Retirement?! Don’t even say it!
Don’t say you’re too young to think about it, because the early years are when you can really get on the right track.It’s a little thing called “compounded interest."
The earlier you start saving, the bigger your little nest egg can grow.
The Pennsylvania Institute for Certified Public Accountants put together the top questions and tips to help people answer this big question at NBC10’s most recent Money School:
ARE YOU READY FOR RETIREMENT?
Here are the key takeaways:
#1 Retirement Risk = running out of money or living too long.
Current stats:
MAN age 65
- Has 50% chance of living to age 85
- Has 25% chance of living to age 92
WOMAN age 65
- Has 50% chance of living to age 88
- Has 25% chance of living to age 94
MARRIED COUPLE age 65
- Survivor has 50% chance of living to age 92
- Survivor has 25% chance of living to age 97
#2 Retirement Risk = inflation.
Business
How Much $$$ Do You Need?
If you have one million dollars when you retire, you’ll have $40,000 to $50,000 a year, inflation adjusted indefinitely, maybe. Then add pension and social security.
Calculating How Much You’ll Need:
Some free ways to get a good gauge on the Internet:
PICPA's Financial Literacy site
FIRECalc: A Different Kind of Retirement Calculator
Watch the Top Tip videos for more information on getting ready for retirement:
