US Retirees Need a Financial Plan, Before It's Too Late - Here's a Blueprint

Retirement financial plans that prove most resilient are developed earlier in life than most would anticipate.

Published: 4/29/2026, 11:33:26 AM EDT

US Retirees Need a Financial Plan, Before It's Too Late - Here's a Blueprint — Concept of retirement planning. Miniature people: Old couple figure standing on top of coin stack. (Khongtham/Shutterstock)

U.S. retirees are growing increasingly worried about their financial futures, with two out of three Americans saying they worry more about running out of money than about death, according to a new Allianz Life study.

“Americans are well aware that preparing to fund a decades-long retirement is a big undertaking,” said Kelly LaVigne, VP of consumer insights, Allianz Life, in a statement. “Rising costs and ongoing economic uncertainty are making many people wonder if their savings will run out. Setting money aside is an important step, but Americans also need a strategy to turn those assets into a reliable income stream that can last their lifetime.”

A Retirement Financial Plan Can Curb Money Worries

Part of the setting money aside step is having a supporting financial plan in place to guide retirement savers. Yet not nearly enough Americans have a long-term financial plan geared to get them through retirement with enough income.

According to Allianz, 48 percent of Americans say they have no organized financial plan, and that’s a big problem, given what a good financial plan brings to the retirement planning table.

“Not having a strategy for retirement can lead to Americans allowing fear to take over their financial future,” LaVigne says. “Creating a written plan with the help of a financial professional can help Americans address knowledge gaps, understand risks, and incorporate risk management solutions to provide more confidence that their income can last throughout retirement.”

The good news is that creating and managing a retirement plan is fairly easy, especially with these strategies.

Understand how a solid financial plan works

A proper retirement plan should accomplish two key tasks: First, it should create a sense of cohesion in your financial life, and second, it should address the what-ifs that may arise.

“For your entire career, you were 'accumulating' and probably have different accounts scattered around,” William Hope, wealth advisor at Redwood Financial Network, told NTD News. “Your retirement plan should create clarity regarding what you have already saved.”

On the "what if" issue, Hope said that it may be the biggest issue in retirement planning.

“In a non-realistic, doesn't happen world where you can get 20 percent every year, you'd be less likely to run out of money in a world where you earn 0 percent every year, and inflation goes up yearly,” he noted. “But there are many in-between scenarios that are likely, and we want to know how your portfolio stacks up against all these different iterations.”

There are also "what ifs" to consider that have nothing to do with the market. “For instance, what if you lose your spouse, become disabled, live to 100 instead of 80, have another child, get divorced, take on a very expensive hobby?” Hope asked. “The 'what ifs' can be plentiful, and our jobs as fiduciaries are to understand your goals and fears to make the best decisions.”

Know the key components

Other wealth management experts say a stabilizing financial plan is comparable to how a business accounts for its activities. "A balance sheet shows all assets and liabilities, and a profit and loss statement shows how all sources of income have been used to meet all expenses paid," Jeffrey Stouffer, a financial planning specialist at JustAnswer, a money management advisory platform, told NTD.

In a good financial plan, the list of assets should include bank accounts, IRAs, 401(k) s, Insurance policies, investment accounts, real estate, and any other property owned that can be called upon to meet retirement costs.

The list of assets also includes mortgages, credit cards, auto loans, and any other debt with a repayment due. “Taxes can be considered a debt; these are determined on an annual basis, subject to what is being taxed,” Stouffer noted. “The profit and loss, or income statement, includes all sources of income, such as interest and dividends, annuity payments, social security benefits, pension benefits, gains from the sale of assets, and the like.”

The expense side should include all costs to be paid in retirement, such as monthly debt payments, utilities, food, gasoline, health care, and prescriptions, and any other routine and discretionary living expenses.

“Putting together all of this information into the proper format enables someone to review how the costs of living are managed,” Stouffer added. “These annual snapshots, when compared from period to period and over several periods, will help determine past trends, and the review of these trends may indicate where future successes and pitfalls are to be found.”

Don’t go it alone

Retirement financial plans can get complicated, particularly with key and complex issues like taxes, estate planning, and Social Security.

That’s why it’s a good idea to engage with a certified financial planner. “A good adviser can help you establish a baseline and then work with that professional to create multiple scenarios to model how your retirement picture could play out,” John Foard, a wealth manager and co-Founder at the financial management firm Crown Advisors, told NTD.

A trusted financial steward can make a big difference in building and maintaining a retirement plan, as there are no absolutes, and your scenarios will change over time.

“Markets will dip, tax laws will change, and life has a way of throwing curveballs, so staying engaged and updating your plan on an annual basis is key to having as close to the retirement you wish to have,” Foard noted.

Once you’ve created and launched your long-term financial plan, stick to it and avoid the noise.

“Ignore the headlines, stop comparing yourself to your parents, neighbors, colleagues, and friends, and get a handle on your specific situation in order to map out how you can possibly live the life you want in retirement,” Foard advised. “Do your homework and find a professional that aligns with your goals and needs.”

Start as Early as Possible

Retirement financial plans that prove most resilient are developed earlier in life than most would anticipate. Moreover, these plans should be reviewed periodically.

As part of your review, stress-test your plan using worst-case assumptions. “Those include significant market declines within the first five years of retirement; increased life expectancy beyond age 85; and extended periods requiring long-term care services,” Evan Farr, a certified elder law attorney at Farr Law Firm, P.C., told NTD.

Additionally, aim to develop multiple income streams so as not to rely on any one income source. “Make conscious decisions regarding taxes since taxes become increasingly difficult to manage in retirement due to required distributions,” Farr said.

Also, recognize long-term care as a central planning concern and don’t simply assume you can adapt once the need arises. “By the time the need for long-term care arises, many of the most effective planning tools will no longer be viable,” Farr added.

The views and opinions expressed are those of the interviewees. They are meant for general informational purposes only and should not be construed or interpreted as a recommendation or solicitation. NTD does not provide investment, tax, legal, financial planning, estate planning, or any other personal finance advice. NTD holds no liability for the accuracy or timeliness of the information provided.