Advertising
Advertising

How much do you need to retire?

How much do you need to retire?

Many people worries about retirement – The most frequently asked question should well be “how much should I really need?” Kiplinger’s Personal Finance Magazine has a intensive article which answer this question. The article gives several examples with some solid suggestion on how to save your retirement funds:

Young workers don’t need to get hung up on a specific target for their retirement nest egg. Save as much as you can as early as you can and you’ll be off to a great start. Although there is no hard-and-fast rule, Christine Fahlund, senior financial planner with T. Rowe Price, recommends that young workers try to save 15% of their gross salary (including employer matching contributions) in order to replace 50% or more of their salary in retirement (the later you start, the more you’ll need to save).

Most retirees will also receive Social Security benefits that could replace another 20% or 30% of pre-retirement income. For the average wage earner — with an income of $37,000 in 2005 — Social Security replaces about 42% of pre-retirement income; the figure is less for those with higher earnings. That would boost total income close to the 75% to 85% range of pre-retirement earnings generally recommended…

How much do you need to retire? – [Money Central]

More by this author

Leon Ho

Founder of Lifehack

Book summary: A Technique for Producing Ideas Finding Your Inside Time 10 Ways to Extend Laptop Battery Life Bob Parsons on His 16 Rules for Survival Free note taking templates and techniques

Trending in Lifehack

1 The Lifehack Show Episode 8: On Personal Success 2 How to Stop Procrastinating: 11 Practical Ways for Procrastinators 3 The Lifehack Show Episode 6: On Friendship and Belonging 4 Why Do I Procrastinate? 5 Root Causes And How To Tackle Them 5 The Power of Tapping into Your Hidden Creativity

Read Next

Advertising
Advertising
Advertising

Last Updated on September 22, 2019

The Lifehack Show Episode 8: On Personal Success

The Lifehack Show Episode 8: On Personal Success
In this episode of The Lifehack Show, we interview Robert Glazer, who is the founder and CEO of Acceleration Partners, and author of the book Elevate: Push Beyond Your Limits and Unlock Success in Yourself and Others.

Robert shares with us how capacity building can radically improve your life and how his new book acts as a guide to getting started.

    Robert Glazer

    Episode 8: On Personal Success

    Also available on Apple Podcasts 

    Featured photo credit: Austin Ban via unsplash.com

    Read Next