The biggest fear—by far—of those approaching retirement or in retirement is outliving their money. It’s a legitimate concern, considering the average American can expect to keep kicking for 78.6 years and that cushy $1 million nest egg doesn’t cut it anymore.
We all need to work longer, save more and hope that Social Security can still pitch in when we finally punch the clock for the final time. If along the way we realize we’re coming up short of our goals, the game of catch-up can lures investors into putting their hard-earned money where it doesn’t belong.
That could mean investing in risky stocks or too-good-to-be-true investment schemes. Either way, knowing what not to do is as important as knowing what to do.
Here are five sure-fire ways to squander your nest egg in the coming year: