Retirement Planning

Retirement Reality Check

See how your real spending power is likely to change from age 65 to 95 — and what to do about it.

Based on RAND Corporation Health and Retirement Study · 4,599+ households · 2005–2019

Your situation

Current age

Marital status

Single Married / partnered

Wealth level at ages 65–69

Current annual spending Total household expenses per year

Expected annual inflation For nominal dollar projections

Annual real decline rate

2.26%

Expected yearly reduction in real purchasing power based on your inputs

Spending trajectory

Show nominal dollars

Real spending (today's dollars) Nominal (future dollars)

Key projections

Age 80

—

Age 85

—

Age 90

—

Age 95

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What this means for your plan

Planning insights

Front-load your discretionary spending

Research shows real spending declines ~1.7–2.4% annually on average, but discretionary activities — travel, dining, entertainment — decline faster than essentials. This happens across all wealth levels; even wealthy households voluntarily reduce activity as they age.

Implication: Plan your most active years for early retirement (65–75). Don't defer expensive experiences assuming you'll have the same appetite for them at 80.

The 4% rule may be too conservative in early retirement

Declining spending appears voluntary, not forced

2 more planning insights + the full healthcare analysis

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Based on RAND Corporation Health and Retirement Study (2005–2019). For educational purposes only and does not constitute financial advice. Individual results will vary significantly.

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