Let's face it. Longevity risk and income planning just don't make a scintillating dinner party conversation. As a result, many people just don't think about them, and some never even consider the risk that the money they save for retirement might not be enough to sustain them for the rest of their lives.

Despite signs of a recovery-in-progress, many people are still nervous about the economy. Even if they have a job, they are afraid they may lose it in the future. They are spending only the money that's necessary. They are worried that they'll never be able to retire, or that the retirement that they can afford won't meet their expectations. They also have doubts about government and financial institutions. And, they don't necessarily have faith in their current financial advisors.

Let's be clear on that last point: It's our responsibility to regain their trust. We also have a duty to help them see that understanding longevity risk and retirement income strategies are the next critical steps in creating a secure financial future for themselves and their families. Internal research at Wells Fargo shows that many pre-retirees (with an average age of 55) expect to live 20 years in retirement and also be able to withdraw nearly 10% of their savings each year to fund that retirement. Obviously, this is a problem.

I know that nobody really knows how long they will live in retirement, but life spans are lengthening, not contracting, and people should consider a retirement that could last 30 years. A 10% withdrawal rate is more than double the rate recommended by most financial advisors and will surely lead to the scenario of people outliving their money. We need to help people really do the math so they do not underestimate the number of years they will live in retirement and overestimate how much they can spend.

As an industry, we've done a good job of helping clients understand the need to accumulate significant financial resources for retirement. But, we've not been nearly as successful at educating them about how to spend down those assets to provide themselves with a retirement income. Now is the time for us to help clients understand how important this next phase of retirement planning is to their future. If we succeed in this endeavor, the results will improve lives and benefit businesses.

Current retirees felt less pain during the recent recession. They expect to be able to maintain their lifestyle and have adequate financial resources to last throughout their retirement. This is likely because people who are retired today have guaranteed income from Social Security payments, and in many cases, pensions. So they have an income they can count on-one that will continue as long as they need it, regardless of market fluctuations or how long they live in retirement.

Retirees in the years ahead will find themselves in a very different situation. With traditional pensions now almost non-existent, Social Security in financial trouble and the 401(k) becoming the primary retirement savings vehicle, many people will find themselves with no assured source of retirement income unless they take the necessary steps to create an income stream for themselves. That's where financial advisors come in. What can you do?

First, you have to educate your clients about longevity risk and the negative impact that underestimating the length of your retirement can have on their lives. We have an opportunity to work with younger clients now to make sure they prepare well for the future. With clients who are already retired, you have to motivate them to take the long view, too, so that they understand that the need for long-term planning doesn't end once you retire.

Second, you need to help clients understand the importance of income planning and work with them to explore options for creating a sustained, reliable income stream for their retirement. No single solution is appropriate for every client. We have a responsibility to help determine what strategy will best meet each client's needs.

Our research has shown that clients find the idea of a consistent, secure lifetime income appealing. At the same time, because of personal experience or things they've read, they don't find the terms we've used in the past, such as "guaranteed income," credible. This means that we have to find a way to convey the benefits of income planning products and strategies to clients in a way that works for them.

There has been a debate in our industry about whether focusing on income planning will negatively affect client assets under management. We contend that working with your clients on income planning will actually improve your business and your income. Advisors who become known as experts in income planning will be meeting a real need and providing critical peace of mind. As a result, they will gain new clients and expand existing client relationships far beyond the assets that are devoted to income strategies.