We’re living longer than ever before. That’s great news, but it also comes with new financial challenges.
Longevity benefits are a modern solution designed to help people live better, more financially secure lives, especially in the later decades of retirement. Unlike traditional benefits that stop working when the paycheck ends, longevity benefits start working when you need them most: at ages 80, 85, 90, and even 95.
Most retirement plans assume people will stop working around 65 and live a few more decades. But today, nearly half of 65-year-olds will live into their 90s. And yet, most savings, pensions, and even Social Security often run out too early. That’s where longevity benefits come in.
They offer structured payouts later in life, providing financial security when traditional plans often fall short. Think of it as a long-term safety net, built to protect your future self.
While every program is different, here’s how it works with Savvly:
It’s flexible. It’s inclusive. And it’s built for the way we actually live today.
Longevity benefits don’t replace your 401(k) or Social Security, they complement them. They offer extra peace of mind for later in life, so you can spend more freely today, retire earlier, or simply plan with more confidence.
Your employer is proud to offer the first-of-its-kind longevity benefit. It’s time your benefits evolved with your lifespan.
Assumptions and Risk Disclosure
The information provided on this page is for educational purposes only and should not be considered investment, legal, or tax advice. It is designed to help explain how longevity benefits work and what potential outcomes might look like under certain assumptions.
All illustrations, examples, and case studies are hypothetical and are meant to demonstrate potential scenarios—not guarantee actual outcomes. They do not reflect the performance of any individual investor, portfolio, or account.
Key Assumptions:
- Simulations may assume a 3% annual early withdrawal rate before payout or death.
- In the event of death or early withdrawal, beneficiaries may receive 75% of the lesser of the initial investment or the current market value, plus 1% for each year the account was active.
- Case studies assume standard market conditions and do not account for unexpected volatility, inflation, or changing personal circumstances.
Risks to Consider:
- Market Risk: Investment values may rise or fall depending on broader market performance. There are no guaranteed returns.
- Sequence of Returns Risk: The timing of market gains or losses—especially near payout age—can significantly affect outcomes.
- Longevity Risk: Living longer than expected may dilute the pooled benefit effect. Conversely, shorter-than-expected lifespans may impact value received.
- Redemption Impact: Voluntary or early withdrawals by other participants may affect the overall fund performance.
No forecast, projection, or hypothetical return should be relied upon as a promise or representation of future results. You should evaluate your personal situation and consult a qualified advisor before making any financial decisions.