With inflation and rising costs, knowing how long retirement savings can last is more crucial than ever. In the second quarter of 2024, the number of retirement millionaires grew—401(k) millionaires increased by 2.5%, and IRA millionaires rose by 6%, reflecting Fidelity’s latest data. However, high inflation and healthcare costs are significant concerns for retirees, making it essential to plan carefully.
To stretch $1 million in retirement, start by evaluating income sources like 401(k)s, IRAs, pensions, and Social Security. Stress-testing savings against market volatility and rising healthcare expenses is also key. Financial expert Keith Spencer suggests reviewing past spending instead of estimating future costs. Tracking last year’s expenses and adjusting for inflation offers a realistic foundation for planning.
Read the full article to explore strategies for making your retirement savings last.
