Thursday, September 21, 2006
Retirement: You'll Need Far More Than You Think
What you thought you needed to save for retirement may not be enough.
When the question of retirement savings comes up, the typical thinking has been that your savings plus Social Security and any pension you'll get should provide you with at least 70 percent of your pre-retirement income.
That rule-of-thumb replacement rate is based on the average needs of all retirees and it's okay as far as it goes, especially if it spurs you to start saving, which wouldn't be a bad thing considering a majority of workers between 45 and 54 have less than $50,000 in savings.
Retirement: You'll Need Far More Than You Think
Source: CNN/Money
When the question of retirement savings comes up, the typical thinking has been that your savings plus Social Security and any pension you'll get should provide you with at least 70 percent of your pre-retirement income.
That rule-of-thumb replacement rate is based on the average needs of all retirees and it's okay as far as it goes, especially if it spurs you to start saving, which wouldn't be a bad thing considering a majority of workers between 45 and 54 have less than $50,000 in savings.
Retirement: You'll Need Far More Than You Think
Source: CNN/Money
Permalink posted by armandn @ 6:31 AM 
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