Thanks to Mark's post at his blog, Go To Retirement, I came across this article from Businss Week.
The point is how people are having to rethink their retirement strategies.
Working longer is the main one. Of course there's nothing to rethink for those of us who already planned to work longer. My current goal is 69, but I could hold out for a year beyond that. But even longer? Hey, I want to enjoy some level of retirement so I have NO plans to work past age 70.
What I found disconcerting was the suggestion to forego the 4% rule--you know, the rule where drawing 4% of one's investments per year guarantees that we won't outlive our money? Apparently that rule no longer applies and the authors suggest that 3% would be a better model.
And I don't know what to make of the suggestion that we stop saving towards our retirment and spend the money now on travel or other things we might otherwise put off to a time when we might wind up unable to actually accomplish them. I understand the point, but for those of us who didn't start to seriously save until we were 50, there's no way we can put those savings on hold.
"Rethinking" is giving Grace a major headache.