Latest news with #NorthwestMutual
Washington Post
2 days ago
- Health
- Washington Post
An AI app told me when I'd die — and I liked it
When a friend mentioned that he'd used a new artificial-intelligence-powered smartphone app called Death Clock AI to learn when his ticker would give out, I wanted to know my end date as well. I had used a rudimentary web-based calculator nearly a decade ago, which said my time would be up in 2031 — now just six years away! I was hoping an app combining AI and statistical modeling to predict my personal life expectancy would buy me more time. It did! I am pleased to report that I won't die until 2042, at age 84. Those early death clocks — or longevity calculators — used only basic information to estimate how much time you had left. (The web-based tool I used previously asked four questions — about birth date, body mass index, smoking and mental health status.) There are, of course, other life expectancy calculators — the Social Security Administration provides one, as do such insurance companies as John Hancock and Northwest Mutual. But Death Clock AI is a giant step ahead with its reliance on artificial intelligence, which is fed by user data and trained on more than 1,200 life expectancy studies, allowing for a more personalized prediction of a death date. As such, the app highlights both the promise and the perils of AI. Although the specific date of death is obviously not intended to be accurate — the app's disclaimer says it's 'for fun only' — it does tie your personal habits to your likelihood of living into old age and tells you what lifestyle changes might buy you more time. Thus Death Clock AI's motto: 'Know your date. Change your fate.' After responding to 29 questions — including how much of the day I spend sitting, whether I get at least seven hours of sleep a night and whether I get all my recommended cancer screenings — I had my answer. A darkly humorous 'Save the Date' card suggested I plan my end-of-life celebration for April 17, 2042, but I also learned the most likely ways I would die: sleep disorders, cardiovascular disease or cancer, in that order. Of course, cancer and heart disease are the two big killers in the United States. But I was surprised by how harmful sleep issues are. I was glad to get 17 more years instead of the measly six, even though I knew the Save the Date stuff is just marketing. Company founder and CEO Brent Franson is candid about the app's real value, which is providing a better understanding of how lifestyle changes can affect our longevity. For instance, I saw that if I ate more fruits and vegetables, slept better and exercised more, I could extend my life expectancy an additional five years for a total of 22. (It's a whole other question as to whether I'd want to live into my 90s, recalling my mother's complaint that to be among the last of her friends and family living is no fun.) Taking up smoking or eating more fast food would mean I'd be planning an earlier farewell. But don't we already know that smoking is bad and that exercise and broccoli are good? Yes, but seeing your own possible expiration date is a powerful in-your-face message that shows you the effect of your habits. I asked Franson, 42, what his own quiz had told him. He learned that he'd die at age 78, which is about the usual life expectancy of a White male in the United States. On the one hand, he said, 'I consider myself pretty healthy. I'm 42 and pretty active. I think I eat pretty well. I mostly don't drink.' But, he added, his A1C, a test that shows the average blood sugar level over the past two to three months, is 'a bit high' and his cholesterol number and blood pressure are also problematically high, suggesting that his heart health could be a concern going forward. The app, he said, 'is making me aware of this in no uncertain terms. … I've got to take that really seriously.' I had a similar reaction. I know how poorly I sleep, and I know how important a good night's sleep is. But when my results showed I'm most likely to die because of a sleep disorder, I had an 'aha' moment. Knowing that improving my sleep would remove my top death threat just might motivate me to do something about it, such as keeping to a regular schedule, avoiding large meals before bedtime, getting rid of screens in my bedroom and limiting naps. I asked Arthur Caplan, a bioethicist at NYU, for his opinion on the Death Clock AI. Caplan, 75, told me the app predicted he has 14 more years. But he cautioned that many other factors also influence lifespan, including our genes, which help determine our risk for certain diseases. In fact, Caplan said, 'the majority of your lifespan is driven by your parents' income, your educational level, whether you have a job, whether you live downstream from polluting chemical refineries or a radioactive plant that's dumping something into your water.' Most of these factors are impossible to alter, so the app doesn't ask about them. The point, Franson said, is 'to ask about things that people can change.' Other experts agree that there are concerns about an app offering up a death date, including harmful effects on mental health and financial planning. Ryan Zabrowski, a financial planner, said: 'One of the greatest concerns for retirees is the risk of outliving their money. A tool like a Death Clock AI could empower people to make smarter, more informed financial decisions.' Unless, of course, the prediction is wrong. Still, getting a reminder that we have some control over our health in a way that may affect longevity is important. Experts caution that anyone entering personal data into an app should be careful. The final, optional step in the Death Clock AI app is a free trial of its Longevity Plan ($39 a year), which will allow you to upload lots of your personal health data for customized help. But the app's privacy policy says the information you provide could be shared with business partners (security consultants, analytics providers, payment processors) and with advertisers, marketers and data brokers. Franson says his company is not selling the data and is instead focused on the subscription business model. He added, 'I think ultimately the business model needs to evolve because some people don't like paying for subscriptions,' suggesting the company might develop partnerships to market such recommended products as vitamins or sleep trackers, which is a common practice. Still, when it comes to privacy, the devil can be in the details. The company's privacy policy reads in part: 'All of your Personal Data that we collect may be transferred to a third party if we undergo a merger, acquisition, bankruptcy … in which that third party assumes control of our business (in whole or part).' So buyer beware. As I was finishing up this column, I was curious what the Social Security Administration's tool, which uses two questions (age and sex), would say about my life expectancy. It was basically the same as Death Clock AI — I've got 17 years left. But who really knows. I'll try to live with no regrets, as though each day could be my last.
Yahoo
04-05-2025
- Business
- Yahoo
Americans fear going broke more than death amid high inflation and shrinking Social Security support
More Americans are afraid of going broke than they are of dying. A new study by Allianz Life lays it bare: 64% of Americans say they fear running out of money ahead of death itself. Furthermore, 62% say they're not saving as much for retirement as they'd like. I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) High inflation, shrinking Social Security support and rising taxes are driving this fear. Inflation was the top concern, cited by 54% overall and 61% of baby boomers, more than millennials (56%) or Gen X (55%). 'With Americans living longer in retirement and facing risks like market volatility, creating a financial strategy so that your money lasts your lifetime is a daunting task,' Kelly LaVigne, Allianz Life's Vice President of Consumer Insights, said in a press release. 'A strong retirement strategy will go beyond a dollar amount in the bank — it will also address how you will create a reliable income stream from your assets.' The fear of going broke is most prominent among Gen X (70%) — the 'forgotten' generation — who are in their 40s and 50s and fast approaching retirement. Millennials aren't far behind at 66%, while fear among boomers, many of whom are already retired, sits at 61%. An April 2025 report from Northwest Mutual found the average American believes they'll need about $1.26 million to retire comfortably. That figure is down from $1.46 million in 2024. But many Americans are well short of this target. For those aged 55 to 64 and on retirement's doorstep, the median retirement account balance is $185,000, according to Federal Reserve data. For those aged 45 to 54, the figure drops to $115,000. Several forces are at work. Inflation has shredded the real value of savings, making everything from groceries to health care more expensive. And Social Security — a major factor in American retirement — is looking increasingly shaky. The program's trust funds could be depleted by 2035 — a time when many Gen X may be entering retirement — forcing possible benefit cuts, unless the government takes action. Read more: Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? The good news? You don't have to be a millionaire today to retire comfortably tomorrow. But it's wise to start taking smart, focused action, and soon. Start saving now, no matter how small the amount: The magic of compounding interest works wonders over time. The more you're able to save over a longer period of time, the more compounding works in your favor. Delaying by even a few years could cost you big time down the road. Boost your retirement account contributions: Max out your employer's 401(k) match if you have one — that's free money. If possible, take advantage of catch-up contributions if you're over 50. Prepare yourself emotionally: Many retirees aren't undone by running out of money — they simply lose a sense of purpose. Start planning now for how you'll stay mentally active, socially connected and personally fulfilled once the 9-to-5 grind ends, and you can be mentally prepared to make the most of your golden years. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead There's a 60% chance of a recession hitting the American economy this year — protect your retirement savings with these essential money moves ASAP (most of which you can complete in just minutes) This article provides information only and should not be construed as advice. It is provided without warranty of any kind. Sign in to access your portfolio
