Consider this. I retired 7 years ago at age 62. My wife retired 5 years ago, also at age 62. To date we have not used any of our retirement money. We are having no issues living on nothing more than our Social Security. Being debt free when we retired is what makes that possible. It's not magic, it's just math.
So annoying that a large organisation like T Rowe Price would not show for Singles also -there are plenty of us out there! Thanks for the info that you share, Dave!
A large number of surveys show that 25 or more percent of those over 55 have NOTHING saved for retirement. We are heading for that to reach a critical mass.
awesome video. thank you! while I seem to be ok with 10 years away for retirement, who knows what can happen in 10 years. And that fear of being an old homeless man is still in the back of my mind. So I still need to save like it's going out of style
awesome video. thank you! while I seem to be ok with 10 years away for retirement, who knows what can happen in 10 years. And that fear of being an old homeless man is still in the back of my mind. So I still need to save like it's going out of style
So .. i sort of did this BUT i determined my REAL pre-retirement income by removing things that come out of your W2, like SS tax, 401k savings, and I also have union fees and a pension deduction. In the end, I took $66k OFF my ‘income need comparison with before retiring’ a W2 income comes with a lot of baggage. Perhaps you can do a whiteboard episode on this idea?
We’re in a similar situation with state pension, teacher pension, social security, and retirement healthcare coverage. Interesting to see the numbers but not as critical for us.
My advisor has me drawing from my IRA for three years when I turn 70. I’ll have about 200k left, but plan to live off my SS and moderate pension after that anyhow. I hope I’m doing the right thing. He says i will be better off tax wise.
A higher wage earner will also draw more social security. Too many factors to consider to use this method. Better to understand your expenses and determine how much you need to withdraw a safe percentage.
I have to say that my own experience experience match is very closely with these recommendations. I've been retired for 5 years and all going well, more than adequate income, retirement accounts still 40% higher than when I retired after several hundred thousand of distributions
I disagree with this analysis. I think the multiples should be reversed with a higher multiple on lower current income. Obviously, someone in a lower tax bracket will likely have a lower social security benefit, and most of their savings will go toward essential expenses in retirement For someone in a higher current tax bracket, they will more easily meet their essential expenses in retirement and have more discretionary funds.
I am 54 and I’ve been retire forr 16 years and never looked at how much money I have saved just live day to day. I think some of these retirement sites over exaggerate
Sounds ridiculous to me. Idk anyone with that kind of money saved. I have a pension, Social security and TSP. I believe I will be fine. Of course T rowe price wants you to invest more, that's how they make their money.
Dave, I went online and filled in my required info for the DYI retirement calculator, and have been waiting over 6 hours for the email to confirm my email so i can get access. And yes I have checked my Spam folder. This is the second or third time I've done this, and i never get an email from you asking for confirmation. Am I doing something wrong, or is there something I can do to verify my email so I can get access to the DYI retirement calculator? Thank you in advance.
@@StreamlineFinancial Thank you! I just got your email to me and responded confirming it is me and asking for access to the DIY Planner. I appreciate the quick response.
I don't understand this graph at the end of your video. Must be the way I am interpreting it but why wouldn't you need a much higher multiple at 55 at retirement as opposed to ages 60 and 65 because retiring earlier at 55 means you have to fund many more years of retirement. Hence a lot more money needs to be saved by that age. These funds saved will be required to last a lot longer in retirement.
Consider this. I retired 7 years ago at age 62. My wife retired 5 years ago, also at age 62. To date we have not used any of our retirement money. We are having no issues living on nothing more than our Social Security. Being debt free when we retired is what makes that possible. It's not magic, it's just math.
Where is the SINGLE PERSON example? You are leaving a lot of people out!!
So annoying that a large organisation like T Rowe Price would not show for Singles also -there are plenty of us out there! Thanks for the info that you share, Dave!
A large number of surveys show that 25 or more percent of those over 55 have NOTHING saved for retirement. We are heading for that to reach a critical mass.
Income? It's expenses that matters (and expenses after social security is even more important)
awesome video. thank you! while I seem to be ok with 10 years away for retirement, who knows what can happen in 10 years. And that fear of being an old homeless man is still in the back of my mind. So I still need to save like it's going out of style
My question now is how can I get a good financial plan that will not fail after retirement?
