(888) 292-1099 info@moneymastery.com

Successful Retirement Means You Will Need 8 to 10 Times Your Annual Income

After preparing many retirement plans for my clients over the last 45 years, I can assure you that you will need about 8 to 10 times your annual income in savings when your reach retirement age.  I know this is a quick “rule-of-thumb” but it can work.

If, for example, you are earning $60,000 a year, at retirement you cannot possibly make it financially with only one time your annual earnings! This means you will only save $60,000 for retirement. How do you expect to live on that sum until age 84 (if you are a man) or age 87 (woman) How will that possibly work? It won’t!

If you can save 10 times your salary, for example, you will have $600,000 saved at retirement.  You can make this work by living on the interest and pulling out some of the principal, then combined with Social Security benefits (which I have shown in past posts you will need all of to pay for the skyrocketing health costs of close to $350,000 needed for a couple money-nest-eggwho retires in 10 years) you will have adequate income well past age 87 with plenty of money left over.  Plan it too close, as in two times, or four times and you will run out of money at age 72. All that work only to run short that quick would be horrible!

I hope you can see that the multiplier of 8 to 10 times current earnings will give you just enough money to retire comfortably.  Use the Money Mastery retirement worksheet and see for yourself.  Go to www.moneymastery.com.

Get in touch with Money Mastery®

Money Mastery Logo
Connect with us.

Our support Hotline is available 24 hours a day: (888) 292-1099

Refund/Cancellation Policy:

All subscription purchases made can be cancelled anytime, directly within your subscription, by going to MY ACCOUNT and clicking on Do Not Renew. Subscription purchases are paid in advance. Purchases made for books and other items that are not monthly, or annual subscriptions, can be cancelled in writing within 30 days of purchase for a full refund.

Payment Methods