Yahoo
30-04-2025
- Business
- Yahoo
There's a new ‘magic number' Americans now say they'll need to retire comfortably — and it's shrunk since 2024
Humans often seek easy answers and shortcuts. This is not always a flaw, but a form of efficiency. So, it's no surprise that we want a 'magic' answer to one of the biggest financial decisions we need to make: how much to save for retirement. As a result, we often have a 'magic number' in mind for our retirement savings. This year, that 'magic number' Americans believe they'll need to retire comfortably is $1.26 million, according to Northwest Mutual's 2025 Planning & Progress Study. This is $200,000 less than the estimated $1.46 million they believed they'd need when they were surveyed last year. This number is also more in line with the 2022 and 2023 estimates, indicating a reversal in thinking from last year to the years before. I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Thanks to Jeff Bezos, you can now become a landlord for as little as $100 — and no, you don't have to deal with tenants or fix freezers. Here's how Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) It's likely that the decline in the 'magic number' from last year is at least partially related to declines in inflation, which has been falling — albeit unevenly — since peaking in the summer of 2022. As inflation has fallen, so too have expectations of future inflation, which were lower in 2024 than in the previous couple of years. This suggests that for that year, future retirees may not believe high inflation would eat away at their retirement savings, compared to years prior. It may also be that views on retirement are changing. Whether by necessity or intention, about half of workers plan not to retire before the 'traditional' age of 65 and 39% expect to retire only at 70 or older, or not to retire at all, according to a report by the Transamerica Center for Retirement Studies. This could mean a shorter retirement and additional income during this period, reducing the size of an individual's needed nest egg. Before you start worrying about achieving that 'magic number,' it's worthwhile to determine if it's a reasonable goal. In 2023, the average expenditure for a household where the 'head' of the household is 65 years or older was $60,087, according to the U.S. Bureau of Labor Statistics. Assuming most retirees will collect Social Security benefits — averaging about $1,997 in March 2025 (just under $24,000 a year), and further assuming only one member of the household will collect benefits, a household would need an additional sum of about $36,000 a year to cover expenses. A common rule of thumb is to withdraw 4% of your nest egg in the first year of retirement and then to continue withdrawing that amount (adjusted for inflation) each year afterward. This would allow your nest egg to provide income for the duration of most retirements. If you need $36,000 per year, then you'd need an initial nest egg of about $900,000 — making $1.26 million more than many need. But research by the Employee Benefits Research Institute shows that retirees are cutting back on expenditures because of insufficient income, so using actual expenditures may give a more accurate picture of the amount retirees will need to live comfortably. Read more: This hedge fund legend warns US stock market will crash a stunning 80% — claims 'Armageddon' is coming. Don't believe him? He earned 4,144% during COVID. Here's 3 ways to protect yourself Another retirement rule of thumb is to estimate that you'll need 70% to 80% of your pre-retirement income to retire comfortably. Real median household income in the U.S. was $80,610 in 2023, according to the U.S. Census Bureau. A range of 70% to 80% would be about $56,000 to $65,000, which — when applying $24,000 from Social Security — implies a required nest egg of $800,000 to $1.025 million, which is still below the 'magic number' of $1.26 million. While the 'magic number' may be higher than many people need, calculations that use averages, medians and rules of thumb don't help you determine what your exact number should be — and your own situation is likely to be quite unique. After all, retirement is a very personal thing. If you want to estimate what your own 'magic number' might be, it's worth speaking to a financial advisor. Many advisors have access to modeling programs that factor in your personal circumstances and plans for retirement to come up with a number that works for you. Once they know this number, they can set up a suitable savings and investment program so you can reach this goal. A helpful feature is that these models can be used to run scenarios — such as accounting for higher inflation — to see how this might affect your plans. There are several factors that go into figuring out your number. Where you plan to retire can make a big difference, as can what you plan to do in retirement. Some states are much more expensive than others for retirees, while others continue to be popular. And if you plan to travel a lot, this is likely to cost you more than if you plan to stay close to home and spend time with your children and grandchildren. Healthcare can be a big expense that grows through retirement. It's impossible to predict what health challenges you may encounter, but if you already have chronic conditions that may get worse with time, it's important to consider how this might lead to extra expenses in retirement and require a larger nest egg. Non-investment sources of income will also play a role. Most retirees are at least somewhat reliant on Social Security and some may have a pension — or even plan to work part-time in their semi-retirement years. You may want to have a 'magic number' — but you should arrive at it through analysis of your own unique situation. And you should be prepared to change that number if your retirement goals or circumstances change as you age. