Vanguard manages my retirement fund. When I go online to view my Vanguard account, I am met with the following statement:
"We project that your money is not likely to last until you reach age 100."
This statement could give me cause to be very concerned for my welfare. If I live to age 100, will I wind up being homeless? By comparison, Social Security calculates that I will live to age 88 years.
If I spend my retirement money according to Vanguard, I must reduce my spending by 1/2! No eating out at restaurants. No golf.
If I spend according to Social Security, I can do all the things that I am doing now. And the biggest thing is, that I will not have to be concerned about dying homeless and penniless!
I choose to believe the stats from Social Security.