Overcoming Retirement Fears: How to Retire with Confidence
Key Points – Overcoming Retirement Fears: How to Retire with Confidence
- Do You Fear Running Out of Retirement Money More Than Death?
- Retiring with Fear vs. Retiring with Confidence
- Addressing Your Retirement Fears with Our Modern Confidence Score and Advantage Offerings
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According to the Allianz Life 2026 Annual Retirement Study, 67% of people that were surveyed worry more about running out of money than death.1 In this article, we’ll discuss why that’s the number one fear many people and strategies for how to make your retirement money last.
Is Running Out of Money in Retirement Your No. 1 Fear?
At Modern Wealth Management, we’re committed to helping people enjoy life today with confidence for tomorrow, connecting them with the people and causes they care about most. If you’re thinking about retirement or already retired, what’s your confidence level that you can accomplish your objectives and live out your desired retirement lifestyle without running out of money? And if you have kids, grandkids, and/or charities that you care deeply about, have you saved enough for retirement and still have enough to leave a legacy?
The Allianz Life 2026 Annual Retirement Study found that Americans are becoming increasingly fearful about running out of money in retirement. When Allianz Life conducted the same study in 2022, 57% of the people surveyed feared running out of money in retirement more than death. That jumped to 67% in their 2026 study.
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How Much You Save Is Only Half the Battle
According to anonymized data from Empower Personal DashboardTM, the average retirement balance for people in their 60s as of March 2026 was $1,228,196.2 But if you plan to retire in your 50s, notice that the average retirement balance dips to $1,050,481.
FIGURE 1 – Average and Median Retirement Savings by Age – Empower
However, according to Northwestern Mutual’s 2026 Planning and Progress Study, the average American believes they’ll need $1.46 million to retire “comfortably.3” Do you think $1.46 million is enough to retire “comfortably?”
We’re not sharing these studies to imply that you should have a certain amount of money saved for retirement by a certain age. Keep in mind that we don’t know the goals and unique circumstances of the people in each study. How much you need to retire “comfortably” is going to be unique to you.
It’s also important to understand that saving for retirement is only half the equation when it comes to retiring with confidence. The real challenge is turning that money into a sustainable income stream, one that accounts for:
- Inflation
- Taxes
- Healthcare costs
- Market volatility
- Uncertain life expectancy
The variables above can all play a role in contributing to someone’s retirement fears. Without a plan that addresses these variables, it may be difficult to have confidence in retirement even a substantial nest egg.
How Confident Are You in the Future of Social Security?
Another retirement fear that has been making a lot of headlines lately is the future of Social Security. Covisum® Founder and President Joe Elsasser addressed the potential depletion of Social Security Trust funds during our May 2026 Speaker Series event. Joe was clear that he didn’t want people to be alarmed by those headlines. He encouraged the webinar attendees to evaluate the impact on your plan if Social Security benefits are cut.
The timing of when you claim Social Security is a very important decision, and there are many factors that go into maximizing your benefits. Social Security is one of many income sources that can help fund your retirement. Other retirement income sources may include:
- 401(k)s, 403(b)s, or other retirement plans; IRAs
- Roth accounts
- Brokerage accounts
- Pensions (if available)
- Life insurance or annuities
The Critical Mistake: Skipping the Retirement Plan
Again, having a certain amount saved for retirement is just part of the equation to overcome retirement fears and retire with confidence. Rather than constantly asking yourself, “How can I retire with confidence?” ask yourself these questions.
- How much will I need to spend a month net of taxes to fulfill my needs, wants, and wishes in retirement?
- How do I feel about market risk? Am I comfortable with my current asset allocation?
- What if I become incapacitated or pass away unexpectedly? Would my family be OK financially when I’m gone? And if you’re married, would you be OK financially if your spouse became incapacitated or passed away unexpectedly?
- Have you considered the possibility of you (and your spouse, if you’re married) needing long-term care? Will you need long-term care insurance or do you plan to self insure?
- Do you have an estate plan that will ensure your wishes are honored after you’re gone? When is the last time you reviewed your estate plan with your loved ones?
Do you have any retirement fears that are centered around or related to these questions? If you do, know that you’re not alone.
The Modern Confidence Score and Advantage Offerings
Also, notice that these questions pertain to critical components of a comprehensive financial plan.
These are our Modern Wealth Advantage Offerings. They’re intended to connect the disparate elements of your finances into one financial plan. Our financial advisors are supported by subject matter specialists in tax, investments, insurance, and estate to help build each client’s financial plan, helping them gain greater clarity about their financial future while connecting them to the people and causes they care about most.
If you have retirement fears and lack confidence in your ability to live your desired retirement lifestyle, we’re here to help. To help us learn more about you and your specific needs, wants, and wishes for retirement, we’ve created the Modern Confidence Score.
Your Modern Confidence Score is designed to help you and your loved ones engage in meaningful conversations and address any retirement fears and planning gaps. It’s not just about your current situation; it’s about planning for the rest of your life. This score is meant to help provide clarity and direction, so you, your loved ones, and your advisor can prioritize your next steps and stay connected to your financial goals.
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We Want You to Retire with Confidence
We want to round out this article with one more statistic from the Allianz Life study. While 67% of people surveyed worry more about running out of money than death, the study also found that 48% of the respondents didn’t have a financial plan. If you fall into that category or have a disconnected plan, connect with our team today to address your retirement fears and build a plan that helps you retire with confidence.
Resources Mentioned in This Article
[2] https://www.empower.com/the-currency/money/average-retirement-savings-by-age
[4] https://www.ssa.gov/policy/docs/ssb/v70n3/v70n3p111.html
Investment advisory services offered through Modern Wealth Management, LLC, a registered investment adviser.
The views expressed represent the opinion of Modern Wealth Management, LLC, a registered investment adviser. Information provided is for illustrative purposes only and does not constitute investment, tax, or legal advice. Modern Wealth Management does not accept any liability for the use of the information discussed. Consult with a qualified financial, legal, or tax professional prior to taking any action.