raaman
Valued Contributor
How much money do you need to retire?
How much do you need to save to live comfortably when you retire? In other words, how much do you have to save to have a comfortable life after retirement? Of course, it all depends on how much you have saved so far, and how you want to live after retirement.
You may have heard the popular wisdom by now that your retirement savings goal should be between the minimum amount and the maximum. Or, that you should save somewhere between ten to twelve times of your current income. For people nearing retirement, those numbers can cause panic, denial, and fear.
But the actual numbers will be different for everyone. It depends on factors like where you live and how healthy you stay as you get older and older. And the biggest challenge is how long you may live after retirement. The bottom line is that there's no magic amount you should aim.
However, there are a few things you can ask yourself to determine your ideal amount. What will your cost of living be? The first step will be to know how much you spend right now. You can start this by creating a budget to identify your expenses.
How much do you need to save to live comfortably when you retire? In other words, how much do you have to save to have a comfortable life after retirement? Of course, it all depends on how much you have saved so far, and how you want to live after retirement.
You may have heard the popular wisdom by now that your retirement savings goal should be between the minimum amount and the maximum. Or, that you should save somewhere between ten to twelve times of your current income. For people nearing retirement, those numbers can cause panic, denial, and fear.
But the actual numbers will be different for everyone. It depends on factors like where you live and how healthy you stay as you get older and older. And the biggest challenge is how long you may live after retirement. The bottom line is that there's no magic amount you should aim.
However, there are a few things you can ask yourself to determine your ideal amount. What will your cost of living be? The first step will be to know how much you spend right now. You can start this by creating a budget to identify your expenses.
