Retiree worries $1 million won't last decades

A 63-year-old planning to retire soon is feeling anxious due to recent drops in the stock market. With both parents living until 98, he worries that his savings won't last through a long retirement. His monthly expenses are around $5,300, but he has two company pensions and an annuity covering 90% of that amount when he retires. Currently, he has about $1.4 million saved, including a mix of retirement funds and brokerage holdings. However, with the market down, he wonders if this money will last for the three decades he expects to spend in retirement. He does not plan to take Social Security benefits until a later age, hoping to avoid potential benefit cuts in the future. Experts note that the current market environment is tough for early retirees. The S&P 500 recently entered correction territory, raising concerns about further losses. They advise limiting exposure to stocks, especially for those near retirement. Instead, retirees should focus on preserving savings and reducing expenses. Advice suggests waiting until age 70 to claim Social Security for higher monthly benefits. Consultants recommend checking with financial advisers to navigate these market changes carefully. They point out that prudent planning can help sustain finances despite the ongoing market volatility.