I plan to retire at 65. That's two years ago so I better get saving!
awesome video. thank you! while I seem to be ok with 10 years away for retirement, who knows what can happen in 10 years. And that fear of being an old homeless man is still in the back of my mind. So I still need to save like it's going out of style
So .. i sort of did this BUT i determined my REAL pre-retirement income by removing things that come out of your W2, like SS tax, 401k savings, and I also have union fees and a pension deduction. In the end, I took $66k OFF my ‘income need comparison with before retiring’ a W2 income comes with a lot of baggage.
Perhaps you can do a whiteboard episode on this idea?
fortunately I have no debt, a great federal pension, don't need my IRA/TSP, not taking SS until FRA
That's great to hear!
We’re in a similar situation with state pension, teacher pension, social security, and retirement healthcare coverage. Interesting to see the numbers but not as critical for us.
Another great video. Thank you Dave 14 months and counting.!
Great information! Thanks for creating this video.
You're very welcome!
I love this stuff but not sure many will have this much saved at 55. But for me personally is great.
Thank you!
My advisor has me drawing from my IRA for three years when I turn 70. I’ll have about 200k left, but plan to live off my SS and moderate pension after that anyhow. I hope I’m doing the right thing. He says i will be better off tax wise.
Super helpful. Thank you.
Glad it was helpful!
A higher wage earner will also draw more social security. Too many factors to consider to use this method. Better to understand your expenses and determine how much you need to withdraw a safe percentage.
I have to say that my own experience experience match is very closely with these recommendations. I've been retired for 5 years and all going well, more than adequate income, retirement accounts still 40% higher than when I retired after several hundred thousand of distributions
I disagree with this analysis. I think the multiples should be reversed with a higher multiple on lower current income. Obviously, someone in a lower tax bracket will likely have a lower social security benefit, and most of their savings will go toward essential expenses in retirement For someone in a higher current tax bracket, they will more easily meet their essential expenses in retirement and have more discretionary funds.
I’m guessing the multiples are based on the assumption of no pension, which might significantly reduce what’s needed in retirement savings???
Early growth for plants is approximately exponential. The larger a young plant is, the more mass it gains per day. Same with compound interest.
How about the age at 40 and 45
64 with 530k in funds I owe 140k on my home.
You can probably get by on 1 million if you have no mortgage and live in a rural area.
Easily so. We live like kings on 55 to 60 K a year. Travel the world a few times a year, visit family and friends in the US. Great times !
I know I’m not the average person but why do I care about multiples of income the only thing that matters is expenses.
Very helpful video. Thanks. What is the name of the software that is user-friendly (for non-financial advisors) for retirement planning?
I thought this video would have something about average retirement savings by age. The recommendations were useful, though.
I am 54 and I’ve been retire forr 16 years and never looked at how much money I have saved just live day to day. I think some of these retirement sites over exaggerate
Really the multiplier should be less as you go up
Why does the multiplier go up the older you are??
Thanks bud for keepin us financially Educated!
Regardless of how bad it gets on the economy
Sounds ridiculous to me. Idk anyone with that kind of money saved. I have a pension, Social security and TSP. I believe I will be fine. Of course T rowe price wants you to invest more, that's how they make their money.
Great video! Diversifying your portfolio with gold can be a solid option as well.
Dave, I went online and filled in my required info for the DYI retirement calculator, and have been waiting over 6 hours for the email to confirm my email so i can get access. And yes I have checked my Spam folder. This is the second or third time I've done this, and i never get an email from you asking for confirmation. Am I doing something wrong, or is there something I can do to verify my email so I can get access to the DYI retirement calculator? Thank you in advance.
Thanks for letting me know! I believe I see your email in my system.
I'm going to send you an email right now and we can get you to the right spot.
@@StreamlineFinancial Thank you! I just got your email to me and responded confirming it is me and asking for access to the DIY Planner. I appreciate the quick response.
I don't understand this graph at the end of your video. Must be the way I am interpreting it but why wouldn't you need a much higher multiple at 55 at retirement as opposed to ages 60 and 65 because retiring earlier at 55 means you have to fund many more years of retirement. Hence a lot more money needs to be saved by that age. These funds saved will be required to last a lot longer in retirement.
I think one of the assumptions they made was that the people would be retiring at 65, so the 55 year old still has 10 years to work.