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Running out of money in retirement is a serious fear for many seniors. In fact, one study found that 67% of Americans (1) worried more about running out of money than about dying.

In some cases, these fears are founded. If you have too little saved, giving up a paycheck is scary because you could end up broke. But what if you have plenty of money but are still scared to pull the trigger?

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Let's pretend, for example, that Matteo's mother, Dolores, has $2 million saved, a home that's almost paid off, and a paid-off car. She's frugal, so she spends just $50,000 per year, and she's 68 years old. Matteo wants her to retire, but Dolores is convinced she can't afford it.

Matteo has run the numbers, so what should he do next to inspire his mom to stop working for good?

The first thing Matteo needs to do is to pause to understand his mom's true fears.

"If she can already retire, the issue isn't with the spreadsheet. It's with the sense of identity, purpose, and the thought of seeing these accounts decline instead of increase," Evan Mills, (2) an associate financial advisor at Scholar Advising, told Moneywise.

Mills explained that since Dolores is a saver, she's likely used to watching her account values increase over time, and she has been rewarded over her lifetime for being responsible and spending within her means.

"To tell someone overnight that the accounts they've watched grow are now going to start declining, and that's okay, that's a really hard thing," he said.

If Matteo takes the time to listen, he may discover his mom has specific fears, like running out of money due to a health emergency or not being able to afford to keep her house if there's a maintenance issue.

If she discusses these worries with Matteo, he may be able to overcome her reluctance by showing her that she'll still be OK financially — even with some unpleasant surprises.

Once Matteo understands where Mom is coming from, the next big step is to show Dolores the math that really proves she's ready to retire.

"I'd build a roadmap for where the retirement funding is going to come from," Mills suggested. "Show her how much cash she has to withdraw, and what it looks like if there's a market downturn."

Mills explained that if Dolores has an emergency fund and a well-diversified portfolio, Matteo should easily be able to demonstrate that her plan is "still robust against any volatility she might face in retirement."

The reality is, a $2 million nest egg produces around $80,000 per year at a safe withdrawal rate, and that's not including Social Security benefits. That's $30,000 more than Dolores is spending now.

Matteo can show her exactly where this money will come from to pay her bills, and end up with extra. This should put her mind at ease.

"A lot of the time the fear is more about not knowing where the money is coming from, rather than actually lacking the funding," Mills said.

Read More: Millionaires under 43 hold only 25% of their wealth in stocks. Here's where their money is actually going

Dolores isn't wrong to be cautious. Retirement can feel intimidating when headlines are filled with stories about stubborn inflation, rising healthcare bills and retirees worried about outliving their savings. Even people with sizable nest eggs can underestimate how far their money can go.

Healthcare costs only add to that anxiety. Fidelity estimates today's 65-year-old retiree could spend roughly $185,500 on medical expenses (3) over the course of retirement. Although It's a significant expense, it's one that can be planned for rather than feared.

That's why it helps to look at the full financial picture instead of focusing on worst-case scenarios. With roughly $2 million saved, Dolores may actually be in a much stronger position than she realizes. In fact, Northwestern Mutual's 2026 Planning & Progress Study found Americans believe they'll need about $1.46 million to retire comfortably (4) — putting her well above what many people think is necessary. When you apply the 4% rule to her savings, she could probably withdraw about $80,000 per year before accounting for Social Security.

If you're in a similar situation, rather than letting fear dictate your decision, you could benefit from having a financial advisor review your plan. A professional can estimate sustainable withdrawal rates, account for inflation and taxes, and identify ways to make your retirement income last longer.

An advisor may also recommend portfolio adjustments that might improve long-term growth without taking on unnecessary risk. For larger retirement portfolios, those seemingly minor changes can compound into meaningful gains over time.

If you have a portfolio worth $250,000 or more, you can find a reputed FINRA/SEC-registered advisor near you for free through WiserAdvisor.

All you have to do is answer a few simple questions about your savings, retirement timeline and overall investment portfolio. From there, WiserAdvisor will review its network and match you with up to three vetted, reputable advisors aligned to your specific needs.

