Did you know that 90% of Americans will not have enough in savings and social security to live on when they retire? You can fix a retirement nest egg shortfall — and here’s some advice on how.
In today’s episode of Your Money Minute with Tracy Stewart, CPA, let’s talk about getting realistic with how much money you’ll need for retirement. As your CPA and money lady, it’s my job to help you paint an accurate picture on just how much is needed to reach your goals.
I recommend using a tool like Ballpark E$timate (www.choosetosave.org/ballpark) to get an idea what you’ll need to save to fund your retirement. This tool will ask important questions about where you’d like to live in retirement, whether or not you plan on travelling, if you expect to financially support any adult children, or if you and your partner would like to work or volunteer. These questions all factor in to how much you’ll need ahead of time — and this tool can give you tangible numbers to shoot for.
The key is to be honest with yourself. What DO you want retirement to look like? You’ve worked hard, you’ve saved hard — make sure you answer the tough questions necessary to gauge your needs.
Financial independence is unbelievably liberating. To have the security you want and deserve during retirement, it’s important to start getting honest with your needs and begin catching up on any savings shortfalls while you have plenty of time.
Remember: You can catch more episodes of Your Money Minute when you subscribe to my YouTube channel. Get short videos on how to make the most of your money and life, each and every weekday.