Thinking of retirement should inspire thoughts about fun vacations to the coast and more time with family. Not anxieties about your finances. With all the retirement myths out there, it can be difficult to sift through the fiction to find the facts. Fortunately, we’ve cleaned some retirement myths up for you.
Social Security is Running Out
There are no federal programs more important to retirement than Social Security. Half of retirees in America depend on Social Security for half of their income. While another 25% rely on Social Security for roughly 90% of their retirement budget. According to a Pew Research Center survey, 42% of survey takers believe Social Security will be a gone by the time they are ready to retire.
However, the truth is that, yes; social security needs some help but it’s not going anywhere. Even in the unlikely event that nothing is done to protect Social Security, monthly checks in 2035 will still be higher than they are now. This is because Social Security benefits increase at a greater rate than levels of inflation. Additionally, retirement security draws bipartisan support politically, so much so that the 2019 Security Act was passed.
Retirement is Short
Every day, the medical field is making more breakthroughs for successful aging, but this also means longer retirements. Many people plan on retiring at 65. However, the average life expectancy now is about 80. This means you can expect to spend about 15 years in retirement.
Some people plan on working into their 70’s, making their retired years shorter. However many aren’t physically able to carry out this plan. This is due to the fact that time can take a toll on your body and even though you feel great at 60 and plan on working the next 10 years, any number of health scares can crop up in that period of time.
Medicare Will Cover My Needs
While it is true that Medicare is advantageous to those 65 and up, it is not as all-encompassing as some people think. One of the most common misconceptions is that you won’t incur any medical expenses because Medicare will cover them. However, Medicare has some serious limits.
Things like long-term care, dental appointments, and vision assessments are not often covered by Medicare. Additionally, you will still need to pay for copays and deductibles when applicable which often means you will have medical expenses in retirement.
I Will Need to Move to a Nursing Home
For many, “retirement” means “old” and “old” means it’s time to move to an “old person’s home.” This is probably the worst myth of all for multiple reasons. Over the last decade or so, the retirement industry has changed substantially and is now a time for opportunity and excitement rather than a slow march to “the end.”
These days, there are more options than just moving to a retirement community and many choose their communities not based on care needs but on lifestyle choices. Those who choose to downsize have the ability to move to a smaller home of their own or join an active retirement community. A retirement community offers activities, social opportunities, and fewer daily responsibilities which allows individuals to live their fullest lives in retirement.
Thinking of living a stress-free lifestyle? Check out what a Continuing Care Retirement Community (CCRC) has to offer with our FREE Guide!
Life Enriching Communities, Inc. (LEC), is an integrated family of lifestyle communities and senior living services in greater Cincinnati and Westlake, OH. Best known for our Twin Towers and Twin Lakes senior living communities, and our recent affiliation with Concord Reserve in Westlake, we have made aging well a top priority for nearly 120 years.