Friday, July 18, 2014

Wednesday, July 16, 2014

How Much Do I Need To Save For My Safe Retirement?

There are several general rules of thumb for saving for retirement. These rules essentially take into consideration the shortfall between your income and expenses for when you retire. However, they are also heavily based on assumptions and estimates.

One general rule of thumb, provided by Fidelity Investments, is to save roughly eight times as much as your ending salary for retirement. This estimate helps to increase the chances that you will not outlive your savings during (an assumed 25 years) retirement.   

Remember that rules of thumb are just starting points. Every individual is different and will need to save a different amount for a safe retirement. This is due to many factors; one’s desired retirement age, life expectancy, income, spending habits, desired income in retirement, etc.

Planning for retirement is definitely a tricky issue. As much as we would all like to retire and live life trouble-free, you will not be able to if you do not start planning for it now. If you feel lost, or require any advice or assistance, ask for help from a professional. It is better to plan ahead than to come up short upon retirement.

Law Offices of Inna Fershteyn and Associates, P.C.
(718) 333-2394
1517 Voorhies Avenue, Suite 4
Brooklyn, NY 11235