from24/7 Wall St.
1 week agoShe Lost Her Spouse and Financial Plan; Now $60,000 Must Last Until Age 90
The fundamental challenge centers on balancing immediate income security against longevity risk. With life expectancy potentially extending 20 to 25 years, inflation will erode purchasing power significantly. A woman retiring today at 66 could live into her late 80s or beyond, meaning her portfolio must sustain withdrawals while maintaining growth. Social Security survivor benefits provide the foundation. A widow receives the higher of her own benefit or 100% of her deceased spouse's benefit. If she received $2,000 monthly but her husband received $3,200, she now gets $3,200. However, household expenses don't drop proportionally. Research shows a surviving spouse typically needs 75% to 80% of the couple's previous income.
Business
