Making Your Money Last Long Into Retirement

Outliving your money is a common concern in retirement. One of the top goals in retirement planning is to ensure that your savings last as long as you do.

Assessing your retirement income sources—like Social Security, pensions, retirement accounts, and other investments—is a great starting point. But to truly make your money last, it’s important to consider a broader financial strategy. Here are five key factors:

1. Plan for Longevity

While no one can predict exactly how long they’ll live, planning for a longer life is wise. According to the Social Security Administration, about 1 in 4 people who reach age 65 will live past 90, and 1 in 10 will live past 95.¹

You can use tools like the Actuaries Longevity Illustrator to estimate life expectancy based on age, gender, and health status.² To stay on the safe side, consider planning for a retirement that lasts 30 years or more.

2. Maximize Social Security

You can claim Social Security benefits as early as age 62, but your monthly benefit increases significantly the longer you wait, up to age 70. For each year you delay after your full retirement age (currently between 66 and 67), your benefit increases by about 8%.³

Example: A benefit of $1,300 at full retirement age could increase to about $1,698 per month at age 70, a 30%+ increase. These payments last as long as you live, making delayed claiming a powerful tool for financial longevity.

Use the SSA’s Retirement Estimator to see your projected benefit.

3. Consider Working Longer

Working longer, even part-time, can reduce the number of years you rely solely on savings. It also allows more time for your investments to grow.

If you work while receiving Social Security before reaching full retirement age, your benefits may be temporarily reduced. In 2025, for every $2 you earn over $23,400, $1 is withheld. Once you reach full retirement age, those reductions stop, and your benefit is recalculated.⁴

4. Build & Adjust Your Retirement Budget

Start by identifying essential versus discretionary expenses:

• Essential: Housing, healthcare, food, insurance, taxes
• Discretionary: Travel, hobbies, dining out

A common rule is to withdraw 3–4% annually from your retirement nest egg. However, this should be adjusted based on market performance, your spending, and longevity expectations.

If needed, consider cost-saving strategies like:

• Downsizing your home
• Relocating to a lower-cost area
• Refinancing or paying off debt before retirement 

5. Get Professional Support

Navigating retirement income strategies doesn’t have to be overwhelming. A Money Coach who specializes in retirement planning can help you do the following:

• Assess your retirement readiness
• Build an action plan for withdrawals
• Review Social Security timing
• Adjust your budget for longevity and flexibility 

Bottom Line

Retirement is about more than reaching the finish line—it’s about sustaining your lifestyle for decades. With thoughtful planning and the right support, you can feel confident your money will last.

Call 888-724-2326 to talk with a Money Coach today.

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¹ Social Security Administration. “Life Expectancy Calculator.” https://www.ssa.gov/planners/lifeexpectancy.html. Accessed May 2024.

² American Academy of Actuaries & Society of Actuaries. “Actuaries Longevity Illustrator.” https://www.longevityillustrator.org/. Accessed May 2024.

³ Social Security Administration. “When to Start Receiving Retirement Benefits.” https://www.ssa.gov/pubs/EN-05-10147.pdf. Accessed May 2024.

⁴ Social Security Administration. “How Work Affects Your Benefits.” https://www.ssa.gov/benefits/retirement/planner/whileworking.html. Accessed May 2025.

Information provided in this article is for informational purposes only and is not intended to offer specific personalized investment, financial planning, tax, legal, or accounting advice.  We recommend that you consult an attorney, tax advisor, or accountant regarding your unique circumstances.