Review: Suze Orman Says This Is the Age You Should Retire—Not a Month or Year Before
Suze Orman is the financial planning equivalent of Jim Cramer. They’re entertaining, they know how to get people to pay attention, and most of the time, they might as well be making stuff up.
They’re entertainers. That’s what they do. Their jobs are to draw eyeballs and sell ads – any benefit that you get is coincidental.
But I kind of like this piece. The headline advice, that seventy is the new default retirement age, is probably a little alarmist. But she’s right – most people have simply not done enough to prepare for retirement.
And they’ll need those extra years of working for the extra savings, and time for those savings to (hopefully) grow, but also because those are 5 fewer years that you need to live off your portfolio – the bigger social security checks from delaying your benefits don’t hurt either.
People are living longer, which is a great thing, but it means you need to be able to fund a longer retirement.
Delaying your retirement, if possible (Orman is absolutely right that it takes planning for most people to be able to work longer), can go a long way towards helping to mitigate this longevity risk.
Longevity risk is one of the main risks you will need to deal with to prepare for the retirement you want.