WiserAdvisor does the heavy lifting when vetting financial advisors on its roster. Each advisor is screened based on their years of experience, their SEC/FINRA registration and records, and compensation criteria.

Just schedule a no-obligation consultation with your matches to find the best fit for your long-term goals.

Note: WiserAdvisor is a matching service and does not provide financial advice directly. All matched advisors are third parties and specific financial results are not guaranteed.

Even if Dolores' retirement savings are more than adequate, trimming everyday expenses can make her feel far more confident about leaving the workforce. The less money she needs each month, the less pressure she'll put on her retirement portfolio.

Insurance is one expense that's quietly become much more expensive. Between February 2020 and August 2025, average auto insurance premiums jumped roughly 55% (5).Switching insurers or simply comparing rates every year could free up hundreds of dollars annually — money that stays invested or helps cover retirement expenses instead.

Comparison platforms like Insurify let you view quotes from different providers all in one place, making it easier to spot potential savings and helping to ensure you aren't paying a hidden "loyalty tax" to your current insurer.

Just answer a few basic questions and Insurify will show you the most affordable deals in as little as three minutes.

Not only is the process 100% free, but you could also save up to 15% by bundling your car and home insurance.

Retirement income doesn't have to come from savings alone. One source Dolores may be underestimating is Social Security, which can provide a dependable stream of monthly income and reduce the pressure on her investment portfolio.

For many retirees, monthly benefits can help cover a part of monthly expenses, allowing investment accounts to last much longer. The key is making sure she claims those benefits strategically.

For retirees who aren't sure where to start, organizations like AARP can offer meaningful guidance.

AARP members get access to guides that can help you make the most of Social Security, choose the right Medicare plan and uncover other government benefits — potentially saving you thousands.

As one of the most trusted organizations for older Americans, AARP not only helps you make informed financial and health decisions but also offers discounts on almost everything — from prescriptions and dental plans to travel, entertainment and insurance.

Sign up with AARP today and get 25% off your first year.

One of Dolores' biggest concerns is replacing the paycheck she'll leave behind when she retires. But employment income isn't the only way to generate consistent cash flow.

Real estate has historically been one of the most popular income-producing assets because rental payments can continue coming in regardless of whether you're still working.

Of course, owning rental property isn't always how many people want to spend retirement. Finding tenants, handling maintenance requests and dealing with unexpected repairs can quickly turn passive income into a part-time job. Being a landlord — whether you're Dolores' age or younger — can be a time sink.

That's where crowdfunding platforms like Arrived can help.

With Arrived, you can invest in shares of vacation and rental properties across the country with just $100.

Backed by world-class investors like Jeff Bezos, Arrived's team handles all the necessary work — from securing properties to finding and managing tenants — so you can sit back and become a landlord without having to do any legwork.

Arrived distributes any rental income generated by properties to investors monthly, allowing you to potentially set up a passive income stream without the extra work that comes with being a landlord of your own rental property.

The best part? For a limited time, when you open an account and add $1,000 or more, Arrived will credit your account with a 1% match.

Once Matteo shows his mom that the math works, the final step is to make retirement seem enticing enough to take the leap.

"Showing her she could spend more time with her kids or grandkids, and that she still has a sense of purpose and agency in her life, that's really important when someone stops working full time," Mills advised. "Keeping that sense of purpose in retirement is just as important as the money."

And if Mom still isn't ready after these talks, Mills has another solution as well.

He advises that she make retirement "less of a cliff and more of a bridge" by perhaps transitioning first into part-time work or consulting, or finding an activity to volunteer for that she likes that she might get a small amount of compensation for.

"If someone's having difficulty retiring, it should be a more drawn-out scenario, because they're used to having that fixed income come in for years, a check that shows up every week or two and makes them feel secure."

If Matteo gets his mom to cut back on work, that could be an important first step toward easing her out of the working world entirely. He just has to convince his mom that she can still have that security as a retiree. Once he does, hopefully Dolores will act.

— With files from Christy Bieber

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Allianz Life (1); Scholar Financial Advising (2); Fidelity Investments (3); Northwestern Mutual (4); NPR (5)

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.