Life expectancies are on the rise and that means you need to save even more money for retirement.

A 65-year-old female today is expected to live 86.6 years. A 65-year-old man should live to 84.3 years, according to the Social Security Administration.

"People are concerned about the low interest rate environment and the low growth environment that we see today,'' said Tracie McMillion, head of global asset allocation strategy at Wells Fargo (WFC) - Get Report Investment Institute. 'If you are already in retirement, you need to try to match up your assets with your lifestyle expectations."

Those who are still working and not in retirement just yet may have to keep working. The average retirement age in the U.S. stands at 65 for men and 63 for women, according to the Center for Retirement Research at Boston College and the U.S. Census Bureau.

Relying on bruised institutions like Social Security and Medicare isn't enough. "Most people will not be able to live the lifestyle that they expect in retirement merely on Social Security payments," McMillion noted. "They will need to supplement that some way."

She said many are choosing to work longer in an effort to make up for lagging Social Security payments, along with bolstering their savings efforts sooner rather than later.

That's because low interest rates are eating into the returns of many investors. The need to start saving earlier, to take advantage of compounding interest, is even more critical.

"The traditional method of saving for retirement, investing for equities with a little bit of fixed income and then converting it all to fixed income when you get to retirement and living on those income streams -- that just doesn't work when bonds are paying 1-2%,'' she said.

McMillion also said some of the most underestimated costs during retirement include health care. 'Most people will spend over $35,000 per year after they reach age 85 on health care,' she added.

MainStreet's Scott Gamm has details from Wall Street.