Retirement Savings Calculator: How Much Money Do I Need to Retire?

There are an endless number of tools and people who want to tell you what you will need to live on in retirement and how much you need to save to reach your goal. Following is one good example.

Source: Retirement Savings Calculator: How Much Money Do I Need to Retire?

The thing is that to make any calculations you need to also make assumptions.

This is where it gets tricky.

  1. At what age will you retire?
  2. How long do you plan to live?
  3. What inflation rate do you assume?
  4. What percentage of your working income will you replace in retirement?
  5. How much will you earn each year on investments?
  6. How will you invest your retirement savings?
  7. What tax bracket will you be in during retirement?

See how easy it is?

And that’s just the questions related to income. To tackle the big picture in more detail, you might want to try the free version of this planner.

https://www.newretirement.com

2 comments

    1. 40 % is about the maximum for the lower income group of beneficiaries. It decreases as income rises. Yes, for those who receive non cash support it is higher … if you want to live in or near poverty.

      Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s