I read an interesting article about the factors that might contribute to people living to age 100. For grins (or maybe “grims”) here are how some of the study findings apply to me.
Why is this important? Well, if I’m counting on living to age 95, my projected retirement spending can be higher than if I think I’ll live to 105. If I think I’ll live to 105, I’d probably plan to work longer and save more.
Finding #1:
Your chances of reaching 100 increase 8 – 17 times if you have a sibling who reaches 100.
Applicable to KS? Well, my only sibling is 4 years younger so it’s going to be hard for me to use that rule.
Finding #2:
85% of centenarians are women
KS: Check
Finding #3:
From the article, “longevity also springs from the psychological benefit of having purpose, goals, kinship with friends and family, and challenges to the brain. The NECS-enrolled centenarians tend to be extroverts, outgoing and positive, she said.
KS: I like to think I am outgoing, positive (most days), challenge my brain, and keep up with relationships. So, check.
Finding #4:
Centenarians tend to have less money. However, it seems this finding my have to do with simply the age of the study participants – they didn’t qualify for much Social Security upon their retirement 40 years ago, and have spent most of their savings by age 100.
KS: Uh-oh, this is not my personal plan. I’m certainly not going to try to have less money in order to live to 100.
Finding #5:
Food! Good news – those living to 100 tend to have the same diet as the general population.
KS: Take that, vegans! Although I try to eat healthy for weight management (aka, vanity), so this study won’t send me straight to the Carl’s Jr. drive-through for lunch.
For clients of financial planners, you should let them know if you want them to plan for a higher life expectancy. Or, if for a medical reason (not just your sour disposition) you think you will have a shorter life expectancy.
Longevity is more tricky and more important than trying to time the stock market when it comes to accurate retirement spending projections. To be conservative, pick a longer life expectancy.
