Scary retirement stats

Most Americans retire in their early 60s. How many years from retir- ing are you, and have you saved enough money for retirement? Here are some statistics that might help you plan or spur you to ac- tion:

• According to the 2019 Retirement Confidence Survey (RCS), 43% of retirees retired earlier than expected, most often due to a job loss or health issue. It’s smart to hope for the best but prepare for the worst.

• The 2019 RCS says that 49% of Americans report having less than $50,000 in savings and investments, excluding the value of their homes. Take some time to figure out how much you need — and consult a fee-only financial planner, if you need to. (Find some at NAPFA. org.) For many people, even $1 million won’t be enough.

• Fully 36% of retirees found that health care or dental expenses in retirement were somewhat higher (24%) or much higher (12%) than they expected, per the 2019 RCS.

• A 65-year-old couple retiring today can expect to spend an average of $285,000 out of pocket on health care expenses over the course of their retirement, says Fidelity Investments — and that doesn’t include some expenses, such as over-the-counter medications, some dental services and long-term care.

• Some 52% of those turning 65 will need some kind of long-term care during their lifetimes, estimates AARP. That can be costly, so look into getting long-term care insurance — which costs more the older you are when you buy it.

• “About 1 out of every 3 65-year-olds today will live past age 90, and about 1 out of 7 will live past age 95,” says the Social Security Administration. If you live an extra-long life, your nest egg will have to support you for an extralong time. Retiring at 65 and living to 95 means 30 years of retirement!

For more retirement guidance, try our “Rule Your Retirement” service, at Fool.com/services.