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As Labor Day approaches on September 1st, 2025, it’s a perfect time to pause and think about your retirement.

For our clients at Davenport & Associates, the fear of outliving your savings is real—51% of people worry about it.

With the holiday season nearing, this blog explores why this concern matters and offers simple strategies to thrive.

If you’re asking “How can I avoid outliving my savings?” or “What are my retirement goals?”, read on for thoughtful ideas.

Why Outliving Savings Is a Top Worry

More than half of retirees (51%) fear running out of money, especially with lifespans increasing—average life expectancy now hits 79.

Labor Day’s shift from work to leisure sparks this reflection.

Common Question and Answer: “Why do people worry about outliving savings in 2025?” – Longer lives, healthcare costs ($172,500 for a 65-year-old couple), and inflation at 3% erode funds.

The Numbers

• Longevity Risk: 25% of 65-year-olds live past 90.
• Healthcare: $315,000 in out-of-pocket costs over retirement.
• Savings Gap: 43% think they need $1.26 million, but only 20% have it.

Strategies to Thrive in Retirement

Here are simple ways to make your money last:

• Delay Social Security: Wait until 70 for 8% annual increases, boosting income by 24% over age 62.
• Annuities: Buy a fixed annuity ($200K for $1,000/month) for steady cash flow.
• Reduce Spending: Cut 10% (e.g., $500/month on a $5,000 budget) to stretch savings.
• Part-Time Work: Earn $10K–$20K/year to supplement income, popular with 15% of retirees.
• Emergency Fund: Save 6–12 months ($30K–$60K for $5K/month needs) for unexpected costs.

Common Question and Answer: “How to avoid outliving my savings in 2025?” – Delay Social Security, use annuities, and cut spending wisely.

A Thought-Provoking Question

As Labor Day nears, ask yourself: “What does a comfortable retirement look like for me?” Is it travel, family time, or peace of mind?

With 43% unsure of their needs, planning now shapes your future.

Common Question and Answer: “What are my retirement goals?” – Define them (e.g., $80K/year) and match strategies to them.

Common Concerns and Answers

• Do I have enough to retire? Check if $1.26 million fits your lifestyle; 20% fall short.
• How will I spend my time? Part-time work or hobbies can fill days and funds.
• Is my health suffering? Plan for $172,500 in healthcare to avoid stress.

Plan Before the Holidays Hit

Labor Day is your cue to act—51% regret delaying.

Common Question and Answer: “Strategies to thrive in retirement 2025?” – Start with Social Security timing and a consultation.

Contact Davenport & Associates for a free consultation today or take our retirement ready quiz to see where you stack up! Happy Labor Day!

About the author

John F. Davenport, founder of J. Davenport Advisors and Davenport & Associates in Norwalk, CT, is a licensed attorney in New York and Connecticut with more than 30 years of experience as a financial advisor and investment advisor. He specializes in helping Americans maximize retirement income, explore tax-efficient strategies, implement in-plan annuity and hybrid solutions, and build lasting legacies for their heirs through thoughtful wealth planning.

References

1. Northwestern Mutual 2025 Planning & Progress Study – 51% fear outliving savings, 43% unsure of $1.26M need, 25% live past 90.
2. Fidelity Retiree Health Care Costs Estimate – $315,000 out-of-pocket costs, $172,500 for a 65-year-old couple.
3. SSA Social Security Benefits Planner – 8% annual increase delaying to 70.
4. Annuity.org Fixed Annuity Guide 2025 – $200K for $1,000/month income.
5. AARP Retirement Income Options – 15% of retirees work part-time.