How Do I Make My Money Last in Retirement?

christopheromalley3
Sep 16, 2025
3 min read

One of the biggest fears people have when they retire isn’t boredom—it’s running out of money.

You’ve spent decades working, saving, and building wealth. But with inflation, market ups and downs, rising healthcare costs, and taxes waiting at every turn, the question becomes urgent:

👉 “How do I make my money last the rest of my life?”

The good news: with the right plan, you don’t just make your money last—you can grow it, protect it, and even pass on a tax-free legacy to your family.

The 5 Biggest Threats to Retirement Wealth

Living longer than expected
- People are living into their 90s and beyond. That means your money may need to last 30+ years.
Market volatility
- A single downturn early in retirement can wipe out years of income potential.
Taxes on retirement accounts
- Traditional 401(k)s and IRAs are fully taxable when you withdraw—shrinking your spendable income.
Inflation and rising costs
- Everyday expenses and healthcare can quietly erode your purchasing power.
Passing money inefficiently
- Without planning, heirs often face heavy taxes on inherited accounts, draining your family legacy.

Traditional Advice (And Why It Often Falls Short)

Most advisors suggest one of three strategies:

“The 4% Rule.” Withdraw 4% per year from your portfolio. But in a volatile market, this rule fails more often than it works.
“Stay invested in the market.” Hope that average returns will cover withdrawals. But a crash in the first 5 years of retirement can destroy your plan.
“Buy an annuity.” Guarantees income—but locks up your money, limits growth, and often charges high fees.

These strategies may keep you afloat, but they weren’t designed to help you thrive in retirement or protect your family’s wealth.

A Smarter Approach: Build a Retirement Endowment

Universities and foundations don’t worry about running out of money. Why? They build endowments that are designed to generate predictable income—forever.

At Platinum Endowment, we help families create their own Family Endowment Plan that:

Provides guaranteed, tax-free income for life.
Match the account every year for life and every year after life
Protects against market losses, lawsuits and creditors
Eliminates taxes on growth and inheritance.
Expands wealth across multiple generations.

Instead of asking, “Will my money last?” you’ll be asking, “How much will be left for my kids and grandkids?”

Example: Retiree With $1 Million

Traditional plan: Roll into IRA, withdraw 4% ($40K/year), pay taxes. Over 20–25 years, the account drains—leaving little behind.
Endowment plan: Redirect into a tax-advantaged structure. Retiree receives steady, tax-free income for life 10 times greater than the 4% rule. After passing, family inherits millions tax-free, potentially $60 million over generations protected from market crashes and IRS rules.

FAQs

How much money do I need to retire without running out? It’s less about the total number and more about how efficiently the money is structured. $1M poorly managed can vanish. $1M strategically structured can generate income for generations.

Should I keep my money in the stock market in retirement? Markets are risky when you’re drawing income. You need some exposure to growth, but also guaranteed income streams that aren’t tied to Wall Street.

How do I make sure my spouse is financially secure if I pass first? Building tax-free income structures and legacy protection ensures your spouse continues receiving income without being forced into taxable withdrawals.

What about leaving money to my kids? Traditional retirement accounts saddle your kids with taxes. A family endowment passes wealth tax-free and shielded for decades.

The Bottom Line

Making your money last in retirement isn’t about cutting back, guessing withdrawal rates, or relying on Wall Street averages. It’s about creating a system that generates tax-free income and grows wealth across generations.

At Platinum Endowment, we help retirees and business owners turn retirement savings into dynastic family wealth—protected from taxes, lawsuits, and market crashes.

👉 If you’re retiring soon (or already retired) and want to guarantee your money lasts, schedule a private consultation today to see how the Family Endowment model works.