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Here are 5 'must have' items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you? This article provides information only and should not be construed as advice. It is provided without warranty of any kind. Sign in to access your portfolio
Yahoo
30-04-2025
- Business
- Yahoo
Americans say $1.26M is the 'magic number' to retire comfortably, predictably it's higher in California
The Brief Americans put the "magic number" to retire comfortably at $1.26M, according to a new study. Not surprisingly, the figure is higher in California. Confidence over retirement savings differs between generations. OAKLAND, Calif. - New research shows U.S. adults believe the "magic number" they need to retire comfortably sits at $1.26 million, with more than half of those surveyed saying they will likely outlive their savings. The findings by financial services firm Northwestern Mutual show that the target number has come down since last year, though it still remains far higher than what many people have actually saved for their golden years. Last year, that figure stood at $1.46 million. What they're saying "One explanation for the new number could be inflation – while still people's #1 concern – isn't as elevated as it was in recent years," the financial company explained, adding," Inflation is often described as 'sticky' because it can take a long time for people's attitudes about it to change." SEE ALSO:How much is $100K salary worth in San Francisco, Oakland? Northwest Mutual's 2025 Planning & Progress Study was released earlier this month, with the survey being conducted back in January before Donald Trump took office. Researchers said the findings also show the level of concern over current retirement savings has skyrocketed. "The vast majority are living with financial anxiety," Northwestern Mutual said. Fueling that anxiety are worries about Social Security and inflation. Overall, the survey found that among those Americans who have started retirement savings, 25% said they have just one year or less of their current annual income put aside. Northwestern Mutual's financial experts stressed that it is important to consider that one size does not fit all when it comes to retirement planning, which should be highly personalized. "Everyone deserves their own 'magic number' that considers where they will live, what lifestyle they will have, their sources of income, and more," said Northwestern Mutual's chief field officer, John Roberts. When looking at the "where people live" factor, figures show that, perhaps predictably, those in the Golden State have a higher "magic number." However, perhaps surprisingly, it's not that much higher than the national figure. Northwestern Mutual said its findings show that California's "magic number" for retiring comfortably is only about $200K more, at $1.47 million. Dig deeper A recent study by personal finance website GoBankingRates put the California number far higher, estimating 20-years of comfortable retirement would cost more than $2.3 million. GoBankingRates put the annual spending during retirement at about $162K. Its researchers also broke down how much monthly savings would be required over 20 years to reach that goal and cover costs through age 85: Starting at age 20, you would need to save $4,334. Starting at age 30, that figure goes up to $5,573 a month. In the quest to retire comfortably, Northwestern Mutual said generally, people should aim to replace roughly 80% of their pre-retirement income. Financial experts also note the importance of weighing in factors like when people want to retire, where they'll live, and what kind of lifestyle they want to maintain. With many Gen X'ers— those born between 1965 and 1980, approaching their retirement years, Northwestern Mutual found a majority in that age group reported that they will not be prepared when the time comes. According to the survey, 52% of Gen Xers said they have, at most, three times their current annual income saved. That figure is higher among Millennials, defined as the population born between 1981 and 1996, and the younger Gen Z generation— those born from 1995 to 2012. The survey found that Gen Z expressed the most confidence that they'll be financially prepared for retirement. "Younger Americans have ambitious financial goals – and they're taking action to reach them," Roberts said. "If this generation determines how much they need to save, continues to generate wealth, and protects what they've already built, they could be in a strong position to achieve financial security."
