Mar 21, 2023
Are you trying to figure out how much money you need to save for retirement? This can be a tough question to answer, but it's important! In this episode, I share the best way to figure out how much money you need to save and some tips on how to make it happen. Enjoy!
Every Tuesday, Tiffany answers one of your submitted questions. To submit a question for an upcoming episode, visit here: https://www.moneytalkwitht.com/asktiffany
Key Takeaways
- When calculating how much to save for retirement, consider the age you plan to retire and ensure the money lasts until the end of life expectancy.
- Determine what your desired lifestyle in retirement will be and calculate how much income you need each year to maintain this lifestyle.
- Think about your expected sources of retirement income, such as pensions, annuities, social security benefits, etc.
- Consider how much risk you can tolerate with your investments depending on how close you are to retirement age.
- Ask yourself if you want to keep working part-time after retiring and if tax deferral strategies such as 401ks or Roth IRAs should be used for retirement planning.
- Factor in any other expenses, such as healthcare and long-term care costs.