, it could grow to 1 \u00bd or two times that amount or more, Conners explained. The advantage is that you don\u2019t lose the money if you never need care, but if you do, you\u2019ll have planned ahead and won\u2019t feel the financial strain you otherwise might have.<\/p>\n

As early as you can, making small, consistent lifestyle adjustments can extend savings meaningfully, Stroup suggested. From downsizing housing to reducing discretionary travel and tracking expenses, you can learn to live within sustainable limits.<\/p>\n

\u201cThe goal isn\u2019t austerity but aligning spending with what truly brings value, keeping your retirement both comfortable and lasting.\u201d<\/p>\n

If you are able and interested, a modest side income through part-time work or a side gig can be significant, Stroup said. Even as little as $10,000 annually can reduce portfolio withdrawals<\/a>, extending its lifespan dramatically.<\/p>\n

It has other benefits, too. Conners pointed out that part-time work \u201ccan keep you busy and your mind sharp.\u201d<\/p>\n

Be sure to avoid mistakes like overspending early, ignoring taxes and investing too conservatively in your pre-retirement days, Stroup said. Retirees also run into trouble by not adjusting spending after market downturns.<\/p>\n

Lastly, Stroup pointed out, \u201cRetirement isn\u2019t static so your plan shouldn\u2019t be either.\u201d Revisit your plan at least annually, or sooner if life circumstances change. \u201cRegular reviews allow you to adjust for market shifts, tax law changes<\/a> or evolving goals, ensuring your money stays aligned with your needs for decades,\u201d he said.<\/p>\n

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This article originally appeared on GOBankingRates.com<\/a>: How Middle-Class Retirees Can Make Their Money Last 25 Years or Longer<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"The average retired American will likely live longer than their parents did, and thus, has a longer retirement…\n","protected":false},"author":2,"featured_media":120265,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[177],"tags":[79,47455,73376,18,19,17,234,235,3887,4036,1078,56583],"class_list":{"0":"post-120264","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-business","9":"tag-christopher-stroup","10":"tag-conners","11":"tag-eire","12":"tag-ie","13":"tag-ireland","14":"tag-personal-finance","15":"tag-personalfinance","16":"tag-retirement","17":"tag-retirement-savings","18":"tag-social-security","19":"tag-steven-conners"},"share_on_mastodon":{"url":"","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/120264","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=120264"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/120264\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/120265"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=120264"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=120264"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=120264"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}