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Retirement Regrets: What People Wish They Had Done Differently

AInvestSaturday, Jan 4, 2025 10:36 am ET
2min read


As we approach retirement, it's natural to look back on our lives and wonder, "What if?" What if we had saved more, worked longer, or made different financial decisions? According to a study by Abigail Hurwitz and Olivia S. Mitchell, these are the top five regrets of retirees:

1. Not saving more
* Over half (52%) of retirees expressed this regret, indicating that insufficient savings is a significant issue.
* Not saving enough can lead to financial insecurity, stress, and anxiety during retirement, negatively impacting mental health and overall well-being.
* To avoid this regret, start saving as early as possible and aim to save more than the recommended 10-15% of your income.
2. Not working longer
* 34% of retirees wished they had worked longer, suggesting that work provides more than just financial benefits.
* Work can offer a sense of purpose, social interaction, and mental stimulation, all of which contribute to overall well-being.
* To mitigate this regret, consider working part-time or taking on a new challenge in retirement to maintain a sense of purpose and engagement.
3. Not buying long-term care insurance
* One-third of retirees regretted not purchasing long-term care insurance, highlighting the importance of planning for healthcare costs in retirement.
* Without adequate insurance, retirees may face financial strain and reduced quality of life due to high healthcare expenses.
* To alleviate this regret, consider purchasing long-term care insurance or setting aside funds for potential long-term care expenses.
4. Not purchasing more lifetime income
* 26% of retirees regretted not buying more lifetime income through a retirement annuity, indicating that a steady income stream is crucial for a comfortable retirement.
* Without sufficient lifetime income, retirees may struggle to meet their basic needs and maintain their desired lifestyle.
* To avoid this regret, consider allocating a portion of your retirement savings to an annuity that provides guaranteed income for life.
5. Claiming Social Security benefits too early
* Nearly one in five (19%) retirees regretted claiming Social Security benefits too early, demonstrating the importance of timing when it comes to claiming benefits.
* Claiming benefits too early can result in reduced monthly payments and a lower overall lifetime benefit, negatively impacting financial security and quality of life.
* To mitigate this regret, consider delaying your Social Security benefits until age 70, as this can maximize your lifetime benefits.



To avoid these common regrets, it's essential to plan ahead and make informed financial decisions throughout your working years. This includes saving and investing wisely, purchasing appropriate insurance, and understanding the timing of Social Security benefits. By taking these steps, you can work towards a more secure and fulfilling retirement.

In conclusion, learning from the regrets of older Americans can help us make better financial decisions and avoid common pitfalls in retirement. By understanding and addressing these regrets, we can work towards a more secure and satisfying retirement experience.
Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.