raaman
Valued Contributor
Planning for the retirement is a journey unique to each individual. Yet, the question ‘how much will be needed to save for a happy retirement’ remains common. There is no one-plan-fits-all answer here. However, following the right method, you can make a plan suitable for your needs. For this, you have to break down the issues that will shape your retirement savings plan.
Before jumping into any numbers, it is important to understand your retirement needs. This depends on various issues, like your lifestyle expectations, health care needs, and anticipated retirement age. A common rule of thumb is the ’seventy to eighty principle’. It suggests that you will need around seventy to eighty percent of your pre-retirement income to maintain your lifestyle in retirement.
Before jumping into any numbers, it is important to understand your retirement needs. This depends on various issues, like your lifestyle expectations, health care needs, and anticipated retirement age. A common rule of thumb is the ’seventy to eighty principle’. It suggests that you will need around seventy to eighty percent of your pre-retirement income to maintain your lifestyle in retirement.
