04/28/2023
How much do I need to retire?
Everyone's different. Some people spend more, some save more. Some bank, some invest and some have businesses. At some point everyone will probably have to stop working though.
There are two very basic approaches to planning for your retirement.
1) Live with what you've got, or
2) Accumulate what you want.
Item number one is less planful, but it is easier for many years. You live your life and save/invest the way you think everyone should until you can't work anymore. Then you look at what you have for social security, income and assets and figure out how to live on that to a reasonable life expectancy.
For item number two, you build your dream retirement on paper/computer, then map out what actions you can take to get you there by a reasonable age. It can take a combination of planning and sacrifice to get what you want. Spend a little less, save a little more, and work a little longer are the sacrifices. Be more planful with good investment, income and tax strategies are the planful ways to do better. The more you plan, the less you will have to sacrifice.
